The Economy

    The economy of the U.S. and many other countries is in serious trouble.  The bailouts so far haven't done much and many are wondering if more bailouts is just throwing good money after bad.  
    I think to a large extent, it is.  I'm not opposed ot bailing out  companies that are in trouble, but only if they have a plan to solve there problems.  With the auto industry, it's not just a matter of people not wanting to buy new cars.  They don't want to buy the cars that are being offered.  I've bloged before about my personal plans to buy an electric car and I'm sure I'm not the only one.  Many people are waiting for alternate fuel cars to become more available.  The Tesla company is having no problem selling their electric sports car despite a $100,000 price.
    That is just one industry.  Others have similar problems.  The real problem is that we need to get away from the concept of an economy based on ever increasing consumption.  Simple logic should tell us that cannot go on forever.  We are using up our natural resources and people are buying so much stuff they don't really need that personal warehouse space rental has become a booming industry.
    The same is true of service oriented business.  When the economy is shaky, people quickly start learning to do more themselves and stop using landscaping services, maid services, even barbers.
    We need companies that will start supplying the needs of people rather than spending millions on advertising to convince us to buy whatever goods or services they want to offer.
    We also need to remember that everything occurs in cycles and the current down cycle in the economy will end and it will recover again.

 

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