The United States seems to recession proof right now. The unemployment rate is less than 6 percent, and Americans are making more money than they did before the Great Recession of 2008. Cheap gas is creating more spendable income, but according to billionaire investor, George Soros, Americans aren’t spending even during holidays. George Soros is known for his economic wisdom. The British called him the man who broke the Bank of England in 1992, when he did a short-sale on the British pound. Soros believed that the pound have to be devalued by at least 20 percent back then, and he was right. Soros collected $1.2 billion on that transaction.
Mr. Soros is concerned that American shoppers won’t be able to stop a recession that Soros says is going to have global roots. More than 70 percent of the U.S. economy is consumer-related. Consumers were extremely frugal in the first three months of 2016. Spending dropped in December 2015 even though incomes increased a tad. The U.S. Commerce Department on theatlantic.com is concerned that the slowdown in the American industrial sector will impact the consumer sector. If it does, the United States may be another victim of the global recession George Soros has talked about for the last five years.
Mr. Soros told Bloomberg.com that U.S. manufacturing is already in recession mode. Manufacturing figures dropped for the fourth straight month at the end of January 2016. Whether the U.S. has all the ingredients for a recession is a complex question, but George Soros said even though Americans bought a record number of automobiles last year that might not be enough to keep another recession at bay. Americans are also spending more on big-ticket items for their homes, and that is another positive sign, but given the complexities that exist in the global market especially when it comes to China those positive spending trends might not matter.
CNBC.com wrote an article about the Soros Open Society Institute recently, and in that article, Soros talked about China, the European Union, and the migration crisis. Soros believes that the EU could collapse this year, and China’s economic growth will be flat. Soros said the GDP growth in the U.S. was a meager 0.7 percent on marketwatch.com during the last quarter of 2015, and that is a sign that something isn’t right. Americans are saving more but saving more, but that may not be what Americans need, according to Soros. Spending figures when gas and food are excluded only amounted to a 1.3 percent increase. That’s down from 1.5 percent in 2014.
The world of hedge fund and investments banks knows George Soros. He is the 16th richest American according to Forbes. Soros retired from the field of active business in 2011. Since then, Soros has already transformed his fund into a family office. Soros Quantum Fund experienced a decline in 2011 for the first time since 2002. The following year, the stock dropped even further. The investment guru is famed his Quantum fund.
According to an article published by the market watch, the world might never have investors like the Soros and warrens. The two investors were a force to reckon within the investment banking industry. Soros and Buffet boasted an unmatched 30:30 track record in 2000. Their business were doing quite well, and their turnover grew more than 30%
With the retirement of Soros, the future of his hedge fund business remains unclear. The case is the same for Buffet where his returns continue to decrease significantly. It’s a reality that the world may never experience such wealthy people like Soros and warrens in their heydays. The question in the mind of analysts is if there will ever be anyone to dominate the financial market like Soros and Buffet did from late 60’s to 2000.
Soros has written several books that reflect his ideas in politics, economic and business. The late Harvard paleontologist in his 1996 book titled the spread of excellence from Plato to Darwin questions why the baseball has failed to produce a 400 hitter. The last was from Ted Williams back in 1941. Soros fits the definition of the 400 hitters when considering his investment records. The upcoming business people have failed to meet the threshold set by Soros in the hedge fund industry.
Away from business, Soros has also made a name for himself in the American politics. He has strong ties to t he Democratic Party. Soros defends his sponsorship program that critics term as partisan saying he funds the people who implement liberal ideas like himself. Soros is a strong supporter and advocator of refugee rights and has many times fallen out with the politician like Donald Trump over their remarks in immigrant crises.
The American billionaire was born in Budapest. He has lived for fifteen years as a refugee in the aftermath of World War II. Soros escaped following the Nazi aggression and occupation of Hungary. He received his education in Britain before moving to New York where he began his business in hedge funds trading. He has accumulated over $ 24 billion making it to the prestigious Forbes top 400 richest list.
The life of Soros fits to be classified as successful. He has made numerous achievements. Soros has written over fifteen books. He is a sponsor for education program starting in the early 80 when he supported the black students at Cape Town University affected by apartheid. He also supports numerous nongovernmental organizations and charities in America and abroad. The article is recapped from market watch.com
It seems like the people of Olympic Valley would like to have their say when it comes to the idea of possibly incorporating their small town. As it turns out though, there may be more resistance to the idea than support for it.
The Sacramento Business Journal
reports that the problem for Olympic Valley is just how small it is. There are fewer than 1,000 people who are permanent residents of the area. That hurts the case for incorporation because it is unlikely that so few people could generate enough tax revenue to keep things up and running.
Olympic Valley of course once hosted the Olympics and is a popular tourist spot, mostly because of Squaw Valley Ski and its CEO Andy Wirth. The bulk of the tax revenue that it currently makes are from taxes levied on hotels and entertainment for outsiders who are visiting. It is a cash cow for the little area, but likely would still not be enough to justify making this place a standalone city.
Residents of Olympic Valley have been pushing for it to become incorporated for a number of years. Many of them feel that it is their right to have a city that they can call their own, and they do not like feeling as though they have to be dictated to as to what to do on various matters.
The fact is that Olympic Valley residents are pushing for incorporation while people in the surrounding areas are saying it is probably not a good idea. The battle between the two is something that has risen to epic proportions in some cases.
Many have the feeling that this area ought to remain a part of the larger surrounding Tahoe community. If it does, at least then it will have the support system that it requires to stay around and remain vibrant.
For those hoping that Olympic Valley may one day be its own little incorporated city, they probably have to hold off on those dreams for a while longer. There is just no use in pretending that this place is going to sustain itself for the long run. There are too many ways in which the plan is not feasible