The Recession Mindset

There were plenty of numbers and statistics this week but let’s take a quick walk through the psychological terrain left in the path of this recession.

During the monthly call-in show, Working It Out Live, we heard from Tammy in Brookline who says in the short run, the recession has turned her into a value shopper. In the long run, it’s changed her sense of what makes the world go round. She used to think the winning formula was top notch skills, hard work and a little luck. She says today, luck has taken a beating.

TAMMY: More risk than luck and right now, the risk factor is huge.

Life certainly seems less predictable to a lot of people. But Jack Donovan, head of the state’s business finance authority, made a stab at channeling for entrepreneurs who he says always see blue skies ahead.

DONOVAN: I’m the one who’s going to succeed even if all my competitors are gone. I’m the one that’s going to be successful because I’m better in some way shape or form. Or I’ll work harder. So that’s what they’re doing.

From Plymouth, we got another view. Sarah Bunkley teaches at the high school. She says this recession has taken the winds out the sales of many students.

BUNKLEY: They see all the adults around them struggling and they say, there’s no way I can make it.

Overall, if this recession has had any lasting impact, it’s that people now take very seriously the sort of disclaimer that comes with any investment ad. Past performance is no guarantee of future results.

A quick spin through the week’s numbers. We had a surprise drop in unemployment, now down at 6.8% but almost all the new jobs were in local government, aka schools. In the housing market, homes sales went up about 8 percent but prices continued to fall by about the same amount.

Tell us how the economy looks to you. I’m the world’s most dedicated reader of the Working It Out blog. You can find it at nhpr.org/wio.

With this round-up of the week’s economic news, I’m Jon Greenberg.