A Few Observations on the Current Economic Situation

Granted, this post will say "everything" about the current financial crisis, but these points are essential to people who desire financial independence for themselves.

There needs to be some entrepreneurs advising Obama, not just academicians.

Obama and the Congress need to take it easy on entrepreneurs. Not only will higher taxes and more regulations make business suffer more, more layoffs will happen.

Public schools should not try to persuade every capable student to becoming a teacher. This country needs entrepreneurs, but other high paying professions as well.

Entrepreneurship and investment fuel growth. Growth is what we need, not slogans from college campus radicals, and dopers.

Investment needs to be encouraged by eliminating the capital gains tax and taxes on dividends.
Cutting these these taxes will make it easier for people to retire or to stay retired. And that means: a little less unemployment, and better qualified "community activists".

Demonizing achievers is the worst thing the Obama administration can do.

Every person who desires to be financially independent (morally&through legal means) needs to pressure the next administration and Congress to cut taxes, and not try to punish businesses.
This includes people of all races, religions, ages, political affiliations, etc.

If your financial education was inadaquate, start at www.financialindependenceuniversity.com and see if the information there helps you. You cannot count on the government to take care of you.

Sorry, But Our Schools Suck

I know some of our teachers are trying. I know that some teachers really care. But the generation coming up is largely not financially literate at all. Half our country believes the rich should pay more taxes. The only people saying the masses should try get wealthy are conservative talk show hosts. Yes, building wealth takes time and there are no guarantees the best business plans and stock picks will work, but about 5% of Americans are millionaires.
It would not take much to require students to take a longer personal finance class. I propose a two semester Personal Finance class. In this class, students will read "The Millionaire Next Door", "Rich Dad, Poor Dad", and "Goals", by Brian Tracy. The class needs to be reading intensive. Students with reading problems should listen to the audio versions. The best financial books I have ever read, and I have read a lot are available at the www.financialindependenceuniversity.com bookstore.
I can just hear the "elite" leftist teachers cursing, screaming, and hissing at this suggestion. But I stand by it. You should too. Our schools are hardly cranking out young investors and entrepreneurs. But our schools desperately need to. Parents need to get involved.
As a side note, there are way too many people with liberal arts degrees with $30-100K student loans that can't figure out how to make money or that want to make money.

The Coming Recession

By 2009, there will likely be a recession. After the new President takes office, the U.S. will face the republican curse, or the tax hikes, business regulation, and increased litigation of Hillary or Obama. Recessions happen every few years anyway. But there are things you can do to prepare for a recession:
Pay down debt.
Increase your emergency fund.
Decrease stock holdings, especially tech stock holdings.
Update your resume.
Begin networking.

One to two years into a recession, start looking for stocks of excellent companies that are battered, but still viable.