Will the Internet Market Fail, Too? - How Finances Work
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Less than a decade ago, the economics of the United States were in grave danger. Terrorists struck at the heart of the American financial world, inspiring fear and sadness in the minds of many. For a few days, it seemed almost as if the world was coming to an end. The president of the country gave the nation a cause to rally around, a mission to fulfill: get out of the house and start spending money.
This might sound silly, but it’s what pulled the U.S. out of a slump several years ago. America, like so many other countries, thrives on commerce. Some people buy, other people sell; sometimes the roles get reversed. There is a constant ebb and flow, a constant exchange of money. It’s what makes the economy of the U.S. work in the first place.
How’s that? It’s a fairly simple concept. Bob the Buyer may not have much to spend, but we all deserve a little entertainment now and then. So Bob goes out and gets himself a brand-new DVD player, several recent flicks and a six-pack of beer. He buys gas on the way to the video store, and some fast food on the way home.
Bob, in this seemingly small way, just provided a ton of jobs. DVR manufacturers rush to replace the machine he purchased, getting it back on the shelves so others can obtain the same model. Store clerks are needed to wait on Bob and complete his transactions. Oil producers will soon replace the gas Bob bought from the store, which in turn hires employees to oversee the premises and take Bob’s money. Even Hollywood receives revenue, so that city can continue to employ actors, actresses, directors, sound and video crew, writers -- all sorts of people who work toward providing entertainment.
The country is populated with Bobs. Because of Bob and all others like him, the country continues to work.
Except, of course, when it doesn’t.
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