Towards a Selective Economy Growth .

Assuming that world economy finds the way to prevent collapse and set the new grounds for new economic models , which is a lot to assume , I guarantee you that new economic growth models will have to be based on very selective schemes .

By now it should be clear that growth canot be sustained on a permanent increase of credit and debt at consumer level to compensate for the unbalance between demand and offer as a result of poor middle class incomes unable to match growing inflation prices and concentration of wealth in very reduced number of hands .

The essential target in economies will be the building up of a wide and healthy middle class that will be able to consume the produced goods and services at the right pace so that world investments in cars , travel , food etc can be justified and survive without resorting to credits and debts that will never be paid back .

The excess of indebtment today is the biggest enemy of consumption tomorrow and the seed for bubbles that will dump economy in recessions and depressions which will cause money cemeteries that should take economy backwards in decades with misery and tensions that will place humans on the verge of dramatic convulsions .

Unbalanced growth resulting in bubbles will be responsable for a decrease of population in much of the western civilisation .

Countries with a wide perception of future like Germany , Australia or Texas are already striving to increase their populations with imported people potentially prepared to obtain medium high incomes that will help sustain selective consumption without need of credit beyond balance rupture that will in turn pay state services without excessive individual or corporate levels .

In fact the best demographic structure for a developed western country is one that will concentrate 60 % of the population in the range of 25 and 55 years of age with a selective purchase capacity . That of course can only be achieved by importing highly educated labour to feed selected investments able to provide the type of jobs that can be rewarded with a healthy income .

No many political or economic leaders have perceived that apart those in the countries above mentioned which consequently deserve our respectful attention .

Of course the instruments are taxes and rates selective policies .

Brahmason

Brahmason@gmail.com

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Published in: on marzo 31, 2013 at 9:21 am  Comments (4)  

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