(Image:Thinkstock)

The U.S. economy didn’t close on such a bad note in 2011.

A forceful 200,000 new jobs were added to the economy in December, the U.S. Department of Labor announced Friday.

The nation’s unemployment rate fell to 8.5 % in December, from 8.7% in November, the government said. The Labor Department revised the number of new jobs added in November to 100,000, from 120,000.

December was the sixth consecutive month that the economy added at least 100,000 new jobs, but the Japan earthquake and debt ceiling crisis of the spring and summer slowed progress significantly.

“People were very much thinking that the sky was falling,” said Tom Porcelli, an economist at RBC Capital Markets. “It’s no small victory that we’re up here, even with all these headwinds.”

Read more at the New York Times…

(Image: ThinkStock)

In this season of giving—and taking time off from work—I’ve had occasion to focus on the important things in life, like quality time with my family, reaching out to old friends, and catching up on my reading and reality TV. It’s amazing how much longer the days feel when you’re not trying to jam too much into them.

With time to spare, I’m more fully engaged and as a result, each moment takes on a sense of heightened intensity. Maybe that’s why when I sat leisurely reading my Sunday paper on Monday, dog at my feet, big mug of tea in hand, I was moved by a line of all green capital letters above The New York Times banner. It said: TODAY IS CHRISTMAS REMEMBER THE NEEDIEST!

Ironically, the paper wasn’t packed with stories about the needy. Despite the holiday, there was the usual mix of headlines from around the world and big-city news with a few musings on Christmas tossed in for good measure. But it was the story about the latest “biggest apartment sale ever” in my hometown of New York that impressed me most. I was stunned when I read it, and I haven’t been able to get it out of my head since.

It reported the closing of the closely-tracked sale of a three-bedroom apartment in a building overlooking Central Park on Manhattan’s west side. Final price: $24 million. The price is eye-popping, and so is the profit when you consider that the previous owner, described in The New York Times as a shipping magnate, bought the place for just under half that only three years ago—in 2008, the year the bottom fell out of our once robust economy.

But that’s not the part of the story that nearly made me choke on my tea. It might have, if not for a penthouse apartment in the very same building going to contract last week with an agreed upon price of $88 million. Yes, I said $88 million… for an apartment. Not a house with miles of acreage, not a sprawling gated mansion on a private lake with its own zip code, nor an entire building full of grand apartments, but one single dwelling in a building parceled into many—202 to be exact: $88 million.

What does an $88 million apartment look like? Hard to say, but its 6,774 square feet is terraced and bright with lots of windows and a heart-stopping view from atop a building that’s 19 stories high. The place is currently owned by former Citigroup CEO Sanford I. Weill and his wife, Joan, who have publicly claimed they plan to donate proceeds from the property to charity. Their philanthropic arms have a wide reach that’s already left an indelible mark on New York institutions from major hospitals to the Alvin Ailey Dance Company.

But that’s still not the part of the story that stopped me cold. After all, this is New York where very little about Manhattan real estate—from how small an actual living space can be to how much one can also cost—surprises anymore.

What I wanted to know was who buys an $88 million dollar apartment and it’s the answer that got me: A Russian billionaire, Dmitriy Rybolovlev, who is picking it up for his 22-year-old daughter, Ekaterina, a college student in the US. If your head’s not already swimming, get this: She doesn’t even go to school in New York, she just needs a place to crash when she visits!

Rybolovlev, who made much of his money in pesticides, is ranked by Forbes as the world’s 93rd richest person. He first made a name for himself in US real estate in 2008 when he purchased a 33,000-square-foot Palm Beach estate from Donald Trump for $100 million. This latest purchase, paying a mere $12 million more for a property a quarter of that size, easily trumps the Trump deal (to Don’s great displeasure, no doubt). I imagine it comes with at least one parking space but a hefty monthly maintenance fee (to maintain the building’s private health club, pool, wine cellar, and grand residents dining room) is additional, for sure. As is the private apartment staff that will keep the floors gleaming and the pillows fluffed. Welcome to New York.

Why do I care who lives at 15 Central Park West or what those grand apartments cost? Because it’s always fascinating to imagine how other people—especially the insanely wealthy—live. Because from a business standpoint, it’s wild to consider how during the most devastating financial era in a generation, two already exorbitantly expensive apartments could each double in value. And because the week between Christmas and New Years—Kwanzaa week—is always a time for reflection.

So, I can’t help but reflect…on our notions of charity and capitalism, on gratitude and materialism, and on that green banner about the need to remember the neediest occupying space in a paper alongside news of an $88 million crash pad for a college kid. I can’t help but reflect on what $88 million could do for the needy at a time when the depth of need in our country is so great. I can’t help but reflect on when and how we know that enough is enough and too much is just too much.

(Image:Thinkstock)

• Fewest Layoffs Since 2008

The number of people seeking unemployment benefits dropped last week to its lowest level since April 2008, the government said. The report suggested that layoffs are slowing further and that employers may be ready to hire more aggressively in the new year.

Reports show a clear upswing in the US economy. It is thought to be growing in the current quarter much faster than the 1.8% annual rate that the government now estimates for last summer.

