- From the 2016 edition of the Annual CFO Outlook THE ECONOMY Low Growth, High Debt
- While jobs are up, wages are still down
- The recovery from the recession has been the third-longest since World War II, but the pace of the recovery has been subpar
- Outstanding debt — household, business, and government — has risen steadily over the past 20 years, to $44.2 trillion, or nearly 2.5 times GDP
- Combine one-third slower trend economic growth with rising interest rates and a huge amount of debt — throw in the retirement of the baby boomers for good measure — and you have a recipe for stagnation or worse
- The history of economics says that when it would be prudent to take an action that would not be comfortable, we’re typically imprudent
- To increase savings and/or reduce consumption, whether in the public or the private sector, is almost always an uncomfortable thing to do in the short run. But eventually, the chickens will come home to roost
Whatever the new normal becomes, small-business owners will be at the forefront of...