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As a result of the decrease in consumer spending, the products produced by the factories cannot be sold, the workers are in a state of loss, the factories are unable to pay wages or lay off workers, and unemployment increases. Unemployment increases, incomes fall, and consumer spending decreases, creating a vicious circle. So when the economy is booming, the unemployment rate is lower, the products are abundant, the ** is cheap, and everyone has money to spend.
Due to the great abundance of products, the supply of products in factories will exceed demand, and the price will be reduced, and some will reduce production. But the demand is still increasing, and finally slowly as the inventory decreases, **start**. The money in people's hands is slowly decreasing, and some of them have begun to borrow money to consume, ** have begun, and consumer spending has begun to decrease in agitation.
The economy entered a recession, and after a period of depression, it began to expand again, and slowly prospered again, and the economy went through four cycles, recovery, prosperity, recession, and depression, just like spring, summer, autumn and winter, and so on.
Some of the consumption expenditures of one person are the income of another person, and if the consumption expenditure decreases, the income of some people will decrease, and the income will decrease, which in turn will lead to a decrease in consumption. In the end, production shrinks or the goods produced are squeezed, and they cannot be sold.
The modern economy generally uses credit overdraft consumption to increase domestic demand, if moderate, it is conducive to economic development, however, excessive overdraft consumption is harmful to the economy. Because credit has a cycle, let's take a family consumption as an example, if a family starts to have no money to spend, the bank gives a limit of 100,000 yuan, he consumes the 100,000 yuan a year ago, and in the second or third year, in order to repay the debt, he no longer consumes excessively. Because the factory saw the increase in consumption in the first year, it felt that there was a market and would increase production, but in the second and third years, the factory produced a lot of goods, and because people had no money to consume, they could no longer spend through borrowing, and the income was used to pay off debts.
So it leads to overproduction. This kind of product is relatively in surplus, and some products are in short supply, such as daily necessities, food. That's why when the economy is in crisis, the food and vegetables in the supermarket are snapped up.
Maybe the car, or some mid-to-high-end goods, can't be sold. Factories will go out of business,
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1. Stabilize work, ensure economic excellence, and seek survival first.
Unemployment in a crisis is a high probability, the economy is depressed, enterprises can not carry out business, no business, no sales, no profits, naturally have to lay off employees. In the on-the-job state, we must try our best to do our own work, add weight to ourselves, make ourselves irreplaceable, and ensure that there is a stable spring every month**; If you are unemployed, even if your expected earnings are reduced, find a suitable job as soon as possible to ensure a stable income**. In difficult times, survival comes first, survival first, and then development, and personally, it is necessary to keep employment in difficult times.
Usually we should develop the habit of accumulating spare funds, and in times of crisis, we should not spend unplanned, but should have sufficient cash flow, and cash is king in times of crisis. When an economic crisis is a risky asset**, cash becomes the most expensive asset in the world.
Second, do what you can, consume reasonably, and save resources and open up flows.
In terms of consumption, everyone has to do what they can according to their actual situation. The wealthy and high-income groups can respond to the call to actively consume to ensure overall social and economic stability. Those with lower incomes should reduce their expenses as much as possible while ensuring essential supplies, and keep enough reserves to improve their ability to resist economic risks.
Firmly believe that cash is king, and it is better to depreciate than to lose all your money.
3. Reduce debt, reduce debt, reduce debt. Reduce leverage, reduce leverage, reduce leverage.
It includes not only housing loans, car loans, Xinzhi durable cards, Huabei, etc., but also the leverage of the capital market.
All crises are indispensable to debt, the first to fall before the crisis are highly indebted enterprises, banks and individuals, and they should also avoid lending money to others when reducing their debts, unemployment is what most people have to face, and you don't know if he has the ability to repay the debt.
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1. In the past three years, there have been many companies that have increased their revenue by expanding new businesses. When the company's performance is not good, expanding new business and opening up new ways to increase revenue is the response method adopted by many companies. ......In fact, such measures are also the most common method adopted by the vast majority of companies.
In practice, many companies have indeed increased their revenues by expanding into new businesses and have survived these three difficult years. However, there are also some companies that are not familiar with new areas, so they are less effective in the process of expanding new business. ......Therefore, this measure does not solve the problem 100% of the time.
2. There are many companies that have survived these three difficult years by optimizing their internal structure and saving costs. Every company needs to consume operating costs in the process of operation. This factor is crucial to the profitability of the public demolition of Sun Qingsi.
When the company's operation encounters difficulties, it must be ...... with the reduction of expenditureTherefore, in the past three years, many companies have chosen to optimize their internal structure as a measure to save costs and tide over difficulties. ......In practice, the companies that have taken this measure have invariably benefited. The company's lower costs correspondingly increased profitability, which played a huge role in the company's ability to tide over the difficult times during this time.
3. When the field of operation now encounters difficulties, many companies choose to change careers and develop. In the past three years, the business environment faced by many companies has changed greatly, and even some companies have been unable to develop in the original business field. ......For these companies, their choice is to change careers.
To do so, there is not only the element of necessity, but also the courage to forge ahead.
Facts have proved that those companies that are self-contained are in trouble, while those companies that dare to break through themselves have gradually become formalized and the business situation is getting better and better. ......With the continuous improvement of the external environment, these companies will develop faster and better, and become the ultimate success.
We should militarize the national economy, vigorously develop the military industry, and actively carry out foreign aggression and expansion.
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