Sustainable Economics Rings Hollow In America

Today, China leads the world at 9.8% GDP growth, followed by India 8.8% likely to remain throughout 2010. Among the developing market highlights, International Monetary Fund data tracks accurately Brazil 5.5%, South Korea 8%, Australia 5.2% and Middle East/North Africa 4.5% growth. Notice, the United States goes unmentioned in this pack, on track to remain relatively stagnate at less than 4% GDP growth, 2010. (See IMF GDP Chart End of Article)

Another words, the United States leadership has still failed to effectively implement energy independence (i.e. biofuel, natural gas etc.). Instead, America continues its addiction to oil literally sending hundreds of billions dollars and thousands of lost jobs to unfriendly nations (Energy Investment Report and The Economic Impact of Ending Oil Subsidies).

Further, the lack of available small business lending capital stunts job growth. While rising healthcare costs skyrocket as 72-million baby-boomers prepare to retire data shows about 70% will need expensive cancer treatment.

America’s youth are not fairing much better given their poor education (i.e. U.S. ranks 30th). Today, over 14-million children in America live in poverty without proper nutrition, healthcare and education. We must address the issue of reshaping cost effective affordable education, perhaps relying more on wireless Internet tools, critical to capturing high wage job opportunities. Otherwise, we can expect the standard of living in America to continue its downward trend. (Mobile e-Learning Stocks: U.S. Education, Unemployment, and Baby-Boomer Evolution) 

Currently, these fundamental barriers for the United States support low growth coupled with the unsustainable $13-trillion national debt. Plus, the yet to be resolved, $5.5 trillion of Fannie Mae and Freddie Mac's outstanding mortgage debt that may likely require additional tax-payer bailout. If Fannie and Freddie's debt fails by going unsecured, the stock markets will swing wildly. However, if they are secured that makes the added tax-payer burden a whopping $18.5 trillion dollars. It’s a catch-22 of monumental proportions, an embedded tumor eating away at any hopes of sustainable U.S. economic growth.  

Alternatively, overseas we find value like South Korea with very low debt and 3% unemployment in a rapidly growing economy. The ‘green shoots’ of recovery that emerged in Asia earlier than elsewhere in 2009 have continued through the first months of 2010, reports Anoop Singh, Director of the IMF’s Asia and Pacific Department.  

Key economic indicators are now growing at or above long-term trends, particularly in emerging Asian economies with large domestic demand bases such as China, India, and Indonesia, while there has been a V-shaped recovery in more export oriented economies. Asian low-income countries have well resisted the global crisis.The IMF is preparing to release its Regional Economic Outlook for Asia in the coming days in New Delhi and Shanghai. It is also organizing a high-level Asia and Pacific conference in South Korea on July 12‒13, bringing together finance ministers, central bankers, heads of global and regional banks and companies, as well as prominent academics to strengthen the Fund’s engagement with all Asian economies. 

BIO: Mr. Rickman is a respected CEO/Developer living in Oregon. For over 30-years, companies large and small have relied on his innovative business development, Internet marketing/sales and video broadcast services. He is a published sustainable analyst, ghost-writer columnist and co-author worldwide of several books including Eight Billion People.  Mr. Rickman holds advanced business and technical degrees from Boston University. For more information visit: http://www.sustainablevirtualbiz.com  or call (503) 621-4953.