Economics 101: Learning in Life What I Didn't Learn in College

The only reason I did well in Econ in college is that I took the courses with my friend, Bill, who had a mind for all the charts and graphs about guns and butter that I lacked, and he was generous enough to pull me along. 

But even as I've tried to deny the daily damage being inflicted on my retirement account--I've been tossing the unopened statements in the trash for the past several months--the economy has risen to become THE conversation. It pops up in headlines in the daily papers and on my phone. It comes up on walks and over dinner with friends and even during Ralph's and my pillow-talk time at night. We who have Greatest Generation envy are finally to be tested, it seems, by the Great Recession. 

Since history never repeats itself precisely, however, I find myself obsessing about what form the paradigm shifts our lives will take. About the only change I've made so far is to stop acquiring and start whittling: I've made a deal with myself that for every day I don't go to Starbucks, I transfer $5 toward my credit card balance (Last week when I was in bed with the flu and only craved tea, I "made" a whopping $35!) 

This nonetheless represents a big change for me. I have lived my entire adult life by an approach that Calvin Trillin calls "Alice's Law of Compensatory Cash Flow." That's the principal by which if you think you absolutely must buy a fabulous new flat screen TV that cost $5,000 but then remember that if you do there will be no money to pay the mortgage, feed the kids, or train the dog and so you forego it, you have in effect "saved" $5,000 that you can then spend on something else. 

But surely this is only the first of many adjustments, small and large. If few can afford to send their kids to college in the manner to which we upper-middle-class aspirers have planned, will the Harvards and Yales somehow become devalued, replaced by windshield stickers for Georgia State? Will we be blown back a generation, so that we raise our kids the way our parents grew up--living with multi-generations? taking in boarders? We will we start mending the clothes we buy from Target? Will we never be able to retire?

All of this is still in the realm of fantasy right now, and I hope that's where it stays. But in my imagination, what I picture from the turmoil we're in is a more communal life, with greater reliance on and interdependence among friends, family, and neighbors, less waste, and more of a focus on what we really care about because choices have to be made. 

I'd love to hear how the economy has affected you, and where you think we're headed?

Ring in the Old

As usual, the start of the new year was accompanied by a look back, including an entertaining interview with the Bush twins in People, on Malia and Sasha Obama. But one wrap-up that utterly baffled me was the In/Out List published last week by the Washington Post. It's not only that I hadn't heard of most of the things on the "in" list, I was also clueless about most of the "out" list, proving that I'm not just out, I'm out in the standing room section of the upper bleachers. I mean "LOLcats"? "Competitive cup-stacking"? "Gourmet Toast"? "Emphasizing. Things. With. Periods."? Please. The bafflement goes on. And on.

Just when I thought I hadn't been invited to the party at all, along came the ultra-hip SundayStyles section of the New York Times, which made me feel at least somewhat vindicated. For while the Post had declared absinthe--that sickly green liquid that made everyone in Toulouse-Lautrec's day feel so sickly green--soooo last year, the Times had a front-page story on its current popularity:

There are a number of bars in New York City these days that make cocktails with absinthe, mixing it with rum or tequila or gin to, um, complement the taste. A significant portion of them are on the Lower East Side and are the kind of bars that don't have a sign or a listed phone number...

I am declaring a moratorium on in/out lists. It's not just because of my incredible investigative work revealing a Styles war. It's because I'm fatigued by the idea that everything is disposable. It's definitely a lesson that Ralph and I are trying to un-teach Sam and Julia, who, up to now, have had the same toys bought and re-bought for them. And I think we're not alone. Most people I know aren't just thinking three times before spending money, they're also thinking a time or two before throwing anything away that could possibly prove to be useful later on. This includes good ideas. And it extends to the loaf of bread on the top of the fridge, gourmet or not. (Check out the food Web site Loulies, which recently had a post on not wasting food.) 

Recycling extends to fashion, too. The same SundayStyles section, in fact, had a photo feature on pulling one's vintage designer wear out of mothballs. While I don't have a Balenciaga coat hanging in the back of my closet or anything else designer save Isaac Mizrahi for Target, I did rummage through to find a J.Crew cardigan I bought 10 years ago. (Okay, not everything weathers well.)

Along with in/out lists, I'm also putting new year's resolutions on ice. While I'm all for striving to be better, I've come to think that most resolutions aren't so new as they are another example of recycling from last year--or last decade. Lose weight. Check. Get more exercise. Check. Spend more time with the kids. Check. It's just a compilation of all the things that make us feel less than good about ourselves--or even downright guilty. 

Last night when I was flipping through the January issue of Real Simple, I came across a resolution that I could actually buy into. It's "controlling the controllables." And, while they didn't come out and say it, I will: Try not to worry--or feel guilty--about the rest.