Next year will be the fourth since the downturn started. Our economy hasn’t recovered properly yet. But as Joseph Addison, the 18th-century essayist and poet, said: “Our real blessings often appear to us in the shape of pains, losses and disappointments.” I have come to believe there are many positives for business and investors springing out of these difficult times.
Importantly, capital is being allocated more sensibly. In the boom times money was squandered – now lenders and investors are deploying it much more wisely. I am convinced lessons have been learnt. There should be improved returns and less waste, and more worthwhile use of resources generally.
Government and industry are demanding better value: both public and private sectors are obliged to become more efficient and productive. This must be a good thing. Similarly, more attention is being paid to a proper connection between effort and reward. This is a healthy realignment.