News

Recession Briefing 4.3

What you need to know today to survive and thrive in the recession.

The U.S. economy shed 663,000 jobs last month, raising the unemployment rate to 8.5%. The number was slightly higher than had been expected. (AP)

A record 32.2 million people were receiving food stamps in January, representing about 10 percent of the country. This is the third time in five months that the program’s enrollment has set a new record. (CNN/Money)

“It’s going to be bad, very bad,” says Nobel-prize winning economist Joseph Stiglitz. “We’re experiencing the worst downturn since the Great Depression, and we haven’t reached the bottom yet. I’m very pessimistic.” (Salon)

Should you feel guilty if your friends are unemployed and you still have your job?: “Many people who are working say they’ve stopped asking unemployed friends about job prospects, and they make sure not to gripe about their own jobs when those friends are around.” (The Big Money)

Housing sales are beginning to pick up in some of the hardest hit markets in the country as first-time buyers and speculators go bargain-hunting. Can their confidence spread to other parts of the market? (BusinessWeek)

As companies’ profits fell last year, so did CEO pay. The median salaries and bonuses for the chief executives of 200 big U.S. companies fell 8.5% to $2.24 million. (Wall Street Journal)

Some of the banks that have received government bailouts — notably Citibank, JP Morgan Chase, Goldman Sachs and Morgan Stanley — are looking into buying up the so-called “toxic assets” that their rivals sold to the government. (Financial Times)

Cutting monthly mortgage payments by 10 percent or more can significantly reduce the rate of default among distressed homeowners, new data suggests. (Wall Street Journal)

Many condo complexes are facing a “death spiral” as owners in economic straits or foreclosure stop paying their monthly common charges. With yawning budget shortfalls, many are cutting back on expenditures. (Reuters)

A look at the human side of the recession: Nearly a year after he was laid off from his job as a window installer, Raymond Vaughn is still out of work, still scanning job listings on the computer and still sending resumes into a seemingly indifferent void. (New York Times)

If you come across a good article or blog post about the recession pass it on.

Tags: banks, business, economy, real estate, The Unemployed Life, Wall Street