Economic Crash: When will Panic with a capital P set in?
We are living in very interesting times indeed and most certainly are in unchartered waters (especially for the new "celtic tiger" generation).
Today we had growth rate predictions for '08 slashed to a level not seen since 1986. It looks now that this is not simply a rerun of the 2001-2003 slowdown; we are heading for proper humdinger of a recession.
With the prices of essentials rising dramatically (esp. oil & food), property crashing, and tens of thousands of construction jobs gone, when will the ordinary joe en masse start to panic ? - panic that their job is at risk, panic that they cannot afford their mortgage repayments, panic that the value of the mortgage they are lumbered with is substantially more than they will ever get if they sold up, panic that they wont have the disposable income they need to enjoy the social life that they currently lead.
There certainly will be a psychological inflection point - but when. My guess is September/October of this year, with the worst economic winter since 1983 to come- but at least we have each other though!