I Don't Get It.

I don't understand this whole economy thing.  I kinda wish I'd taken some econ classes in college, but alas, I studied liberal arts, NOT business.  Now I find myself feeling completely baffled as people are losing their jobs all around me and all we keep hearing about is how the world is falling apart and the economy is going down the tubes.  I don't understand the whole recession/depression thing.  I feel very naive.

What exactly has changed?  A few months ago everything was fine, now everyone's losing their jobs.  I don't get it.  It seems like people get freaked out and then respond to "the economic crisis," so it gets worse, then people freak out more, then it makes it worse, etc.  Like a big, giant downward spiral that is mostly psychological.  I just don't get it.  Where does the money go?  If they haven't done anything different than they were doing three months ago, why is there suddenly no money?

And I don't even pretend to understand the stock market.  I have a little bit of money ("retirement"--haha!) invested, but my "advisor" (pshhhh) told me that if I'm not very reactionary, the best way to do it is to just ignore it and pretend it's not there so I don't get freaked out when the stock market dips and dives.  Whatever.  

All I know is that for the time being, I'm ensured my job is pretty safe (knock on wood), and I sure hope it stays that way.  Same with my family and friends.  If anyone has any suggestions of a good book that could explain this stuff in a simple, non-business-major sort of way, I'd love to hear about it.  I don't want to be naive about this, but I definitely am.

In the meantime, here's what I have to say:

Dear Mr. President, 

Please fix the economy.  I know it's not that simple, but please worry more about fixing it and making things better than about your popularity or about political gains.  Please just lead us in this time and do everything you can, with all your advisors, to turn this around and make things better for all of us.  And while you're doing this, I'll keep working hard at my job and hoping it stays safe and stable so I can keep paying my bills and stuff.  And I'll pray for you.  Okay?  

Thanks,

Jen