Economic insights emerge during Covid-19.
Multiple economic insights will emerge during the Covid-19 shutdowns because too many people were ill-prepared to weather such a sudden, and lengthy, period of uncertainty. Once employed, now unemployed, they fear economic ruin because their job security is now jeopardized.
(Photo by Travis Essinger on Unsplash)
Essential or non-essential career labeling has taken a toll.
I salute all front line workers. Many are among my own family members. Thank you for showing up. But assigning people to either essential, or non-essential, categories seems wrong. This labeling has hung an ominous shadow over countless businesses—both big and small. Even medical clinics are suffering revenue losses. Those fortunate to be employed at a grocery store, pharmacy, medical facility, auto shop, the post office, etc., still have paychecks.
But for others, the imposed stay-at-home orders have brought financial loss. As a result, coming up with rent, or money to pay the mortgage, is now a big worry. The evening news shows a huge increase in those seeking food. Because of these facts, there’s a growing emotional health crisis and domestic violence is on the rise. So it’s not easy to feel okay when grappling with broken dreams and fear of homelessness.
All workplaces are important and essential. Don’t buy the lie that what you do doesn’t matter. It does. Don’t give up. Now is the time to think outside the box. Take note of the financial lessons that are emerging. Be determined to shape a better financial future.
Emerging economic insights to put into practice include:
Insight one: Now that you’ve lived through a tough financial patch, prepare to endure another income interruption. So, stockpile the essentials. This isn’t hoarding because it’s common sense to have two dozen rolls of toilet paper on hand. And filling the pantry, or a shelf in the garage, with imperishable foods, staples, and toiletry items is smart. Remember the dog needs to eat, too.
Insight two: Build up your savings account. It’s recommended that families have at least a three to six month cushion set aside for uncertain times. Look at your monthly expenses. Start saving toward this practical goal because the peace of mind will be worth it.
Insight three: Watch impulse spending. Staying home doesn’t mean shopping stops. Online sites are tempting. Do your best to limit credit card purchases to what can be paid off each month. Be bold and negotiate with current creditors.
Insight four: Downsize where possible. Cutting existing costs lessens stress. Less stress equates to a happier family. The new car might have to be sold and a used one bought. Your high school grad might need to consider a community college or online courses over a 4 year university on-campus experience.
Insight five: Never underestimate the power of a loving God. Instead, pray. Seek wisdom. Make wise choices. Avoid scam artists. The Lord warns us to be skeptical of those who appear to have an easy fix.
“Watch out for false prophets. They come to you in sheep’s clothing, but inwardly they are ferocious wolves.” Matthew 7:15 NIV
