When an economic earthquake trembles in the United States, the seismograph jumps all around the world. As we Americans watch, today alone the DOW closed with a drop of 678 points. It seems to be in a free-fall reminiscent of the Black Monday crash of 1929 and again in 1987 (when the name was given to Monday, October 19, 1987). Stock markets around the world crashed, starting in Hong Kong and working its way west. The DOW dropped on that day in 1987 by 508 points, down 39% from one year earlier.
On October 28, 1929 the first Black Monday, the DOW dropped a record 13% in one day. And here we are in another October (what is it about that month?) and the stock market is on a downward spiral to rival the Octobers of yesteryear. Maybe congress should pass a bill to rename the month of October'??? The economic issues of today-high gas prices, making for higher everything prices-industrial issues foreshadowing rising unemployment, big bank' financial woes, etc., etc., are having more of an impact on today's market than the market crash of 1987 and 1929.
Historians aren't convinced that the crash of 1929 that led to widespread panic actually brought about the subsequent Great Depression. Some feel that it was purely coincidental that the crash in America came near the beginning of the depression. The high living and time of plenty of the early twenties may have caused Americans to become complacent about the economy and over-zealous in their stock market investments. We may be seeing the same issues today-too easy credit, too much investment in high-risk funds; too much this and too much that.
History also shows us that stock market drops-even big ones as we are seeing today-do not necessarily mean long-term damage to the economy. We have always managed to pull ourselves out and come back strongly and hopefully this time will be no different. Although, the signs are there that history may repeat itself, as people lose their jobs and their homes, and the stress takes hold.
Stress seems to be the most prevalent danger that results from loss of income or life savings and the mounting pressures that go along with it. Many family tragedies have and will begin to dominate the news in times such as we are experiencing now. People need to be more aware of family and friends that may be going through an extra stressful situation right now and watch closely for signs of depression, hopelessness, or uncharacteristic anger. The loss of a job, the loss of a home, a failed stock investment-economic pain can cause people pain.
Sometimes it seems as though God has a way of showing us that we have forgotten how to be humble. We become too full of ourselves and He has to remind us of our fallibility. It is easier for us to sit back and blame all our problems on the politicians and our government, but ultimately we must give credit where credit is due and take responsibility for our own errors in judgement-admit to our own mistakes. Today is when we need to be our strongest and repair any damages before they become irreparable.
Sandra E. Graham, author, AMOS JAKEY and NICOLINA published by American Book Publishing. I also write book reviews for authors through Book Pleasures. Visit my website for more information on my books that are in print now and reviews I have written.
Thank you, Karen, for reading and commenting. We will all be effected differently by the issues facing us today. I was lucky in that I retired just over one year ago and took out all my investments--just before the market started dropping. Now if I can just survive the high cost of living and the politicians don't mess with our social security, I might get by.
Thank you so much, Alistair, for reading and commenting. We will definitely need a strong President after this November election to help get our country going in the right direction again.
This is a great article Sandra. We all become accustomed to a full and easy life and think that it will always be so. There is no reason to believe that. When people get to the point that they think life owes them a free ride, they are headed for trouble. A friend of mine recently asked me if I knew of a good, reasonably priced house he could buy and move here to our town. When I told him there were plenty like mine (75 years old but comfortable), he came close to insulting me, that he was looking for something bigger and newer. We have 3 bedrooms and 1 and 1/2 baths. I said, well I don't know of any.
Good for you, Joel. You are absolutely right. All of our problems come on the heals of high-living and excess. And it appears we are headed for a free-fall to trouble.
Excellent article! I think your observations are right on the money. When we forget to be humble we usually wind up getting smacked on the side of the head and told to "Wake up!"
Thanks, Walter. We have a lot to worry about right now, but we also have a lot to be thankful for. We must never forget to count our blessings in trying times.
Thanks for reading and commenting, Julie. It has definitely been a wake up call! Hopefully we can get all our ducks in a row soon after this next election. We have turned the country around before; we must have faith that we can do it again--with God's help.
Sandra, we had it already and no one seems to know it. Black Monday happened a few eeks ago because investors couldn't cover their margin and when called to hone up they didn't have the money. Hey, We the People just did that for them with the Bail Out and became the new Social Democracy we are, reagrdless of any argument saying we are not. Check out the definition. They won we lost it lost it is that simple, reagrdless of what they say. Now do you really, and I mean really, think they would admit to that? Regards.
» left by Sue G. from Little Rock, AR. (53 days 20 hours ago.)
Another great article, Sandy. I'm so glad I'm too old to have to worry about any stocks; but I do worry about what this will do to the rest of the county. We are all in it together, whether we win or lose.
Hi Sandra. Very sobering and yet hopeful article. I love that you include we need to take responsibility for our choices. True, creditors made "the having" inticing. But what did our Lord say over 2000 years ago? Owe nobody anything, be content with food and clothing. Don't trust in riches. Don't be swayed by the ways of the world. Think it was a warning? It all boils down to wanting more than we can afford and the greed of the ones providing it. Both sides are responsible. Not just the government. I think we all need to get back to basics - many of us have no choice, humble ourselves before Almighty God and quit asking God to bless America and start asking Him to forgive America.
Great article. Thanks for putting these difficult times into perspective. I know we're all worrying about ourselves, but there's always someone who's struggling more than we are. Thanks for the reminder.
I enjoy the history. What is it about October. Is there a trend. I agree it is not the end of the world. Even if we lose eveeything we always have ourselves and our family and friends. We can always rebuild.
That is so true, Steve. If more people would think like that, there would be fewer murder/suicides in the country. It is all only material posessions and we can't take it with us.
Yes, Sandra, October seems to be "the month" doesn't it? My sentiments agree with Robert's and all I can say is "God help us" -- Thanks for this great read!
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