Future

Available capital in our society comes mainly from people between the ages of 50 and 65 and the baby boomers have been the largest contributors of capital for the past 15 years but they are retiring and shifting their investments from stocks to fixed accounts. This removes a lot of money from investment and thus raises the cost of capital. This is coming at a time when the country is experiencing a manufacturing revolution which will lead to the doubling of the industrial base in just few short years. To the rescue will be private industry. US companies are sitting on $7 trillion in cash just waiting for the right time to expand and build new facilities. Apple recently announced that it plans to invest $500 billion in the US. Add to this the other US companies and the estimate $5 trillion of foreign investments coming in and the capital needs will be met. Economic expansion will follow and wages will rise as productivity rises. This will be accelerated by the innovations that always follow expansion.