For the past few years, many of the discussions on our radio program have focused on predictions concerning the bleak economic conditions facing us. Unfortunately, most everything that we have talked about with our guests has become reality with two notable exceptions.
These exceptions are the price of precious metals and the share prices of the public companies that are active in the resource industry.
One of my listeners recently sent me an e-mail where she accurately brought up the fact that resource stocks are off an average of 75% and that precious metal prices are also falling. She went on to say that she was tired of the “cheerleaders” in our industry and that she disagreed with my optimism.
Okay, I cannot disagree with her facts regarding metal and share prices. But, I can disagree with her feelings about my optimism.
God gave us a free will. Our minds are able to think about an issue in any way that we desire.
When I was much younger, I faced a crossroad. I could continue on the comfortable path and live my life making no changes or I could alter some habits and attitudes and preceed in the direction that, deep down inside, I knew was correct.
Interestingly enough, making those changes was not as difficult as I expected. Of course they didn’t happen overnight but after a few years my life was different.
What made it different? At the risk of being simplistic, there was only one real change and that change was my outlook. I viewed life differently. I realized that circumstances were what I made them and not what someone else said they should be.
I didn’t just wake up one morning as a different person. I read all the books I could get my hands on about “positive mental attitude” and I took courses offered by organizations like Dale Carnegie. I looked around at others in my life and it soon became obvious that the happy and successful people were those who took action and always considered the glass to be “half full”.
So okay, today we are in very difficult economic times. And, if we as a society don’t do something about it, we are going to stay in these difficult times.
What can we do?
We have to take action. Going into a cave and hiding out is definitely not an option. We have to work as hard as we collectively can. Blaming the government, Wall Street and anyone or anything else we can think of will do no good. We have to stop being selfish and thinking we are making ourselves look smart by pointing fingers at others and saying “I told you so.”
What are my family and I doing about this?
Well, much to the probable chagrin of the listener mentioned earlier, I am continuing to invest in resource companies. At current share prices, the industry would have to simply go out of existence for us to loose any money. Kathy also continues to be enthusiastic about purchasing gold and silver.
Are we just sticking our heads in the sand? Well, if we are than thousands of people before us who rightly stayed positive and trusted the metals during hard times were all crazy. History proved them to be quite sane just as I believe history will point out that today’s buyers of gold and silver were the ones who fared well during the economic turmoil that began in the early part of the twenty first century.
October 29, 2008
Al Korelin is the host of the internationally syndicated Korelin Economics Report. The program is broadcast on the radio to an audience in excess of five million people and is also available for listening at his website. He is also the founder of A.B. Korelin and Associates – a consulting firm that works in the area of regulatory consulting with public companies. Unless it is clearly stated neither he, his family or his associates own any shares or receive any compensation in the companies he mentions on his program.