Posts tagged as:

The New York Times Co

The cheapest food in the world

by drm on July 5, 2010


I was struck the other day by the observation that the start of our current recession was sharper than the Great Depression and that the steps taken by governments around the world to provide financial stimulus helped to moderate the decline.

That observation got me thinking about how different the images of this recession are from the images of the Great Depression.

The New York Times had a long article in the Week in Review section this week that captured some of the underlying difference.

A great many people have lost faith in powerful institutions, from Congress to Goldman Sachs. Yet beneath the bitterness coloring national affairs — down at the level of neighborhood, family, coffee shop, tavern — a tenuous belief in the collective good remains, perhaps moderating national dismay.

I don’t think that the Times article intended to demean the level of suffering and pain that individual people a experiencing during this downturn. But they captured something of the zeitgeist that I experience as a I travel around the country. People are carrying on, often with a tremendous amount of energy and a degree of mobility and connectedness that is unmatched by any time in our history.

That perspective made the chart above particularly powerful.

One dramatic difference is the relatively low cost of food in the U.S. compared to other places in the world. The affordability of food is driven by diverse factors, including vast natural resources of our country, federal subsidy programs, efficiencies in distribution and innovations in preservation.

And compared to other countries, there’s no other place on the planet that has cheaper food than the U.S. (2008 data here). The 5.5% of disposable income that Americans spend on food at home is less than half the amount of income spent by Germans (11.4%), the French (13.6%), the Italians (14.4%), and less than one-third the amount of income spent by consumers in South Africa (20.1%), Mexico (24.1%), and Turkey (24.5%), which is about what Americans spent DURING THE GREAT DEPRESSION, and far below what consumers spend in Kenya (45.9%) and Pakistan (45.6%).

When you don’t worry about where your next meal comes from, you can afford to feel optimistic and energetic. The relatively low cost of food in our country is an important element in keeping that positive viewpoint up

Share

{ 1 comment }

In the 455 posts since I launched ViralHousingFix on January 4, 2009, there hasn’t been a longer gap than the one between Post 454 and this post, number 455:  11 days.

The workbook I use for my professional notes is chock full from the past two weeks, and the program I store interesting snippets in has a long backlog, but there haven’t been any posts.

2010-05-21 09.53.55-1.jpg

Being busy with a lot of exciting developments at NCI is part of the explanation.  Getting engaged in a personal writing project is another.  But there are a couple of other reasons for the fallow spell that I think might be interesting to those of you who follow this blog regularly.

The first is that I’ve stepped back for a bit to see how things are going to turn out.  Over the past 16 months, I’ve written and shared a lot of analysis of the economy and the housing market.  The two big questions were exactly what the composition of the recession was and what the beginning of the recovery would look like.

Right now, we’re in the recovery and it’s a choppy and uncertain time.  The macro trends have been positive, as a fairly random selection of charts picked from the blog Carpe Diem shows.  Our business at NCI is hyper-local and consumer-driven, and our experience is showing us that while the recovery has settled people’s nerves, it is neither expansive or extended enough to dramatically shift consumer sentiment to the degree that households are getting reformed and the consumer’s near term outlook is upbeat.

leading indicators.png

recession probablity.pngindustrial production.png

That sense of stasis has diminished my urgency to write about economic trends.  I don’t feel like there’s anyway to really project when consumers are going to have a baseline change in outlook.  It’s going to happen.  When it happens we’ll be happy about it, and a little surprised that we didn’t see it happening at the outset.

In a New York Times column, Jack Stack, CEO of SRC Holdings, Inc., summed up the current zeitgeist:

The funny thing is that despite their recent success, most of these folks seem reluctant to acknowledge that things have gotten better. Why? Well, I have two theories about that: one, people feel so burned by the last few years that they still fear a double dip — and they’re still waiting for another shoe to drop.

I think that’s a pretty good characterization.

A second reason for the dry spell on the blog is that I’ve been digging in on the learnings that we’ve developed around our DigitalSherpa social media marketing service over the past year.  It’s been pretty rich and exciting, and part of an overall organization audit and assessment that we’re doing across the service.

digitalsherpa logo.png

I haven’t written about the things I’ve learned because there’s a lot to synthesize:  the outcomes and experiences of more than 1000 client engagements.  We’ve essentially got thousands and thousands of proof points around the power of content marketing on social platforms, the relative value of different types of engagement, and the impact that a consistent content marketing plan has on search traffic and referrals.

Some of the facts are fun for their sheer scale.  For instance, we’ve generated more than 1 million social interactions for our clients in the multi-family space since launching CommunitySherpa last summer.  Some of the facts are engaging for their business impact:  one client has been able to cut more than $200,000 of search marketing spend because of the impact of the content marketing program that we’ve executed.  (That $200,000+ savings is net of the cost of the program, by the way.)

When you man a blog single-handedly, you’re going to experience ebbs and flows.  What you were writing about isn’t always what you are going to be writing about, and when you get to a juncture where you see a new avenue to explore, sometimes you just need to set back and sift through facts for a while.

The last three weeks have been partly busy and partly sifting time.  Thanks for your patience.  The one thing that has really impressed me is how strong the traffic to the blog has stayed.  That’s because of the way that all of you have used the content — the sharing, the commenting and the reading.  I appreciate it.

 

Share

{ 2 comments }

Some economic reasons why we don’t need to keep looking over our shoulders.

April 9, 2010

I was reminded this week of a primary premise in evolutionary psychology: we’re genetically programmed to emphasize information about danger and minimize information about pleasure.
This is a gross simplification of interesting science, but is a useful overlay to the confluence of economic statistics and contradictory commentary in recent weeks.
In today’s New York Times, the [...]

Share
3 comments Read the full article →

A model of disruption: Why do I care how I get to the NY Times?

March 5, 2010

The single content brand that I’ve had the longest relationship in my life is The New York Times.
Even though I grew up in New England, a highlight of the week was when my dad went and got the Sunday papers — the Boston Globe, the Providence Journal and The New York Times.
Five decades later, the [...]

Share
0 comments Read the full article →

Good reads for Feb 1, 2010

February 1, 2010

So, you ask yourself, is the entire world of social networking focused in Facebook. No, it isn’t. Here’s a good essay from the CEO of myYearbook that lays out a way to think about building a private social network in a Facebook-dominated world. (via PaidContent)
David Carr of The New York Times suggests [...]

Share
0 comments Read the full article →

Jobs, leverage & the future: Thoughts about the challenges of an economic hard place

January 25, 2010

Sometimes a confluence of unrelated inputs adjusts one’s perception of current and future circumstance. The adjustment doesn’t always have a re-orienting impact; often, it is more notable for confirming and strengthening a point of view.
At the end of last week, I shared a summary of Bloomberg headlines that seemed to capture a pirouette in [...]

Share
4 comments Read the full article →

Home sales are within a normal band, but the market pressures are not

October 7, 2009

Earlier this year, I spent some time sifting through historical household and housing data to develop a perspective on what “normal” demand for homes was. One conclusion of that analysis, concluded in May, was there was roughly 18 months of excess housing inventory in the market, and as that inventory was worked through, home [...]

Related Posts with Thumbnails
Share
2 comments Read the full article →