Economics

People have to understand the different factors that can bring on an economic crisis. Part of the crisis is the lack of government oversight and the other part is the common peoples preparedness for a career change. Since consumer spending is part of the equation, most consumers try to hold on to their 40 hours a week job, especially if it’s paying a decent amount per hour.  It doesn’t help if  the company lays off people or close down. These situations forces people to make changes in their life. Some people simply look for other jobs or try to retrain themselves in a new  career that’s in demand. At the same time, they have to learn how to manage the moneys they have so they can survive. The lack of  government oversight can become a major problem since they are suppose to be in the business of controlling the flow of the country. The Republicans believe in privitization. Many consumers are suffering today- financially- because private crooks have milked the coffers of the banks. Forcing lenders to make loans to unworthy credit risks doesn’t help the situation neither. Tax cuts on the wealthy and corporations didn’t seem to help the economy. It created more greed and hoarding of money with  help from easing regulations. Greedy, corrupt politicians and lobbyists help create an economic crisis. We have to make certain rules to make competition fair, open and honest.  Certain rules and principles that will allow the market to work and the economy to thrive. The institutions need higher standards of transparency and accountability. There is a need to avoid financial meltdowns when we see them coming.