Tips to survive recession - From a Professor of Economics

Recently i received an email from a friend - a Professor in the School of Economics of a local institution of higher learning..

He said this is something to ponder and followup where appropriate.

Now that Recession is coming .... make your own judgment, don't panic !! Do what is wise.

The recession looks very eminent.

It is really time to take pro activesteps to avoid a painful time in the next two years which is how long the recession is expected to last.

Suggestions:

1. Don't take any loans, buy homes, properties with loans, or even cash. Keep as much cash as possible. (my say - and don't go to casinos.... hehehe)

2. Pay off as much of personal loans, private loans, as debt collection will be hastened.
(my say - yeaah right.... i hate repayment)

3. Sell any stocks you can even at lower prices.
(my say - can i sell off my girlfriend????)

4. Take money off from Trust Funds.
(my say - I dont trust Trust Funds!!!)

5. Don't believe in huge sales forecast from customers, be extremely prudent, lowest inventories, reduce liabilities.
(my say - especially those hypermarket that offers 90% discount all days, all months, they think we are gullible)

6. Don't invest in new capital.
(my say - except your girlfriend of course!!)

7. If you are selling homes/ properties/ cars , do it now, when you can get good prices, they are going to fall.
(my say - if they refuse to buy what you are selling, then throw them off a cliff!!! just kidding)

8. Don't invest in new business proposals.
(especially get rich quick scheme!!)

9. Cancel holiday plans using credit cards.
(Oh.... the Banks will hate this)

10. Don't change jobs, as companies will retrench based on 'last in first out'.
(Yeaa... be loyal to your boss, your company, if possible treat your boss for a kinky night outing)

11. Keep blogging (this is an additional point from me though!!!)

Stay cool....

The Professor said if you took all of the above actions and more, you probably will be better off than many.

This is not a rumor.

Bear Stearns is the first of many banking andfinancial institutions that will start falling in the not too future.

If Bear Stearns can fall, so can JP Morgan, Citibank, HSBC, and thewhole world.

US economy falls, the rest will crumble.

India and all those self-economies will be the most protected, but not gullible.

Europe may be a little stronger, but not China , another giant!

Malaysia will see significant impact.

God bless us all....