Last year, I predicted the new normalcy of lowered growth expectations we have experienced since the 2008 financial crisis would last through 2011. I also noted important fiscal issues would go unaddressed by our elected leaders.
And I noted any spark to the stagnant U.S. economy would come from a bottom-up recovery generated by consumers who weathered the storm and were willing to spend. As anyone who has listened to news accounts of Black Friday and Cyber Monday knows American consumers will deny themselves for only so long, and if the discounts are deep enough they will endure long lines and the risk of physical danger to obtain that flat-screen television, video game, or latest fashion. Luxury retailers have enjoyed the return of the lust for spending for some time, and now this mania has hit the mass market.
Although at first blush this torrent of consumer spending may appear bullish for the economy and the freight-handling industry, it should be noted there was an appreciable increase in the use of credit cards to fund this spending activity over last year, when cash was king at the register.
Traditional economic indicators appear to be of limited value in predicting break-speed events in the global economy, but it is clear people all over the globe want those flat-screen televisions and other goods. New consumers are emerging all over the world, which is a positive indicator for our industry.
However, industry stakeholders must retain the lessons the last three years have taught us. Sustainable economic and environmental business models will be paramount to successful operators. And to our governmental leaders, no matter which party obtains power in Washington in 2012, job creation, the backbone of any sound economy, can only be successfully undertaken by a private sector that has certainty in regulatory obligations.