By definition, a recession is just two quarters in a row of negative growth for the GDP, or gross domestic product. In a healthy economy when the GDP is growing three to five percent, a recession simply means negative growth for six months. There’s so much misinformation and fear mongering around recessions, but the reality is that they’re a self-fulfilling prophecy most of the time. I break down why you don’t need to freeze your spending and stress out about the possibility of an upcoming recession. I explain my approach to recessions, my policy when it comes to building my own micro-economy, and why you should always have 12 months of runway to help you stay afloat in the event of an economic downturn in your industry.
( 1:14 ) Welcome back to The Chris Harder Show.
( 1:55 ) Chris defines what a recession is.
( 3:32 ) Chris explains why people are so on-edge about the thought of another recession.
( 4:45 ) Chris says, “All of those decisions of freezing in your tracks because there might be one coming up, those are actually the things that create a recession.”
( 7:48 ) Chris advises listeners to have 12 months of runway set aside.
( 9:51 ) Chris says, “Recessions are usually industry specific.”
( 12:10 ) Chris highlights his approach and policy for recessions.
( 14:30 ) Text DAILY to 310-421-0416 to get daily Money Mantras or Business Perspective messages.
( 15:05 ) Chris asks listeners to share the podcast and leave a 5-star review.