A View from Elon Musk
As inflation continues to surge, more people are concerned that the Fed Reserve’s policy will bring the US economy into recession. Actually, if you look at recently earning reports from Target, and Walmart, you can find out that consumers start to save more money on daily essence shopping while decreasing the demand for other non-necessary shopping. The consequence will be, that many companies may lose revenue because of this spending downgrade, and cause the whole economy to crash.
Recently, I watched a video from “All-In Podcast”, in which the richest person in the world, Elon Musk, was talking about his opinion about the economy.
If you are interested, I really recommend you can watch this video completely. Or you can watch from 56:37.
- Be prepared for a recession
- Decrease unnecessary spending such as travel, luxury goods, dining outside
- Increase the cash flow as much as possible, such as switching to a higher pay job, or starting up some small business such as a website.
- Keep investment. Even if it is not a good environment now, some high dividend stocks will still give you good returns.