Much like John McCain, there's a great deal about economic issues I don't really understand as well as I should. However, on the plus side for me, at least I don't aspire to be president of the United States so the only really damage inflicted my lack knowledge on the issue is on myself and Cathy. And not, you know, the entire planet.
This has obviously been one deeply scary 24-hour period. Nothing like watching huge investment banks collapse like, well, since it's that time of the year, giant towers. Things you thought could never fail and then are reduced to rubble in the blink of an eye.
It's some deeply scary shit no matter what your level of expertise on economics and fiscal matters (I take some small, cold comfort in that if I'm having problems grasping the extent of this crisis, then people much smarter than me are also having problems defining its scope). Cathy and I have been chatting about some of these things in recent weeks. With my impending return home, the plan was to meet with our financial advisor, top up our RRSPs and put some more money away for the "house fund."
Hell, we were even thinking about using the house fund sooner rather than later. Given how small our apartment is and the highly unlikely possibility of finding another apartment in town that meets our needs (reasonable size, allows dogs, and where I won't want to kill the neighbours) anytime soon, we'd begun to think about buying a house in Iqaluit at some point next year.
It was, of all things, something in the Scope which said the average house price in Canada in July of this year was a shade over $300,000. Which does put into perspective that the $350,000 to $400,000 for something similar up here is out of whack, but not completely mental, like I've thought for the past three years.
But then you read the news this morning and my first reaction was probably something similar to what my grandparents and great-parents had....that is to find a large pillow or to start hollowing out the mattress.
I know that "this too shall pass", but there is something about giving your advisor, say, $5,000, and watching it magically turn into $1,000 over night that does give you pause. I was talking to my dad the other day, letting him know I was coming home and what was on the agenda. He said investing some money right now would probably be a good idea because the market had probably reached bottom.
Understand, my father is pretty adept at his investments and is considered in my family to be very well off and to have his retirement finances nicely lined up. So seeing him proven this spectacularly wrong in quite so short a period of time does give you some pause.
So I guess we'll see about investing more money right now. Or buying a house.
In the meantime, I'm off to join the recently returned Kate Nova and friends for an alcoholic beverage or two. Drinking seems a sane reaction to the day's events, when you think about it.
Last Five (this is quite the random set of Canadian 80s/90s pop music.)
1. Misunderstanding - Grapes of Wrath
2. Moonlight desires - Gowan*
3. Arias and symphonies - Spoons
4. I will remember you - Sarah McLachlan
5. She kiss away - The Pursuit of Happiness