This Saturday afternoon I had the pleasure of paying just $1.74 a gallon for gas at Wal-Mart. My car was filled for $16. This is the first time this has happened since May 2004.
Circuit City, Linens n' Things and Goody's are all going out of business. The retailers that are left are offering discounts of 25% to 50% off in hopes of making even a few dollars profit.
I look around at this and say, "Good!" This fits the definition of "right-sizing" to me. Previously sellers realized that customers would pull their credit cards out at the drop of a hat, and they took advantage of this to run prices sky-high. "That 13" TV costs $1,200? Well, when you think about it, it's only $25 a month if I pay it off over four years." Pretty soon the price of everything was exorbitantly high.
"But Art, what about the people losing their jobs?" If what we learned in economics is true, these lower prices will lead to a bonanza of buying among the people who do still have jobs. When retailers see customers storming their stores like a herd of rhinos and their merchandise flying off the shelves, they'll have to hire more salespeople, and the factories will have to hire more Chinese to produce more goods...eh...wait, this went off the rails somewhere. Anyhow, the increase in demand that follows a drop in price should lead to everyone finding lucrative, affirming jobs. If what we read in our economics books is true.
If.
My VHS to Digital ProblemThe problem of converting my VHS tapes to digital has been solved. This might not mean much to you, but you have no idea what a weight off it is to me. Maybe I'll even upload some video of myself for you to watch. If I can get over being self-conscious about how fat I am.
If.
