WCA November 2010

From the americas

compromise on what to do with the expiring tax cuts of the Bush era. His advice: Do not raise anyone’s taxes in 2011. After that, in 2012, 2013 or 2014, when the economy is stronger, then raise the rates on upper-income taxpayers. Of course, Mr Zandi acknowledged, there could be some nasty surprises ahead. Presumably these would hit an optimist harder than the rest of the populace. But for now, Ms Kiefer of the Monitor noted in high summer, “He’s got his sunglasses ready.”

(The average individual credit-card balance [just under $5,000] is at an eight-year low and delinquencies have tumbled, according to a late August report by consumer-credit rater TransUnion.) At least, that is true of the consuming public that does most of the buying – those with household income above the median of $55,000. Americans now are spending under their demographic ❖ ❖ needs. For instance, they need 15.5 million cars a year as college-age young people graduate to wheels of their own, but consumers are holding back, buying only 11 million cars annually. At some point, however, auto sales will “rocket higher.” But America’s exports, not its consumers, will lead the ❖ ❖ way to a healthy economy. Russia and Brazil, among other emerging markets, can be expected to buy more US goods such as aircraft, machine tools and computer equipment. They will also need American services: accounting, legal, management, and financial advice – as well as in the fields of architecture, media and entertainment. Meanwhile, big business is “strong”, credit is improving ❖ ❖ “rapidly”, and political uncertainty over major reforms is beginning to abate; although Mr Zandi would like to see Congress and the White House quickly come to a

Dorothy Fabian – Features Editor

Reach more than 12,000 readers with

40

Wire & Cable ASIA – November/December 2010