“Wall street drop worried about a global slowdown…” European debt crisis could take two years to resolve…” these are quotes from the Economic Times news. Paying bills, saving, wealth management, how to invest, income, and expenses are all too familiar challenges that mandate some managed time and effort by everyone. Economics and finances work together as teammates.
The task of finances has always been great, but today’s economy, no doubt, has increased the level of attention and effort required to balance the task. The evidence is very apparent that our economy has problems and needs an attitude adjustment.
The first step to solving a problem is to recognize that there is a problem. This is a point where everyone may agree (seemingly a too infrequent occurrence). The second step to solving a problem is to identify the problem and thirdly, find and implement a resolution.
To identify the problems with today’s economy, I believe, requires going back to review some fundamental basic elements that affect economics and the responsible role each play. Realizing that BLOG time is short, let’s assume that everyone know and understands most of these basic economic elements.
However, there are two of these elements that I believe, mandate a defined common ground a to what role each plays in economics. Government and private business are the two most commonly disagreed fundamental roles in today’s economics.
What are the mission and responsibilities of government and the private business sector? The oversimplified questions to define are: Does government make money? Does the private business sector govern? The purpose and responsible role of the government is to govern. The purpose and responsible role of business is to make money. Thus, the respective answers should be no and no. If we ask the questions in reverse, does the government govern or does business make money, the respective answers should be yes and yes.
To identify and resolve the economic problem in today’s economic circles (circus), these two basic elements must be reckoned with.
I only apologize if this may seem political, but ironically that is exactly the point. What is your viewpoint on such an important issue? Please let me know.