Finance Globe

What is a recession? A recession is often defined as two consecutive quarters of slowing economic growth, as measured by the gross domestic product (GDP), but it's really a little more complicated than that. Economists must measure data regarding personal income, unemployment rates, industrial production, and sales and manufacturing volume to determine whether we are heading towards or already in a recession. Even after the pros analyze the data, they often don't agree whether we are...

So, have you received the friendly little reminder the IRS sent to you? Many taxpayers will receive a rebate of $600, $1200 for joint filers, and an additional $300 for each qualifying child. Even those with no tax liability may receive $300; all you have to do to be eligible is to file your 2007 tax return. High-income filers may receive reduced payments or no payment. The IRS will start sending these out in May, separately...

There's been a lot of heated discussion about the mortgage bailout. And why shouldn't the discussion be heated? Predatory lenders and gullible borrowers got together, and somehow the borrowers became convinced that they could afford a house they didn't have the income to pay for. Thinking the boom in real estate would never end and that housing prices would continue to climb, they gambled on the biggest purchase of their lifetime. Rather than play on the...

Unfinished business in the wake of the housing bust My neighborhood is still under construction. The back of the subdivision has unfinished gravel roads, and some of them are still dirt. Empty, weed-grown lots abound, scattered with a few finished houses on a few paved roads. "Lot available" signs dot the land on what used to be acres and acres of cornfields. There were supposed to be three phases of construction, but this third phase has...

The next Great Depression? You've probably heard the media comparisons between the current economic crisis and the 1929 stock market crash that preceded the Great Depression, but is there really any reason for the scare tactics? Well yes, we have recently experienced a number of similarities with the series of events that led up to the worst financial crisis in history, but there are also some very important differences. Due to the many complex issues that...

Last night, we experienced a historic event in the election of our new president. President-elect Barack Obama will be the 44th American President to lead our great nation. Though nearly half of American voters are likely to be extremely disappointed in the victory of the Democratic candidate, all Americans should be proud that we have reached a symbolic new era that proves that greatness isn't dictated by the color of our skin or the nation of...

This article is the third in a three-part series, the previous article discusses events leading up to the stock market crash of 1929. This article is a short history refresher on some of the major events that contributed to the crash, as well as how the government's past actions or lack of actions may have contributed to the severity and longevity of the Great Depression. I would also like to point out that many economic historians...

2008 was been a rough year for all of us, and 2009 doesn't look much better. Millions of Americans have already lost their jobs - few industries have been safe from the plague of cutbacks among ailing businesses struggling to survive. Investors who've built up their life savings, their retirement funds, and their kid's college tuition through years of hard work and discipline have watched hopelessly as the value of their holdings plunge by 40% or...

Stock markets around the world plunged in response to the U.S. House of Representatives' rejection of the $700 billion rescue plan. The Dow Jones Industrial Average dropped 777 points on Monday after it was apparent that the bill would not be passed, for the largest single-day drop in history. The markets have since recovered slightly. Though most Americans don't like the way it happened, many realize that there must be some government intervention to prevent further...

Exxon Mobil Corp. bumped Wal-Mart Stores, Inc. out of the number one position in the 2009 Fortune 500 list released on Sunday. Fortune's list ranks companies by their annual revenue. Exxon-Mobil surpassed the retail giant's revenue by bringing in $45.22 billion in profit for 2008, up by almost 19% from 2007. Exxon-Mobil managed to post record gains for the fourth year in a row, according to the magazine. Though slowing demand and lower oil prices hurt...