Problem Brief:

The U.S. economy is struggling to get out of a very severe recession triggered by the 2009 housing-financial bubble debacle. Many companies have responded by scaling back employee numbers and salary to reduce liability cost in an attempt to maintain their balance sheet without dismantling the core business model.

After the main bubble impact was felt and the reduced employment actions were completed. What was leftover is a new business environment where there are not enough people that will buy non-critical products or services or replaced by lower cost items.

Businesses begin starving for customers that are too few to support the existing critically scaled back companies. Further scaling back or waiting for something to change that improves customer demand and business picks up seem to be the only choices many businesses have.

Some businesses start to roll up their sleeves and try to invent new ways to grow their way out of the business malaise, but oftentimes find with demand being too low that even a great new product idea is not worth risking precious capital resources or is faced with no practical means to acquire new capital from many equally tight-fisted sources.

Solution Brief:

The key to solving the recession recovery problem is to first stimulate demand. People and businesses typically buy products and services from businesses with money. When people and businesses have positive income, a saved money excess and feel certain of future success with low risk then business product and services demand will increase because people and businesses will invest their money more freely to try and gain the benefits offered from new things.

Money if spent prudently on new products and services will have a value gain in the benefit derived from a product or services use over time. The gain eventually reverses the downward spiral into an upwards one where gains are used to expand and grow the value of invested money.

Key to stimulating recession-breaking demand is to have people with excess saved money that is allowed to be used for investing in any product or services, not just for critical need items like food, clothes, and basics.

Since companies must have buying customers to survive and grow. The best way to increase the number of buying customers and drive increased demand is to have as many of your customers gainfully employed and contributing to an effort that adds highest value to the economy.

Hiring people to provide an income is not enough. It is critical that businesses systematically and proactively plan and successfully integrate as many people into high value-add processes as possible. Human capital must not be wasted or allowed to be ill-utilized in a modern economy.

Free-enterprise in a capitalistic system is not a free-for-all but depends strongly on all of its members to pull together and help each other out at all times to encourage knowledge generation, new discovery, investment, risk, sharing, equality, strength, trustfulness, finding and doing as much value-producing work as possible.