Jim Blasingame, the Small Business Advocate, has issued his list of Top Predictions for 2005 in his newsletter (free subscription required). There are a large number of predictions — 18 to be exact — but I’ll highlight just a few of the most universally relevant predictions:
- 2005 Prediction: China will resist pressure from the U.S. to allow its currency, the yuan, to float, instead of being pegged to the dollar. Due to its poorly operated credit sector, China considers its growing economy too fragile for the yuan to float.
- 2005 Prediction: The European Union’s economic growth rate will be less than 2.2%. Saddled with systemic socialistic business practices, the EU is struggling to be competitive in the 21st century’s global marketplace.
- 2005 Prediction: The U.S. economy will grow at an annual rate of over 4%.
- 2005 Prediction: The annual unemployment rate will end the year below 5%.
- 2005 Prediction: The United States will continue to lead the world in promoting entrepreneurship, but also watch the new entries into the European Union, like Poland, plus India, and yes, China.
Editor’s Note: This is the ninth in our series of articles on 2005 trends predictions. We are comparing and contrasting trends predictions from different sources that will impact the small business market in 2005 and beyond. Here is our running list of trend prediction posts:
Anti-Trending and Other Trends for 2005
Entrepreneur’s Top Trends for 2005
Small Business is Itself a Trend
Top Technology Trends for 2005
Top Global Consumer Trends
Inc.’s Trends for Entrepreneurs in 2005
Top Travel Trends for 2005
More Top Trends for 2005