As you know, being in the art business with a high fixed overhead has been a nightmare in this every lingering down economy. Make no mistake about it, this economic nuclear attack is FAR FROM OVER.
Reasons are as follows:
1. We imported too many jobs overseas and what remains is challenged competively by lower overseas costs. result: NO JOBS and the USA job market is still losing ground. Obama cannot overcome this problem without earthmoving radical moves. The rich right wing is tightly holding onto their cash, not spending and so far holding the line against further (STUPID) inflationary moves by Obama and Company. Problem is that we need more liquidity to get the economy going but OBAMA etal has squandered our chances with totally stupid poorly thought out attempts which have done nothing to stop forecloseure or support business and the middleclass. Only the poor ghetto dwellers exist in Obama’s twisted mind. SHAME.
A Solution (for starters):
The Federal Govt. declares that all adjustable mortgages are illegal and were (truthfully) misrepresented to the public based on greed and hard sale tactics. Force lenders to accept a 1% – 2% fixed mortgage rate and if they do the US Govt will guarantee ALL US mortgages against foreclosure. This will greatly reduce foreclosures.
Result: Most Americans will see their mortgage outlay cut in half and will start spending again. Companies will rehire and factories will start producing again.
2. American consumer is trapped and being destroyed by the credit card industry and the credit reporting agencies. Too many Americans now have lost credit. Cannot buy a home because they cannot get a mortgage unless you are a poor minority and there is a limit to that. No loans for small or medium business because of bad personal credit ratings. This will prolong the slow economy and prevent any rebound. Solution: OUTLAW THE CREDIT REPORTING AGENCIES based on protecting personal privacy. FORCE the credit card companies to accept their losses and forgive debtors across the nation. Perhaps a bold and radical idea but essential.
3. CHINA, CHINA, CHINA………Look for late 2011-2012 for China to start having big economic problems which will spill over to the USA. If the USA follows my above remedies, then China will benefit from a rebounding USA economy and not go into a tailspin. If the status quo continues, look for our economy to keep unraveling until our society completely breaks down into anarchy and perhaps civil war {not kidding, simply use your common sense and imagination).
4. Common sense is lost between the ultra socialist left wing and the do nothing, have all the money, right wing. The left wing led by Obama continues to squander away any chance of really helping this country with their spending plans targeted towards the unproductive part of our economy, while the right wing wants to do nothing and simply let market forces destroy the lower (middle included) classes, resulting in a banana republic dual society of a small group of powerful rich lording over the mass of starving, uneducated and homeless masses. While I want preserve freedom and a free market society, there has to be controls and safeguards against abuses by lawless and greedy corporate and individual powerbrokers. Start with traffic lights and speedbumps: we all hate them but they are essential because not everyone driving practices courtesy, common sense and fair play. We need proper regulation but not pure socialism or communism which actually destroys motivation and productivity.
When all the dust settles, all we really have is our honesty, loyalty and inner resolve. We have to adjust to changes and rebuild from the basics. After all everything happens in a CIRCLE (universal), just that this circle is larger than most but eventually we will start back up again, but before that can happen we have to hit bottom. We can shorten or widen that circle with positive or negative actions. Think about it!