A slowing economy, a burst housing bubble, summer’s spiking gas prices and collapsing credit combined to stifle demand for the cars, trucks, RVs and homes that support the region’s manufacturers. With alarming regularity, workers by the hundreds have been notified in recent months that their jobs no longer exist.

There are cycles of the economy that are usually moderate about a trend line with a positive slope or gradient not "boom and bust."  We are about to see the 'bust" side of the cycle for the next several years, and this will necessarily be much more adverse because the major world economies are tracking with us to some extent. 

This is not the first time for this to happen.  The last half of the 60's when we experienced the brilliance of Carter and a taste of double digit inflation, unemployment and interest rates. 

We can't spend or borrow or tax our way out of this one.  The economy is like an airplane -- when it stalls or goes into a spin due poor piloting the best procedure is hands off the controls and it will recover by itself given enough altitude because it is designed to recover similarly so will the economy if we leave it alone and let "free enterprise" take it's course.  

In this case altitude represents the strength of the economy going into the loss of control due to our stupid politicians (the pilots in this case) who know *** about making money (obviously I don't either, but I'm not a politician). 

I think inflation big time is the next thing to expect and when the dollar hits bottom the world economies will take over.  China is the real threat here because the dollar will become worthless and they will be in a position to buy up and arm up and we won't be able to do a damned thing about it. 

The more we try the lower the dollar will go and so on.  We will need a revolt to breakout of the downward spiral.  The Euro was at about  75 cents at the turn of the century, 2000, and is now at about $1.30 (been almost $1,50).   

That's a huge swing -- they were paying 30% more for our goods in 2000 compared with 25% less -- 55% swing.  This has kept our economy growing up to a point but now it's a new ball game with our banking & investment institutions on the verge of collapse.  

Nobody really knows how all the foreign markets will all pan out but if they follow Obama's lead sure as hell they will suffer right along with us.  Then there's China and Russia arming our enemies and buying our goods and soon companies.  The balance of power is shifting and not a slow pace either. 

If American consumers are less indebted, live within their means and have more money in savings, they are better positioned to spend on a substainable basis for years to come.  As painful as that is economically in the short run, these developments will better serve us in the long run. 

Putting away money and paying down debt is good for one-family's kitchen table economics, but the broader economy suffers in the short term when millions of families do it.  A dollar saved does not circulate through the economy and higher savings rates translate into fewer sales and lower revenues for struggling businesses.

Our national economy has been a false, or bogus economy built on a foundation in sand.  Almost all of our problems point to a major gouging in hedge funds that corrupted our investments, and major corruption in lending markets, greatest being the buying and selling of mortgages to people who could not sustain them in any kind of a sound market, let alone shaky one. 

We need to tear down these lousy foundations and rebuild solid, durable foundations so that we can weather future storms. 

As in any crisis what will occur; is real leaders will step up and help solve the problems. 

Fear is the matter that our mind is not able to enjoy, that is why all the motivation in business is closely connected with emotions. Business – is communication with people and your emotions – and these are the keys to their hearts.

In the eternal struggle between IQ (mental development) and EQ (emotional intelligence or emotional capacity) EQ is increasingly winning. According to the tests that detect "reasons for the success" EQ is responsible for 80% of success, and IQ – only for 20%.

 

As you see Leadership and Success are closely connected notions. And Leadership has always been primarily emotional. Just think: Emotional Intelligence Leaders possess a contagious force. When the leader radiates energy and enthusiasm, the company is thriving, if the leader sows destruction and disharmony – business goes to the bottom.

Emotionally Intelligent Leaders – whether they are managers, administrators or politicians – they are notable not only for professional skill and insight, but also for the ability to establish contacts with people: to inspire, encourage, awaken ardour, to maintain high motivation and dedication to work.

And it is the Leader who can evoke keen responses in people and stimulate their activity that will achieve success.