by Derek G. Rowley (c) 2009, All Rights Reserved
It seems to be the consensus among business and political leaders that our economy is worse than it has been in generations. Statistics, for what they are worth, prove it. In other words, most of us have never seen anything like today’s economic crisis, and there isn’t much in our own experience that gives us guidance in our business decisions. A recession such as this requires a shift in our thinking, our planning, and our decision-making in order for our business to see the light of day at the other end of this economic cycle.
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Tags: recession

With all the news about the economic situation dominating the headlines these days, I have found in my conversations that many people don’t feel that they understand the way money works in our economy. I found a very informative website that offers a good background and explanation about how money works. It covers the money supply, the Federal Reserve System, banking, payment systems, financial markets, the role of government and policy issues - all in easy to understand, bite-sized pieces. Check it out at www.wfhummel.cnchost.com

Tags: Money

A Reuters article written by Dan Whitcomb outlines the challenges faced by California in the current economic downturn. It is staggering to consider the following facts: Read More...

Tags: california

Every business owner that I know is concerned about the long-term consequences of the government bailouts of banks, automakers, and who-knows-what-else. Nobody really knows how we are ever going to payoff the current national debt - at least in today’s dollars. An example of how it could play out is seen in Zimbabwe, which recently re-monetized it’s economy after a run of 231,000,000% inflation that has reduced the value of currency to virtually nothing. The government had to re-monetize in August - at the rate of $10 Trillion to $1 - because they had run out of room to print zeros on their currency: they even issued a $100 Billion dollar bill last July! After the re-monetization, the largest currency (for a while) was a $50,000 bill. Toilet paper cost $100,000. So, if you exchanged $100,000 Zimbabwe dollars for $5 bills, you’ll get 20,000 notes. Or you can buy toilet paper for the same price, which has only 72 pieces. You can see where this little tidbit is going...

Tags: Zimbabwe

by Derek G. Rowley (c) 2009, All Rights Reserved

There is no better time to transfer wealth to the next generation than when everything is worth a lot less. Now, for example, would be a good time. Stocks, bonds, and real estate values have plummeted - and interest rates are at all-time lows. On second thought, I correct myself: Now is a great time for estate planning!

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