“The economy is carrying some clear momentum into 2012,” said economist Joel Naroff of Naroff Economic Advisors.

“The consistent decline in the weekly lines at the unemployment offices is pointing to a firming in the labor markets, fewer layoffs, more jobs being added and most importantly, a decline in the unemployment rate.”

Read more at Yahoo! News…

• Congressman Calls Michelle Obama’s Posterior ‘Large’

Wisconsin Congressman Jim Sensenbrenner was overheard on his cell phone at Reagan National Airport talking about what he said about First Lady Michelle Obama several weeks ago, Fishbowl D.C. reported.

Sensenbrenner reportedly said, “[Michelle Obama] lectures us on eating right while she has a large posterior herself.”

This isn’t the first time Obama has been accused of being too curvy.  Others have commented on her physique and role as leader of the healthy living initiative Let’s Move!

Radio host Rush Limbaugh said February: “The problem is, and dare I say this, it doesn’t look like Michelle Obama follows her own nutritionary, dietary advice…I’m trying to say that our First Lady does not project the image of women that you might see on the cover of the Sports Illustrated Swimsuit Issue or of a woman Alex Rodriguez might date every six months or what have you.”

The Congressman has agreed to issue an apology for his offensive comments.

Read more at the Huffington Post…

• Congressman Paul’s Racial Writings Raise Questions About His Winning Potential

Polls show Texas Congressman Ron Paul emerging as the new Republican presidential nomination front-runner in Iowa, despite the resurgence of his past, offensive writings about African Americans in his newsletter.

They are projecting that Rep. Paul is now the most likely Republican candidate to win the Jan. 3, 2012 Iowa Caucus, slightly ahead of former Massachusetts Governor Mitt Romney and ex-Speaker of the House Newt Gingrich.

In the latest CNN/ORC poll released Tuesday, 45 % of those polled said they would vote for Paul, compared to 52 % for President Barack Obama, if the two ran head-to-head in the presidential election. That makes Paul and Romney tied for the lead among registered and overall voters.

Additionally, a breakdown of the poll reveals that the 12-term congressman would receive 25% of the “non-white” vote, ahead of Romney’s 20%.

Paul maintains he did not write the racially offensive comments published in his newsletter.

Read more at The Grio…

(Image: ThinkStock)

Before the last of the Thanksgiving leftovers have even been gobbled up, the big announcement came that retailers just enjoyed their “biggest Black Friday ever!” Rather than hit the gym to work off those yummy candied yams and pies (pecan, apple, sweet potato… Oh, my!), Americans raced to…. the malls! Or, they just sat back at home, scratched their full bellies, and chugged antacids as they shopped online, getting their Cyber Monday fix on early. The final tally? More than $50 billion in total sales for the “holiday” weekend, up from $45 billion last year!

Major network news correspondents, otherwise credible financial analysts, and so-called money-honeys of all genders, sizes and hues, treated this bit of shopping trivia like it was a great big Christmas present! Despite still outsized unemployment, foreclosure, homelessness, and national debt statistics, legitimate journalists actually posed the question: “Does this mean our economy is finally turning around?”

I love Christmas (and a killer sale) as much as anybody, and I hate to be a Scrooge, but bah, humbug, and let’s be serious, folks! The fact that 227 million of us opted to go out and shop the day after Thanksgiving (and the day after that, and the day after that…) is an indicator of little else other than the fact that it’s what we’ve been successfully conditioned to do—even in the face of crisis. In fact, especially in the face of a crisis!

After all, isn’t that exactly what we were urged to do by none other than then-president George W. Bush in the immediate aftermath of 9/11? He didn’t suggest that we batten down our financial hatches in preparation for the colossal war bill we’d be facing, or that we collect goods from our already overflowing closets and cupboards to help sustain those with less in our communities, or to send to troops and their families. No. He said, go out and shop!

And we did.

Then, we kept on doing it. For the last decade, we have spent money and racked up debt at record levels—and why wouldn’t we when at every turn, when the economy has stalled, disaster has loomed, and the so-called great financial minds of the world are thoroughly stumped, they say the same thing: Go shopping.

Click here to continue reading…

(Image: ThinkStock)

This message has been so consistent and all-consuming, that holidays from the most pedantic (President’s Days) to the most frivolous (Halloween) to the once most holy (Easter) have become little more than consumer-fests. And technology has taken this all over the top. Forget store catalogs and paper sales circulars; retailers begin their constant assault of sales promos in October and they don’t stop until the holiday clearance racks have been emptied in mid-January. My email inbox overflows with them, as does my phone, which delivers no fewer than three texts a day with “special” sales codes and “exclusive” deals. There is no avoiding it, or the mark it leaves on you whether in the time it takes to view and delete items, or the I’ve-gotta-have-it desire to not miss a grand shopping opportunity. For better or worse, the retailers approach works!

