6A - Identifying Opportunities in Economic and Regulatory Trends

Economic Trend 1: Maintaining Fiscal Stimulus 
- source: http://www.businessinsider.com/jpmorgan-head-economist-on-7-trends-will-shape-the-economy-in-2017-2017-1
- I believe that an opportunity exists in maintaining fiscal stimulus. The Donald Trump administration has unveiled a pro and pro expansionary agenda. The guarantee of new tax regulations has stirred the economy - there was a seven percent increase in the fourth quarter of the 2016 stock market.
- The prototypical customers are those who want to invest more of their capital into the stock market. This could be individuals who already have millions invested in the market, or young adult who want to start a portfolio. The Trump administration has created a bull market in that the value of the stock market is rising.
- I saw this opportunity because the market has been pushing towards record highs as of lately. 

Economic Trend 2: Interest Rates Are Rising 
- source: https://www.thebalance.com/top-usa-future-economic-trends-3305666
- I believe that an opportunity exists due to rising interest rates. The Federal Reserve intends to raise funds to their 2 percent goal - which in turn would also mean the natural unemployment rate would hover around 4 percent. The rising interest rates to buy assets will rise, but the interest rate made on bank deposits will rise. Therefore, this market inspires investors to save and discourages taking out loans payable.
- The prototypical customers are everyone who want to properly budget and raise capital. Anyone cognizant of the financial world around them will realize an opportunity to invest will arise, as long as The Fed continues to raise interest rates.
- I saw this opportunity because the rising interest rates were much discussed in a previous economics class I toke. My instructor wanted us very invested in the Fed's set interest rates, as he believed it would help us down the road financially.

Regulatory Changes 1: To Provide Funds and Support to Puerto Rico
- source: http://www.newsweek.com/puerto-rico-recovery-100-days-hurricane-maria-760965
- I think an opportunity exists here because much of the island is still distraught after Hurricane Maria. The territory is scarce with resources and needs help cleaning up and restoring electricity.
- There would be two prototypical customers in this situation. The first would be the red cross representatives and volunteers who donated time and capital to help rebuild the island. The second would be the island residents who are still living differently because the hurricane impacted their style of life.
- This opportunity will be difficult to achieve because of the vast amount of people effected. An increase in financial support from Washington and volunteers would help fix the damage.
- I found this article very interesting due to Trump's well known reaction to the relief efforts in Puerto Rico. He has repeatedly brushed off financial and moral support - despite the area being a US territory and the vast devastation Hurricane Maria caused.

Regulatory Changes 2: Minimum Wage Policies at Local and State Levels
-source: https://www.businessnewsdaily.com/7671-regulatory-issues-changes.html
- I think an opportunity exists here because of the gained momentum to raise the minimum wages across all levels. The agenda is gaining popularity- and will surely be implemented sometime in the near future.
_ The prototypical customers in this situation would be individuals who make money at the minimum wage level and employers who use minimum wage workers. Changes may need to be made to maintain a stable future relationship with the two parties and will surely create union disasters
- The raise in the minimum wage will happen soon due to the push to raise it and inflation. A stable relationship between the two parties and/or unions will be increasingly difficult due to labor cost changes.
_ I find this topic very interesting due to the cost of living in certain areas. I truthfully believe that minimum wage should be locally determined - as the cost of living varies greatly from location to location.