Owen Raskovich

Now, of course, the media will scream at you saying, recession, recession, quick, fear, you know, danger, danger, close.

The insinuation is that a recession is a horrible thing and it's a terrible place to be.

But I want you to cast your mind back to instances where the economy has slowed in the past, so 2009.

We didn't technically fall into a recession here in Australia because of our resources sector, but it was a tough time.

What we've also found is that most recessions aren't nearly as severe as what you are casting your mind back to in the early 1920s, which was a depression.

So that is different to a recession.

A recession, in my opinion, is nowhere near as bad as that depression, which lasts for many years.

What we are likely to see, in my opinion, and this is just a very shallow comparison,

opinion at that.

I'm not basing this on a lot of economic data.

I'm just saying we're not likely to see a huge recession where people are, you know, where 20% of people are out of jobs or 40% of people are out of jobs.

I just don't think that that's likely.

It is a possibility, but I do not think that that's likely.

So then the next question is, if we know what a recession is, it's maybe going to happen.

Does it matter to long-term investors like you and I?

Well, I'm gonna be a bit more general again in this one, and I'm gonna say maybe, but maybe not as much as you'd think.

So most recessions aren't nearly as bad as what your brain is signaling to you.

But some recessions are very bad.

You know, you can just look at parts of Europe from around 2009, which is when the global financial crisis started, in effect, to around 2012, 2013.

And I'm looking at you, Greece.