Economic Crisis Mandates Resilience Infrastructure for Recovery

Sustainable systems need a strong economic infrastructure or the social competition for scare resources and limited political influence to spark recovery will inevitably lead to self-interest, protectionist measures by governmental institutions, perpetuating the multiple crises now underway. Development and deployment of rapid recovery solutions that have a global impact on environmental and societal systems can succeed with a shared communication platform for multistakeholder action. This week's news on continuing decline in all primary US economic indicators - new unemployment numbers, job losses, new housing construction, consumer confidence, December consumer sales, and the Senate's failure to find sufficient votes for the current stimulus bill - foreshadows institutional failure across the political spectrum in the US. Bank rescue package failed to stem losses and the new administration continues to consider throwing good new money after bad money.

Fed Reserve Board finding new tricks in its bag including guaranteeing and buying back all flavor of private credit and debt instruments. And interest rates are still ticking back UP at this point with long term 30 year fixed rate mortgage loans above 5.25% and banks further tightening, rather than liberalizing, lending standards. The lesson is that the US can't do this alone, our institutions are dysfunctional and our politics to divisive. A multinational approach is needed, along with a restructuring of the financial risk management principles for protecting country systemic risk. Let's post solutions that are practical, guided by responsible sustainable policies, and enforced through a shared system of risk/reward.