Building Your Money Machine

I've been through 4 recessions, here's what always happens...

19 snips
May 5, 2025
Dive into the reality of recessions and discover why they’re a natural part of the economic cycle. Learn about the four key patterns that emerge during downturns and how to spot opportunities hidden within the chaos. Hear firsthand experiences of investing during crises, including the importance of liquidity. Explore strategies for financial preparedness, from cutting expenses to diversifying income. Finally, understand how to maintain a focused mindset and foster community support while navigating challenging economic times.
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ANECDOTE

Mel's 2008 Liquidity Advantage

  • In the 2008 recession, Mel Abraham had liquidity and invested when prices were drastically discounted.
  • This decision led to his biggest financial growth over a decade.
INSIGHT

What is a Recession?

  • A recession is defined as two consecutive quarters of economic decline measured by GDP.
  • It's a natural economic cycle where the economy contracts to reset and heal itself.
INSIGHT

Why Recessions Happen

  • Recessions are caused by imbalances like excessive debt or economic shocks.
  • Historical recessions involved housing bubbles, tech bubbles, inflation, and unexpected events like COVID-19.
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