Having spent much time in the third world through the 90`s what I am seeing here in the us is some of the same. I think entrepreneurs are going to be coming from everywhere, not so much as a passion or drive to live independent, but more simply to live. how is that going to effect you? well on many levels it will cut into your sales, and deflate your value.
A lifetime ago I worked for a guy that explained "you lose customers because of quality and you don`t get them back because of price", well for the 80`s that may have rung true, today I think price plays a bigger role. I was in the wal-mart a couple days before Christmas, and it was like old reunion days, literally, I used to work as a department head in a local division of a manufacturing company that is exclusively union. and here in CHINA`s largest customers outlet were several officers of the union shopping and not just shopping they had carriages full. where is the BUY USA rhetoric? gone thats where, stop sending jobs off shore but keep importing cheap stuff from the third world with no regard to environment or humanity.
yea the folks unfortunate enough to NOT be born in the usa have to eat as well, but from my experience they do not share in the wealth.
I see a wholesale deflation of service value, and those that refuse to compete will be gone (Chrysler and GM will get to spend tax money for while but the unwilling union workers will drain them to an unstoppable death).
I see local governments trying to raise property taxes to continue to waste money forcing people that can barely afford their mortgage to miss more payments, and the banks will eat the house that the tax man caused to be taken away. then when people that never had to fight for a meal will be willing to lower their value until they can eat, which will lower someone else`s value so they can eat.
at the end of the day the wealth is shifting from the local government to the capital hill government, the base problem with the world economy starts right here in the little towns, with inexperienced politicians and an overwhelming need to depend on someone else to take care of us. they deplete the cash from the lowest level, then cause financial failures that the fed bails out with all the rest of the cash they can get of the bleeding rock.
imagine living in a town in a location that has no trash collection (you can go to the dump if you pay per pound), no city water, no city sewer, no cable, no police, no snow removal, and have no kids, yet the tax assessor reassesses 3 times in 5 years until your tax bill grows from 3500.00 per year (already the highest in the country) to 13900.00 per year, then factor the sub prime collapse (that the local townships boomed on), growing unemployment, what do you suppose is going to happen? Your property value drops to 50% or less (not your tax rate) and you can`t give it away for 10 cents on the dollar, it will not be to pretty, when the local government fails and there is nothing left to bail them out.
I think the base problem is government being greedy and wasteful, while there may be a few CEO`s milking the pig there are more politicians raping the cow. people will stop paying taxes altogether not as revolt but as a necessity to eat and have shelter. and the people that don`t become entrepreneurs will be homeless.
I know this is long winded and rambles a bit it just gets me hot everyone blaming the greedy CEO`s how about the greedy government, the greedy union workers, and all the other greedy people?
one last thought, the irony of it all is history will probably give credit to Bush for the disaster (not that I agree with him on anything other that free trade, I think the guy missed the boat), and the other side (my town is democrate), will get the credit for fixing it.
I apologize in advance but it did feel good to rant:)