Personal Narrative: My Economic Autobiography

1060 Words 5 Pages
My economic autobiography will focus on my economic decisions, and that of the governments, during the time period of 1993-2003. I’ve focused on four of the most important decisions I’ve ever had to make, to quit my job, buy my partner out of our business, close the business and finally the timing of buying my current home.
My first major economic decision was in 1993; my employer Ameritech, who at the time was the main provider of telephone service in the Midwest, proposed to end its local telephone monopoly in return for the opportunity to enter into the more profitable long-distance and cable television market. As a result, the company reorganized and offered attractive buy-outs to their employees. My husband and I agreed I would take
…show more content…
At the time the economy was humming I believe I made a fiscally sound decision.
My second economic decision came in 1999. My husband and I ended our marriage and dissolved our business partnership; I bought him out of the business and became sole owner of three record stores. With the burst of the dot-com bubble and recession on the horizon, add to it CD price fixing, my business ownership days were numbered. The dot-com bubble occurred in the period from 1995 to 2000. Investors pumped money into internet startups; as a result the NASDAQ rose from 751.49 to 5,132.52, a 682% increase! The bubble started to collapse in 1999, with its burst came the stock market crash. Along with the financial damage caused to the economy by the 9/11 terrorist attacks, in 2001 our economy entered into a
…show more content…
In previous years we enjoyed lower unemployment rates than the national average; however this recession saw our unemployment rate soar to 7.2 percent higher than the national average of 5.5 percent. With my business located in Dearborn the heart of the auto industry, high unemployment coupled with internet downloading of music had a negative effect on my revenue. Also, discount stores such as Target, Wal-Mart and Circuit City, were undercutting small music stores by using CD 's as a loss leader to attract customers. These marketing agreements violated federal antitrust law which the music industry would later settle with the FTC. But it was too late for my store, my profits plummeted.
In 2003 my third decision was to close the record stores and downsize my home. Between 2003 and 2008 approximately 3,100 record stores around the country closed according to the Almighty Institute of Music Retail, a market research firm (Sisario). Although the recession was over, due to competition, pricing and the effect of technology changing the way people listen and shop for music I was forced to close up shop. The brick and mortar record store had been replaced by iPods and

Related Documents