Corporate failures are generally the result of managers having their "heads in the sand," writes Steve Tobak. To turn things around, you have to start by acknowledging your own limitations, he advises.
Fear about debt in Greece proved to be big enough to sway the U.S. stock market last week. "Investors are now focused on which governments are overleveraged," said Henry McVey, head of global macro and asset allocation at Morgan Stanley Investment Management. Sovereign-debt problems are expected to increase borrowing costs in Europe.
The number of people who choose not to carry credit cards is expected to increase. While the average U.S. consumer has five credit cards, some are choosing not to use them or never even open up accounts in the first place. Credit cards "make me really nervous, and I've never felt comfortable having one," said Emily Maddox, 24, of Knoxville, Tenn.
A poll by FD, a communications and strategy firm, has found that 76% of Washington insiders expect Congress to pass an overhaul of the nation's financial-regulatory system this year. A bill requiring an audit of the Federal Reserve, however, will not pass, according to 74% of the poll's respondents.
Federal Reserve Chairman Ben Bernanke is expected this week to outline plans for tightening credit once the economy starts to recover. Observers say it will be several months before the central bank considers an interest-rate increase. The Fed will start tightening credit by raising interest on the excess reserves rate, which now stands at 0.25%.
President Barack Obama's description of using $30 billion in rescue fund money that was "repaid" to the government to fund a program to boost small-business lending was not an accurate description of the proposal first floated in his State of the Union address. The proposal calls for using $30 billion of the plan that was not used instead of using a portion of the $170 billion that was given to and ultimately repaid by big banks. The statement caused controversy in Congress as the original legislation calls for using the repaid money to pay down the national debt.