Megan tries for optimism:
Recessions can actually be good for some firms, even start-ups (or at the very least, can leave their founders with few viable alternatives). General Electric was just getting going during the Panic of 1893. Hewlett and Packard started their business during the Great Depression. The 197475 recession gave us Microsoft, and the 1980 slowdown birthed CNN. All of these companies revolutionized their industries, and the American economy.
Joseph Schumpeter’s process of “creative destruction”the cycle of company birth and death that constantly renews the economyhappens fastest at the small-business level, where the competitors are most numerous and the pressures are most intense. And the firms that survive, whether by investing in better equipment, as Marlin has done, or by streamlining their internal costs, will make the economy stronger when we emerge from this mess.
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