How Long Can You Tread Water?

I never thought in my wildest dreams that I would be living in the midst of a depression. Okay, okay--Technically it's not a depression, but rather a recession instead. Still, to be touched by and experience the chain of events that has been slowly unfolding is almost mind-boggling.

From my perspective, it seems like it started with the big Boeing strike several months back. Of course that didn't cause it, but that's when I noticed things starting to slide in our area. That's when jobs started drying up, cars started being repossessed, homes foreclosed on. It's no secret that Boeing workers here represent a huge percentage of our Northwest population. They are highly paid, and in most cases, have no idea how to manage money. When I was at Boeing I witnessed it firsthand: Every time a raise came around, they would buy something with it. Another "toy" that they couldn't afford. Although they were making the biggest money a blue collar worker could hope to make in this country, they were still in dept up to their eyeballs. They had all the best and newest of everything, but yet actually really owned very little of it. I could not believe that the Boeing machinists union voted to go on strike at a time like that. What were they thinking? The whole time they were out of work conditions worsened. When they finally did go back to work the damage was done and the water spiraling down the drain had started to reach quite a velocity.

When the strike started the ripple effect had already been in place and building, starting with the housing market slumping. People were flabbergasted that a house could actually be worth less than they bought it for in our country. The slow spiraling downhill of lending institutions that failed because of the housing market slump just made it worse. Pretty soon it was everywhere you looked. It was like the catastrophe's you hear about in third world countries where a ferry goes down or a bus crashes killing huge numbers of people because they had exceeded it's capacity. It was like a gag contest: "How many people can we fit into our mortgage loan system? Come on, hurry--There's room for more! Keep jumping on board! HURRY!" Well, as we all know, the house of cards fell, albeit in slow motion. It's still falling... With no end in sight.

Things where I work are going very well thanks to two brothers that have their fingers on the pulse of their company. The Brothers LaCroix have never overextended themselves that I know of. Every move they make is deliberate and calculated. They are the epitome of frugal (you should see the crap they have stored). Our workload is very diverse and therefore never really slumped much--Even during the Boeing strike. Now they are playing the bad economic times to their benefit: Buying things and getting upgrades performed at a time when goods and labor are at an all-time low. One of them got a new car a short time ago and the other one is looking. Our whole company is in the final stages of a complete computer system install, designed and performed by a subcontractor guy that is trying to make ends meet and probably gave them the deal of a lifetime on his labor.

I honestly don't know where things are going at this point. I'm glad I have actual cash in a bank (yes, a fair amount of it survived the stock market crashes and slides), but like everyone else, I didn't move things like I should have. There's no way I can do anything with any of my stocks and mutual funds now--I'll just have to forget about them and ride them out. Every morning when I get up and sit down here with my coffee it seems that another company is filing for bankruptcy. This is a strange time. They say that history repeats itself. While that may be true, the combination of events is rarely the same. One thing that we can still depend on though: Friends and/or family.

While we have either or both of those we'll be okay.