Monday, August 23, 2010

What makes me think the boom is near?......

Keep your eye on what the big guys are doing. Banks will raise fees on credit card users. They only get away with it if they believe the economy  has stabilized and the bust has bottomed.

But the big indicator is mergers and acquisitions. Soon the big get bigger and retrench to increase their market share and begin letting contracts to smaller companies increasing employment. Increasing employment leads to more sales, leading to more employment.

It's still early in the cycle but inevitable. The  multinational companies have all the money. They rule. They never give up growing. If that means shipping most of our jobs overseas and killing our paychecks then that's what they'll do because that's what they do. It also means taking our tax dollars and grabbing up competitors, then that's the plan.

At the bottom of a crash the sharks grab everything they can to prepare for the next boom. It's starting now. Check out the United-Continental merger for an idea of what's to come.

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