What Signs Tell You the Economy is Turning Around?

In every recession, consumers tend to be overly cautious with their discretionary income due to fears of unemployment. This only aggravates the economic situation as the decrease in spending further erodes the job marketplace.

On the other hand, when consumers are confident enough to spend their discretionary income in a generous way, it is a sign that they have regained the confidence in the economy. Their applied optimism will subsequently create jobs and help revive the economy.

The sale of 1 million iPhone 3GS within 3 days of its launch was clearly one of these signs. It was a remarkable example of a large number of consumers spending a significant amount of money on a non-essential item, a definitely positive indicator for our economy.

Regarding the question of: Where do you see growth, increased traffic, future profits and competitive advantages?

Every recession contributes to the demise of more than a few businesses, usually the most inefficient ones. Despite their shortcomings, these businesses have detained a certain share of their markets.

If there are no new entrants into these markets, the market leaders will absorb the market share of the failed players. However, the recession presents an opportunity for entrepreneurs to enter the market and attempt to obtain that share.

Now is, therefore, a great opportunity for companies to create remarkable products and services and leverage their expertise and/or scale in order to enter new markets. The window of opportunity will close as soon as these consumers are taken in by the large players. Since it'll be much harder to obtain them later, now is the time to act.

From a professional standpoint, online, trackable advertising for small to medium-sized business is on the incline, not decline. I've been selling print for 5 years, and moved to online (IAC/Citysearch) 5 months ago and have never been more successful in a sales role. Yes, restaurants, clothing boutiques and smaller businesses in general are pulling large amounts of their marketing budgets. But, they also seem to be focusing on recirculating it online and in areas they can actually see a return.

Citysearch as a whole surpassed its Q1 goal, and that was with going through the G3 migration, which was basically a full re-site development. While print, radio, and other forms of advertising are struggling big-time, online, low-cost advertising investments are booming.

Just ten months ago I got my white coat and stethoscope and for the very first time I had the honor of entering a room and asking people deeply personal questions and hearing their story. The chance to hear these stories is what attracted me to start medical school.

It is a remarkable time to be a medical student because as we are being indoctrinated and immersed in the traditions of the profession we simultaneously hear grumblings of dissatisfied professionals. Every pre-med student or medical student has heard about "paperwork." We hear that the job "isn't what it used to be" or hear veterans say, "If I had to do it again..." We hear patients who have been denied coverage and we see that millions of our neighbors are uninsured.

Yet I am optimistic because right now, from our vantage point as medical students, we hear the call for reform drowning out the complaints. I am optimistic because influential players in the current debate hear Dr. Gawande's call for a system "in which doctors collaborate to increase prevention and the quality of care, while discouraging over-treatment, under-treatment, and sheer profiteering." We hear Catherine Arnst highlighting the medical home model. I am optimistic because this time, unlike in 1993, we see organizations such as the American Academy of Family Physicians, the American College of Physicians and grassroots movements such as Doctors for America working for change.

I am optimistic because doctors and medical students are working to restore, highlight and remind ourselves of the elements of medicine that make it what it is: An honor and a privilege.

This past spring, the clothing store I own here in downtown Des Moines saw its sales rise by 110% over spring 2008. I credit this to two things: 1) localized merchandise that is unique to Des Moines, most of the t-shirts made in the USA and screen-printed inside the store, and 2) a reasonable price point.

While I've watched larger, mall-based retailers decline quickly in the last few months, I see that as part of a more general trend that has been occurring over the last few years: the hip kids are moving away from the mall and from the suburbs, and they are moving toward urban city centers with unique retail. Where retailers like Abercrombie have taken serious hits, smaller stores like mine that are much more localized, urban, and adaptable have benefited greatly from the shift away from the mall, and this shift has almost accelerated through the recession. When there are fewer dollars to spend, it is often the generic, over-priced styles that fall by the wayside.

Many of the larger, public retailers are in a tough spot, but not solely because of the recession. Many small, private businesses are in tune with their customers far more than a larger company, and are not only succeeding through the recession, but are positioning themselves to take up a bigger chunk of America's retail economy in the next three years.

Living in a small mountain town that attracts wealth, I believe that we have felt the effects of the recession last. It took awhile to trickle down (or up) to the Rocky Mountains. However, when looking at my year-to-date cupcake sales I have had an increase of 60% so far over last year. Business owners in town keep saying, "all we can hope for is being equal with last year." Seeing that cupcake sales are on the rise, a splurge similar to the new iPhone, I see a turn for the better here.

