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Missed Fortune – Let the Market Hold Businesses Accountable to Grow the Economy

Posted on | February 14, 2010

Get the Government Out of the Way so We can Prosper

The biggest global problem today is politicians interfering in the marketplace. No matter how good their intentions may be, it’s simply impossible to micro-manage economic decisions of millions of people without adverse and unforeseen consequences.

Business can offer high rewards, but it’s also fraught with risk. Entrepreneurs are put through the fire of experience, thus developing the necessary insights and skills to create legitimate value in the marketplace.

In short, they know what works and what doesn’t. They know what people want and what they don’t.

But the government doesn’t know these things. In the name of trying to “help” us and the economy, it does way more harm than good.

Marketplace failures are real-time feedback on what doesn’t work. When the government tries to save and prop up failed businesses, it distorts legitimate marketplace forces.

In the case of our current economic meltdown, banks took outrageous risks and other companies have failed to adapt to market realities.

But why? It wasn’t private sector greed that caused the meltdown; it was government interference.

For example, the government incentivized banks to lower lending standards. Then, when unqualified mortgage holders started defaulting, the government stepped in to save the banks from the very problems the government had created.

How Safe is Your Money?

Customers of 1st American State Bank of Minnesota must have been wondering if theirs was when regulators recently closed its doors for good.

As of February 5, 1st Bank was the sixteenth bank to fail so far in 2010. Last year the U.S. saw the failure of 140 banks, which CNN Money reported was the “highest since 1992, when 181 banks failed.”

While 1st Bank customers were protected by the FDIC, with more bank failures predicted for 2010, you have to ask how prudent it is to keep serious money in the care of banks – especially when the future stability of the FDIC is coming into question.

The FDIC was $8.2 billion in debt as of September 2009, (which included $21.7 billion earmarked for future bank failures). What’s more, too many people hope to get long-term rewards from short-term savings vehicles like banks’ money market, CD and similar accounts.

Now more than ever it is critical to find safe places to put your money.

And it’s important to analyze your options for retirement savings vehicles that will yield optimal long-term benefits, as well as liquidity, rate of return and tax advantages.

Maximum-funded, tax-advantaged life insurance contracts can provide all of the above.

Escape government insanity and risky banks. Create your own economic stimulus plan by scheduling a free consultation with a Missed Fortune wealth advisor now.

Bonus Missed Fortune E-Book: Baby Boomer Blunders

The average Baby Boomer has less than $50,000 accumulated for retirement (which means many have less than that), primarily due to bad habits and having money invested in the wrong places where economic downturns can diminish their nest egg.

Download this e-book now at www.babyboomerblunders.com.

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*Life insurance policies are not investments and, accordingly, should not be purchased as an investment

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