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Americans Embracing The Change To Flexibility From Stability
For decades renting has long symbolized
striving, but well short of achieving. That has changed as
we continue to climb our way out of the Great Recession. In
short, Americans are getting over the idea of owning the
American dream; increasingly they're OK with renting it.
Across the board, for goods ranging from cars
to books to clothes, Americans are increasingly acclimating
to the idea of giving up stability of being an owner for the
flexibility of being a renter. And the new realities of our
increasingly mobile economy make it more likely that this
transition from an Ownership Society to what might be called
a Rentership Society, far from being a drag, will unleash a
wave of economic efficiency that could fuel the next boom.
The cold, unsentimental fact about the
American dream is that many have been disenfranchised from
it. For the past three decades, especially, consumers
haven?t so much bought their quality of life, as they've
borrowed from banks and credit card companies.
That?s what the Rentership Society is all
about ? buying more intelligently, and it starts at home,
literally. Housing is the biggest single component of
consumption in the U.S. economy and the source of much of
our present misery. According to the Bureau of Labor
Statistics, the typical consumer spends 32% of his or her
budget on shelter. (In the last decade that generally meant
borrowing a lot of money to afford ownership of a home.)
Homeownership grew steadily, finally peaking
at a record 69% in 2006, according to the Census Bureau. But
those gains were short-lived and came at a truly massive
cost; a huge mortgage bust, expensive bailouts of Freddie
Mac and Fannie May, an overhang of millions of foreclosed
properties, and failing home prices.
Ownership-boosters failed to note that homes
purchased in 2005 and 2006 with no-money-down, interest-only
mortgages weren?t really bought. They were simply rented
until the ?owner? flipped them or walked away from the
mortgage. Far from strengthening low-income neighborhoods,
this destabilized them through the inevitability of
According to Moody?s, by late 2011 it was
cheaper to rent than to own in 72% of American metropolitan
areas ? an increase from 54% a decade ago. About three
million more households rent today than did at the height of
In the post-bust climate, renting has emerged
as a much more economically efficient way to pay for
housing. A one-year lease represents a far less onerous
financial obligation than a 30-year mortgage. And, for an
increasing number of Americans, it simply makes more sense
to rent these days.
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Fast, Focused, Flexible
Harvard Business School
professor Rosabeth Moss Kanter, consultant to corporate giants and
author of The Change Masters and When Giants Learn to Dance,
says that the big ideas described in her books boil down to the four
F?s?be fast, focused, flexible and friendly.
Rapid pace of change in
business requires firms of all sizes to be quick on their feet.
Avoid taking part in
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Develop a spirit of
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more important than internal competition.
Adopt the idea of
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You don?t have to wait
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bigger payroll or lots of red tape.
So keep it fast,
focused, flexible and friendly no matter what the size of your
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How To Get More Sales In
Our street-smart restaurant
marketing report shows proven ways to rapidly boost your
restaurant's sales & profits.
Do You Know What An Hour
Of Your Selling Time Is Worth?
After commuting time, planning,
paperwork and other necessary activities, the average salesperson
spends about two-hours per day in actual, face-to-face selling.
Based on this 10-hour week and 50 weeks a year, this is what your
actual selling time is worth:
Earnings Worth per
The Growth and Use of Secondary
Capital (New Money) Creates Unprecedented Wealth In Today's New Age
There are many forms of secondary
capital — which can be defined as any financial instrument that
measures and communicates value in a common language. Would you like
to see and learn more about the many forms of secondary capital?
We have 70 free, informative and
inspiring, articles for you in our "Secondary Capital Section."
Check it out...
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