Hi Greg,
I'm hopeful for a whole host of reasons, most of them found around my neighborhood:

1.) JOE, my favorite coffee shop in New York, recently expanded and opened up a new branch just down the street from me. Who is expanding in this economy? That place is always humming. JOE puts out a very personal newsletter written by the owner, conducts a weekly running club, holds classes relating to coffee, and has a really, really tasty brew. That simple combination has loyalists coming back again and again, economic downturn or no economic downturn.

2.) On Sunday, a friend of mine and I tried to go to Alice's Tea Cup for brunch. There was a two and a half hour wait. A tiny cafe that offers an experience, good food, and ignites the imagination has a two and a half hour wait in the midst of a recession. Clearly, they're doing something right.

3.) I recently moved to a new apartment that is twice the size of my old apartment, in my same neighborhood, and decreased my monthly rent by 12%, no broker fee, newly renovated apartment. In the past few years, New York has priced students, artists, and entrepreneurs right out of its borders. This economic reset just might make New York an affordable place to live again, re-energizing the diversity of talent that made it great.

4.) Travel is getting cheaper and cheaper, allowing more people to expand their horizons and gain a wider understanding of other cultures. That's got to be good for our future. Empathy and understanding never goes to waste.

5.) Nonprofits are over-run with volunteers. There is a spirit of activism and a strong desire among many to make an impact in this country; only good things can come of this.

6.) Broadway ticket sales are on-par to last year, despite the recession. Granted a lot of shows closed in January. The ones that remain are seeing full houses on a regular basis. And the money they're discounting per ticket is being made up with higher ticket volumes. Accessibility to the arts makes us better people - it encourages our creativity and helps us see the world through new eyes. Art teaches us how to tell powerful stories - a valuable skill in any industry.

Hope is all around us.

Today's jobs report made be feel very optimistic.

From my perspective as a musician in New England/Boston with my band Comanchero.

Entering 2009, I expected Comanchero's CD sales, downloads, and show attendance to take a dip in line with the economy. However, I have been pleasantly surprised over the past few months to see that our show attendance has been as strong as ever in Boston and around New England. People are still coming out in droves to see live music, and what's even better is that our digital sales are up 20% over last year. In spite of the fact that hard CD sales have been flat this year, people are using the Web more than ever to consume music, and we still see willingness from our fans to pay for digital downloads.

I can't tell weather or not it's the past 10 years of work I've put into music, all suddenly coming to fruition, or the fact that maybe certain aspects of entertainment are especially vital to people seeking an emotional escape during this "down period", but I've been actually been getting more work recording on other peoples records in the past 3 months than I've ever gotten thus far in my entire career. LA + Nashville both seem to be hotbeds of creativity right now where records are still being made! It's just that they're just being sold in different ways than they used to and labels need to scramble to generate another business model especially as theirs becomes more and more irrelevant.

Two words: Eighties fashion.

The return to the styles, colors, and quirks of the 1980s signifies much. The Reagan era held a certain level of economic optimism for many, and fashions of the day reflected an attitude of conscious consumerism.

That time period saw the emergence of the power suit with its broad shoulders and sharp tailoring for both men and women. Their millenial counterparts are growing shoulders (especially for the women), and hemlines are rising once again.

Piling on bracelets, chains, and baubles was huge twenty years ago -from the cheap, yet chic, armload of rubber wristlets worn by Madonna, to the weighty collars of chains and pearls a la Chanel. Take a look at major retailers such as J Crew and Banana Republic and you'll see counters full of sparkling cocktail rings that cover fingers up to the first knuckle, generous sets of bangle bracelets, and necklaces that blur the line between ornamented chain and breastplate.

But perhaps the most significant sign of optimism in fashion are the colors of the clothing. Skinny ties in eye-popping brights for the guys harken back to the new wave uniform of alternative musicians. Royal blue, magenta, and goldenrod glow from the racks of womens skirts and tops. Oh, and let's not forget neon. Really, is there any other palette that shouts exuberance more than chartreuse, day-glo orange and vibrant green?

Things are picking up in digital marketing, especially SMEs who are realizing they need to invest a bit to get new customers. @ddudgeon

I'm seeing an increasing number of companies investing heavily in video for their sales and marketing. - Christopher Savage, president & CEO, Wistia (@csavage)

Just had our best month. Positive for TerraCycle mission: put environmentally responsible choices within everyone's grasp (@gwchev)