Business Cycle

Wave Theory- The business cycle down-turn occurs when successful new product development fails to launch enough new product to replace demand for products that have passed their surge.

Equipment upgrades that allow companies to increase throughput are at the top of the equipment food chain. Products with very high utility are required to drive a series of design cycles to create a successful business cycle.

Visualize a well-orchestrated fireworks display. New rockets are being launched while fireworks are blossoming overhead for a continuous array of blossoming.  This happened between the 1980s and 2000, when electronics, the PC revolution, defense electronics and the telephone equipment replacement were all underway. These were very high utility and increased productivity immensely.

When US gasoline prices rose in the 1970, US consumers wanted cars that got good mileage. The Japanese were ready to oblige and now we buy cars designed by Asians. We are entering a time in the US where there will be a demand for cheaper cars and I bet the Asians take the lead on this.

We do have some infrastructure that needs to be improved. This includes our electric grid, our cyber security and our freight train system. We are already expanding our harbors and our pipelines. We are finally drilling oil and producing oil and natural gas.  Government has a role in ensuring that the corporations in charge of these systems will succeed.

There is no reason why the US cannot make its own machinery, appliances and mechanical systems. New plants in the US should be designed to employ robots and be highly automated and US employees are more than capable of learning how to use these production systems.

We are seeing the beginnings of a business cycle in the US as we address our priorities. It is made up of pieces from several industries and should last long enough to move into the next phase of sensible applied technology we should deploy to keep this business cycle going.

Norb Leahy, Dunwoody GA Tea Party Leader