The world knows the United States has a strong collection of innovative and competitive companies. To name a few, we have Apple, Google, Facebook, Amazon , Boeing and GE. The Great Recession has made these companies stronger. We are well-positioned to grow in the future. We already have many of the finest universities in the world. The vast majority of economic growth in America arises from technological innovation. Partnership between the U.S. government’s funding of research in the nation’s public and private universities is playing a mayor role. Entrepreneurs in clean energy, medicine, advanced manufacturing, information technology, and other innovative fields will build new industries within the next few years, and solve some of our toughest global challenges. Investments made through Obama’s i6 Challenge are translating into new jobs in every part of the country and in every industry, helping to make ours an economy that’s built to last. I6 accelerates innovation from lab to market by funding these ventures, when usually no financial institution would.
Wealthy business leaders have long been attracted to education philanthropy as a way to fund the country’s future. Many have signed The Giving Pledge- committing to donate the majority of the money they earn to charity. An example is Facebook, which donated to education reform last week. Another signee, Star Wars creator and LucasFilms Ltd. owner George Lucas, announced he would donate much of the $4 billion generated from the sale of his film company to education-related causes. Through this, because of all the energy and capital out there directed to improving U.S. education, there is reason to believe that education reform will succeed. We are still one of the most educated countries in the world (among the top 5).
Our budget problems can and will be solved. Compared to the rest of the world, our fiscal challenges are fairly minor. Total debt in our economy has been falling. Add up everything American businesses, consumers and the government owes and you will find that it is falling. In fact, the U.S. has made more progress in cutting overall debt in its economy than any other nation. From its peak in 2009, household debt is now about where it was in 2005. Businesses have pared back their debt and have plenty of cash to finance investment. Governments at all levels are cutting costs and slimming down. Our next President and Congress will most likely cut the federal deficit fast.
Housing is recovering. Prices are rising again, more and more people will climb out from bad mortgages and we’ll see young families buying the furniture and appliances that follow home purchases. Homes are also the biggest asset for most Americans. This is a great confidence booster.
Finally, we came through this Great Recession in better shape than the rest of the industrialized world. We, as a nation acted more quickly to reform our financial system and ramp up our monetary and fiscal policy. Europe has struggled longer and still is.
A great new America is coming.