How Bad is the Economy-A Small Business Observation

The economy is bad and getting worse.

We have been in a 12-15 month decline, which is picking up speed, as we slide down a well greased slope into…Deep Recession..Depression .

As a small business owner, I can feel the wheels grind to a halt.

The orders are down 30-40%, and collecting money is fast becoming a fight for survival.

Sadly, most of my economic predictions are  becoming prophetic.

The credit card  alternative to bank credit is proveing to be too expensive. You can not build a restaurant, or refurbish your house using Visa financing at 27-30% interest, as opposed to  bank loans at 7 or 8%. The bank loans do not exist for regular people, and the credit card payments are further destroying liquidity.

Stagflation,STAGFLATION!!!  If you read my repeated warnings of the past 8-9 months, you are familiar with the word.

Stagflation, now the rest of the economists and pundits have picked up on the word and the condition. No Growth! No Credit! Inflation! Stagnation!

One more serious affliction is beginning to hit our society.

I will explain later.

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