Time for a New Model

Time for a New Model (part 1)
The uncertain economic times may have as much to do with changes in the way the world works as an actual downturn in the world economy. Retailers had a rotten Christmas except for the ones selling technology and video games. My wife waited until the last minute to buy a “flip” for me. She had to go to 4 stores to find it. Can you believe the price of oil is dropping because of oversupply? Recycling wholesalers are having a problem with their markets diminishing.
These three things seem to be totally disconnected from one another; but they have a common connection. Our world is changing. Our economic model for the last century and a half has been consumerism. Now the credit crunch comes and people find they can live without some of the “stuff” that was previously essential. Our economy will rebound. What will the basis for the rebound be?
I really believe Obama’s economic plan will work. Building infrastructure always builds the economy. The boom that we have experienced since the 90’s has been based on half the world coming into the consumer age. That half of the world can still consume some more stuff. The developing nations have not sated their hunger for stuff because many of the people there still do not have the wherewithal to purchase it. Consumerism is not dead; but it is reaching old age and will have to yield to new forces.
What are the new forces? That will be the subject of the next article. I would love for this to be a discussion instead of a monologue. What do you think the new forces will be?
David Segrest is a REALTOR in Charlotte NC. His website is http://www.segrestrealty.com His email is david@segrestrealty.com