Let's hope not. For me the last *real* recession was back in the early 70's. My family was a West TN cotton farming family that wasn't particularly affected. However, I still remember the highly educated managers and engineers coming up to our house 2-3 evenings per week with hat in hand - looking for jobs as farm laborers.
A *real* recession is pretty ugly alright!
The government has been propping up our economy for years by allowing low interest rates for the housing market that have somewhat offset high inflation in the energy sector.
Now that energy has started draining people of disposable income, every other sector, housing and retail are suffering. With less income available to spread around, everyone has downward pressure on their income.
For example, in my business (masonry contractor) competing contractors are dropping their prices by 20% just to have the work, which has dried up. Taxes and insurance adds 35% to the cost of payroll. With all the overhead , taxes, etc, one just as well be working for someone else. There is no need of trying to operate a business on an hourly wage because it can’t be done and cover overhead. I would rather sit on my ass and go broke as to work it off and still go broke. Thats why I post here today because I am sitting on my ass pondering a future at McDonalds just to make my truck payment. Thank God my wife has a good, recession proof job but losing a second average income hurts tremendously.
The general contractor loves the competition for their limited work because it reduces his costs. But I guarantee non of the sub contractors will have enough income to buy that home or any other home. They will be lucky to keep insurance and cover payroll taxes before winter hits. And the house will sit unsold so interest eats up the contractors profit.
Less disposable income, less demand for goods and services.
Lower profits= recession.