The Next Economy and America's Future
I have a regular customer who weekly patronizes my grocery store. We usually end up talking shop on finance because we are both accounting people. He suggested I read Aftershock by Robert Reich. Usually these types of reads are rather technical and boring, but somehow this book wasn’t. In fact, it was so easy for a non-accounting person to understand, that I think everyone should check out a copy of this book.
Reich tells us what we need to understand about what went wrong with the economy over the last few years. He makes a very convincing argument about the concentration of wealth and what that means for all of us in terms of our jobs, housing and legislation. Robert Reich should know what he’s talking about - he was the Secretary of Labor under President Clinton.
The book really breaks down how the stock market was manipulated in simple terms and understandable examples. Banks and brokerage firms were given government issued TARP funds because they were “too big to fail.” The funds were taxpayer money and were supposed to be used to stimulate economic growth to Main Street. This didn’t happen because the banks didn’t loan money to small businesses.
Throughout Aftershock the messages of Reich ring true. We need to make some adjustments or we will see an end to the Middle Class - the people who actually make the economy strong and support its growth.
I am really happy I read this book. It was such an easy and fast read and gave me some extra insight into the economy from an insider who really understands that not everyone is a finance wizard.