During a recent interview with a big Los Angeles-area newspaper, a reporter asked me, “Is America now in permanent decline?” My answer was, “No.” Our country is not in permanent decline. But I’m concerned that our leadership is.
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Actually, our leadership in Washington is failing miserably, and there’s little evidence they’re turning that around. Unemployment remains high and is basically stuck there, and gross domestic product (GDP) is growing at a pathetic 1 percent—so the country is failing on two of the most important economic metrics. The number of new business startups is alarmingly low, and the pace of startups is the one metric that foretells the rise or fall of America.
Here’s the problem: The very survival of America depends on job growth and GDP. But what are the White House, Congress, and all of the media and talking heads focusing on? Guns, immigration reform, and foreign affairs. Bluntly, none of these issues have much to do with the core drivers or root causes of America’s potential decline.
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Comments
Thanks Jim, hope some in Washington get the message
Instead of doing something about the economy, we need Congress and the White House to stop doing things. Stop the regulation and get out of the way. Regulation is anti-profit. If the activity government wants to regulate was good for business, business would already be doing it. Regulations increase costs without business benefit, reducing profitability, and preventing businesses from growing and hiring. Government regulation causes instability in the economy and results in winners and losers different than the companies that create the best products or provide the best value to consumers. Satisfying a government regulation is different than satisfying a customer need.
Yes, we need leaders in government that understand the role and limitations of government intervention. But too often voters elect the politicians that promise the most gifts. Eventually we will run out of other people’s money for the politicians to give away.
You're partially correct
I think Jim Clifton is partially correct. I agree that the leadership is in decline. I also believe that the country as a whole is in decline. One could argue that this decline is caused by leadership. But we as citizens bear quite a bit of responsibility for letting it happen. When topics of concern come up in my office, the ones that receive the most attention and debate are the political topics - guns, immigration, same sex marriage, social welfare. No one is interested in talking about critical issues - jobs, our future, energy, environmental policy, etc. So, I can't fault our leaders for going in the same direction. Yes, we are concerned about jobs - but specifically our job, not our neighbor's job. That is their problem. As Pogo would say, we have met the enemy, and he is us. This is unfortunate, too, because there is a lack of leadership globally. Europe is economically sick, China and Russia have leadership problems of their own, and the remainder of the world lacks the resources. And here we Americans are, squabbling amongst ourselves like a bunch of six year olds. Sorry Jim, the problem is us.
disagree
I respecfully disagree with you. We vote our leaders in to "lead" not follow the lead or hollywood act. The only direction they should be going is how to help America prosper and do better! And, imagine this --- actually lead and not follow popularity!
And you are not alone
What's really worrying is the three apes' official attitude: they don't look at and for, they don't listen to but the third ape speaks a lot, and loudly, we suspect to over-rule the other two. I'm questioning management-ship against leadership: the word manager is on everybody mouth, the word leader, well, is not really so. And, I beg your pardon, it's not that politicians and media are on the wrong page, they're on the wrong book, instead. Thank you.
Loved!
Jim,
I enjoyed reading your article and thank you for having the courage to write it!!! I could not agree with you more!
Politicans and Media
Immigration, homosexual marriage, Trayvon Martin, gun control - and the latest scandal are what we see on the WashingtonPost - we are faced with a productivity problem ascerbated by our debt, our reliance on foreign oil, and the inefficiency of our healthcare system which has the best technology in the world but is designed to make sure everyone get paid not provide good healthcare.
However, it's hard to put the blame anywhere else but the whitehouse. The right wing extremists are a reaction to the current administration spending an extra trillion to fix the financial mess. The CBO estimated 1.9 trillion and the administration spent 2.92 trillion.
The debt -both the federal and the trade deficit loom as bigger and bigger cancers threatening a mega-depression if the economic doomsaysers are accurate and the only escape from our fate is increased productivity. The whitehouse has to think outside the box - look at what has been done in the past and free itself from special interest influences that continuously block progress so that their needs are taken care of first. During the Bush administration it was Big Oil and in this administration its Planned Parenthood. The voices of reason were ignored when it came to reforming healthcare. Instead of creating a WELLNESS CENTER advocated by Howard Dean and a host of other medical experts this administration focused on health insurance reform which may end up being too costly to implement or continue.
The biggest consideration going forward will be the viability of the american dollar and the impact that will have on energy costs.
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