As the first cool winds blow down from across the Canadian border, a hint of NFL football is definitely in the air.
There’s always great anticipation associated with a new season.
Many of the same faces will be back to try and repeat past glories or improve on previous defeats.
The most interesting situation, however, may be the development of the star college quarterback.
Some NFL teams want to throw them into the mix immediately, such as the Ryan Leaf disaster (1998 San Diego Chargers), while others prefer to have them learn and study for a few years behind a more experienced veteran quarterback, like Aaron Rodgers (Green Bay Packers) riding the bench for three seasons behind Brett Favre.
No matter which process is used, all teams know that there will be a learning curve and accept the fact that before success is achieved, there will be some degree of failure. However, in order to achieve greatness, a quarterback must pay his dues.
The same concept can be applied to our current economy.
As the business cycle has evolved from boom to bust, the most natural next move is contraction.
That means that banks, businesses, municipalities, countries, and people must be allowed to fail in order to be able to succeed.
As financial programs, procedures, and processes are tested and continually come up short, other plans will be developed and implemented.
Consider this example:. A Chinese restaurant located in a Mexican neighborhood might be successful. Then again, it could fail. If it fails, it could be directly related to the service, or maybe the menu pricing was all wrong.
Then again, perhaps the Mexican populace has no interest in Chinese food.
Regardless, the next restaurant that occupies that same space will likely not repeat the same mistake.
We learn not only from our mistakes, but also from the mistakes of others and restaurateurs certainly understand the normal business cycle.
Unfortunately, the worldwide powers-to-be do not understand this concept and have tried to jump-start growth without first passing through contraction, and, keep in mind, contraction brings consolidation which then leads directly to growth.
NFL owners, coaches, and players all understand that without a certain degree of failure, the building blocks would not be in place for that next championship run.
It’s just the natural order of things.
And likewise, worldwide leaders must also learn this plain and simple fact.
Along with his 40-years of dedication in the financial services industry, Bill is the President and CEO of GPSforLife, has recently authored a highly successful book entitled 44th: A Presidential Conspiracy, publishes his dynamic monthly financial newsletter MacroProfit, and faithfully continues his third decade on the radio with It’s All About Money, which can be heard weekdays on Money Radio in Phoenix and in podcast form on his website (and on smartphone apps) published at billtatro.com weekdays at 5pm Eastern. Bill can be reached via email at email@example.com and on Twitter @tatroshow.
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