Economic slowdown has been over last few years already. It was an attempt to come back by most of the developed nations but it seems that the effort is fast losing steam.
We are staring at tough times ahead with few options left. It is a common thing to see a lot of joblessness following high inflation. Inflation has been for several months now and we are now looking at joblessness. Looking back, it is not very difficult to find why economics comes under stress.
“ When efforts are rewarded more than they deserve and when it becomes a practice to accept waste, economic pressure is just a sure ending to any social spending “
When efforts are rewarded more than they deserve and when it becomes a practice to accept waste, economic pressures is just a sure ending to any such social spending. Looking at Europe it is clear that while efforts from people and government reduced over time, earnings were not affected.
One cannot earn unless they deserve. You cannot have governments taking care of their people without any earnings from them. Social security rides upon the taxes collected from people. These taxes are invested in stocks and everyone plays a gamble.
When taxes reduce and stocks crash, social security is the first victim. Governments trying to push this far would only end up becoming poor themselves. We will see really tough times for US and Europe, but this time once again will help everyone think about value generation and waste elimination like never before. Very soon jobs which are not required will not be there.
People who talk more about their rights and less about duties will be at receiving end and companies will change their way of working. Information technology will see a fresh boost, but not as much in areas of social engineering, but probably more in fundamental things like manufacturing and agriculture which would be the main drivers for future.
Have something to add? Share it in the comments.