Canada arguably in recession after 2nd straight GDP decline – MarketWatc

MarketWatch

MarketWatch (Photo credit: Wikipedia)

According to Marketwatch, Canada has entered what many consider to be a recession as the country deals with the consequences of a dive in oil and other commodity prices.

Source: Canada arguably in recession after 2nd straight GDP decline – MarketWatch

Elsewhere in the article, it seems that the Canadian economy is being buoyed up by strong demand from the automotive sector (with debt financing schemes).

But Canada is similar to Australia, with a speculative property sector, with too many people over-extended in debt. Already in Sydney, there is news banks are severely rationing mortgages based upon post-codes.

Once Canada’s consumers understand the seriousness of the recession and the risks to jobs, expect consumer demand to react negatively and for the Canadian economy to enter a deepened and prolonged recession. If the property bubble bursts, it could get ugly.

For Canada, short-term, there are two hopes. Firstly, there could be s rise in commodity prices which seems unlikely. Secondly, the Canadian government could stimulate demand with economic policies – we’ll have to wait and see.

Smart Canadians should act now, ahead of the crowd.

Thoughts?

Self-employment | The Economist

Be prepared for a surprise when you look at these international statistics on self-employment published by the Economist.

Despite all the hype about land of opportunity in the US, it’s suprising how few people are prepared to take the risk and be self-employed.

Both John Gelmini and myself have had lengthy careers in international corporate life working for well-known multi-nationals. Then we reinvented ourselves and became self-employed.

For me personally, becoming self-employed was one of my best decisions.

OK you’re your own boss but you need to learn new skills in developing clients, supplier relationships and networking. Also your work must take priority – normal life may get subordinated.

With increasing technology, traditional jobs will disappear at an escalating rate. Career cycles will become shorter and shorter, even for highly qualified professionals.

In many major intersections in India’s major cities, the unskilled stand on corners hoping to get day-work to maintain their frugal lifestyle. With less social security, in twenty years time, this could be happening in major cities around the world.

Sooner or later, you will need to look at being self-employed as your traditional work options dry-up. Spread your risk now and look at self-employment before all your peers. Don’t just be another ‘Me too’, get ahead of the pack!

Thoughts?