Tick, Tick, Boom.
We’ve seen some pretty tough times in the economy over the last couple of years and while many are predicting the worst is over, according to Harry S Dent a leading US Economist and the man to whom financial advisors and investors turn to get the truth about today's economy, the worst is yet to come.
In Dent's new book, The Great Depression Ahead, (Free Press, 2009), he outlines how this next great downturn is likely to unfold in three stages, with an interim boom stage between 2012 and 2017 before the long-term slowdown finally turns into the next global boom in the early 2020s. India, not China, will dominate in this next global boom and the U.S. will outpace Europe.
Dent shows which countries will have stronger growth trends during the downturn as well. More importantly, he shows how the economy’s life cycle will affect life, business, and investment strategies throughout a person’s lifetime, including career opportunities and children’s educational costs. No other time period is as likely to affect your wealth and well-being as the period from late 2009 into late 2012—especially late 2009 to mid 2011.
In these tough times we see many businesses struggle often resulting in staff being laid off and unfortunately the staff that are usually the first to go are the older ones as they can be replaced by younger, cheaper staff. So this leaves many people in stressful situations which in turn puts pressure on relationships and health and so the cycle begins.
This is critical now more than ever because we have so many boomers who are approaching 'retirement age' whom are becoming aware that perhaps they are not in a position that they hoped they’d be in to fund their lifestyles. Add to that the fact that people are living much longer meaning that there are now an extra 10 – 20 years to be funded and things are looking pretty glum in a time which is meant to be exciting and fun.
The urgent need for Boomers to take action
So what can you do about it as a Baby Boomer? You have a small window of opportunity to take some action. It is time for you to step up and take charge of your financial destiny.
If you don't think we're in an economic depression reminiscent of The Great Depression, think again. The bounce we are seeing signs of is temporary – The calm before the storm. We have entered a shakeout season deeper, more severe and more far reaching than anything we have ever seen before.
What we are now entering is a prolonged downturn – a modern day Great Depression, according to Harry Dent. You may not be witnessing hordes of the unemployed lining the streets in front of soup kitchens, but banks are sitting on loans as the unemployment rises. While we try and recoup our losses, reduce our personal debt, and scrape for savings, what are our true options? It's not what the government is telling us.
During this long term economic downturn, what can we learn from the past to help secure and maintain our portfolios? Even the smartest people on Wall Street aren't sure as major corporations continue to file for bankruptcy and home values drop.
Now is the time to become entrepreneurial and make things happen for yourself. It is no longer acceptable to rely on the government or the economy. It is no longer enough to rely on your JOB. It’s time to take control of your life. It is time to develop a whole new set of skills and a whole new way of thinking and the good news is that it is easy for those who are prepared to put in a little bit of effort. But you must make the decision to take action now as the timing is more critical now than ever before.
Becoming entrepreneurial and growing your own Money Tree will not only give you the freedom to live your life on your terms, but it will positively impact the economy. By you becoming an entrepreneur and creating more cash flow for yourself, you will be spending more money which will help to stimulate the economy. This provides jobs and creates activity in a time when we need it most. The economy needs more entrepreneurs to step up and take action.
The Baby Boomers are such a large cohort all over the world and the scary thing is that there is a lot of research suggesting that many are like an Ostrich with its head in the sand and are completely unaware and unprepared about what is looming for them.
So we are working hard to spread the word fast to get more and more Boomers to take action to help turn the economy around and get themselves out of a sticky situation.
If you haven’t already signed up to receive our Money Tree 101 training I urge you to do so now by entering your details on the right of the page.
Life was meant to be a walk in a Sunny Valley on a beautiful day, not a struggle for survival from day to day so do something positive today to turn things around.
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