Why isn’t our economy stronger?
Is it due to lack of economic growth?
Is it due to lack of innovation?
Is it due to lack of good jobs?
Is it due to the lack of consumer spending?
Is it due to the lack of leadership in Washington?
Is it due to the lack of investing by the wealthy?
Is it due to the strong dollar?
Is it due to the domestic and world political instability?
Is it due to the lack business investment?
Is it due to lack of entrepreneurship?
Yes to all the above. However, could the following be the underlying reasons our economy not being stronger and growing?
1. Debt load. A heavy debt burden by government, businesses, and consumers takes is taking its toll on economic growth. In the last 44 years, since 1971, the total debt by these three sectors (equally divided) has increased from 2 to 60 trillion.
2. Demographics. The 76 million baby boomers drove the economy since they were in diapers. Boomers age aging and staring to put the brakes on their spending.
3. Bureaucracy and regulations. Government and business bureaucracy is running rampant and stifling economic growth.
4. Tax, tax, and more tax. The consumers are getting hammered by increased taxation and higher prices while wages are stagnant. Guess who pays for government debt? Consumers do via increased taxation. Guess who pays for business debt? Consumers do. Guess who pays for consumer debt? You know it.
5. Lack of faith. There can be no growth and prosperity where there is spiritual poverty.
6. Excess reliance on government. There can be no progress where there is way too much reliance on government.
7. Lack of historical perspective. Economic lessons are always repeated when the lessons are not learned. We live in a world with very short memory thus repeating our mistakes. Imagine the blind leading the blind!
Thank you for reading and reflecting on today’s nuggets. Please share with others.
Be blessed and be a blessing to others
Author of the book Priceless, Co-author of the book Follow to Lead
"The future belongs to those who can see and pursue opportunities before they are obvious."
"Those that take swift action will always leave those that don't breathing the dust."
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