The Black Hole
I am reading Rosey's look at government debt and "the black hole" that some governments are close to falling into...
I don't see the hyperlink buttons, so here's the link, http://roseysoutlook.blogspot.com/2011/03/will-california-fall-into-black-hole.html
Canada's economy is comparable in size to California and we had a $40 billion dollar budget shortfall back in 1980, which lead to our 20 years of high taxes. I know that from living in British Columbia it was an era of a sluggish economy.
California is big enough that getting its problems under control will have a trickle down effect for the greater economy.
It will be interesting to see what the market does this year after retirement savings season.
I am still not in the market, but one of my strategies when I was in the market is I looked to load up in December and January and then I was unloading through the peak of retirement saving season. The one year I borrowed in the fall to invest and I doubled the money and was out 4 months later. I generally don't believe in borrowing to invest and that was the only time I have ever done that.