So, I got to thinking, what if we were able to duplicate their very successful strategies in the areas of our lives that truly need improvement? Those areas that wouldn’t just benefit us individually, but collectively, as communities and as a nation? Here are a few ideas that quickly came to mind:

• Education: What if all private schools from nursery through college offered a buy-one-get-one-free deal so that if you pay full price for one child to attend, the next child goes for nothing? You’d get four diplomas for the price of two, six for the price of three and so on. It would encourage family unity and institutional loyalty, and it would enable more families to educate multiple children without breaking the bank.
• Volunteerism: The point of volunteering is, of course, to give of your time for giving’s sake. But what if we incentivized things like teaching prison inmates to read, leading fun activities at eldercare centers, or maintaining community gardens and parks? What if for every 20 hours a month you spent donating your time and talents to the betterment of your community you received an income tax rebate or a post-graduate tuition discount or a gift card for a free checkup that you could use yourself or re-gift to someone who has no healthcare insurance?
• Health: Ever watch The Biggest Loser? It’s incredibly inspiring to witness the morbidly obese overcome years (in some cases, lifetimes) of poor eating and exercise choices and towering self-doubt in a 13-week television season. But let’s be clear about their motivation: Cold, hard cash. One of the greatest cripplers of our economy are our nation’s healthcare costs and they keep climbing higher, as all that ails us keeps getting worse, even as we live longer. Wouldn’t it be cheaper to actually pay people to get healthy? The looming threat of stroke, heart disease, disability and premature death if you don’t get healthy has made little impact. But what if you received a text today guaranteeing you an actual cash prize if you did get healthy? How much would it take for you to make some key changes in your lifestyle? Probably less than you think.

I could go on, but you get the idea. A great education accessible to the masses, stronger, more interactive communities, better physical and emotional health, these are truly the gifts that keep on giving. We just need a better marketing plan—and maybe a few cash incentives—to get the message across. We could start by putting the Thanks back in Thanksgiving. Clearly, we’ve got the giving—and getting at a bargain—part down.

(Image: Getty)

• Dr. Conrad Murray Found Guilty of Involuntary Manslaughter

A jury decided Michael Jackson’s doctor was guilty of involuntary manslaughter.

The 58-year-old could face up to four years in prison and the loss of his medical license. Dr. Conrad Murray is to be sentenced November 29.

Read more at the New York Times…

• Sharon Bialek Says Herman Cain Put ‘Hand Under My Skirt’

Defense attorney Gloria Allred and her client Sharon Bialek, the fourth woman to come forward with sexual harassment allegations towards Herman Cain, held a news conference Monday to address harassment accusations against the Republican front-runner.

Bialek alleges the former president of the National Restaurant Association reached under her skirt in 1997 as she sought employment advice from him. “He suddenly reached over and put his hand on my leg…under my skirt and reached for my genitals,” she said. “He also pushed my head toward his crotch,” she said.

His campaign released a statement saying that Allred is bringing forth “false accusations against the character” of Cain.

Read more at USA Today…

• Young Men Are the Biggest Losers Amid Economic Downturn
  

The recession brought numerous men who moved out of their parents’ home with plans to start their own lives back home. There are fewer jobs with less pay, less hours, and more headaches.

The share of men age 25-34 living with their parents jumped to 18.6% this year.  That’s more than 4% higher than the rate four year ago and the highest level since at least 1960, according to the Census Bureau.

“We’re at risk of having a generation of young males who aren’t well-connected to the labor market and who don’t feel strong ownership of community or society because they haven’t benefited from it,” says Ralph Catalano, professor of public health at the University of California, Berkeley.

The unemployment rate for males within this age bracket with a high school diploma is 14.4% —up from 6.1% four years ago and well above today’s 9% national rate.

Read more at The Wall Street Journal…

• Obama Beefs Up Campaign Strategy as Election Draws Closer

With economic and electorate odds against him, President Barack Obama has focused on building an aggressive grassroots campaign in swing states. The commander in chief now has campaign offices in all 50 states – and an average of three new field offices each week, according to campaign manager Jim Messina.

The team’s electoral strategy is aimed at broadening the pool of voters, particularly in traditionally red states that have turned mixed because of recent demographic shifts.

Obama successfully flipped nine states that John Kerry lost to George W. Bush in 2004. Top Democrats believe he has a chance at holding nearly all of them again in 2012.

The president has raised more than $88 million for his re-election through September – quadruple the cash on hand of Republican front-runner Romney.

Read more at Yahoo! News…

• Magic Johnson Marks 20 Years Living With AIDS

Twenty years ago today, five-time NBA champion Magic Johnson announced he was retiring from the NBA. He was 32-years-old and HIV-positive.

“Because of the HIV virus that I have obtained, I will have to retire from the Lakers today,” Johnson said in a full room at the Forum in Inglewood, CA.  Johnson did return to the court, going on to win an MVP award at the 1992 NBA All-Star game, but later left for good after several players said they did not want to play alongside Johnson for fear they would catch the disease.

The ballplayer-turned-businessman took his prognosis and entered a new game—raising millions for HIV/AIDS research.

Read more at the Los Angeles Times…

Additional reporting by Janel Martinez

(Image: File)

A new analysis of census data by the Pew Research Center is showing that the wealth gap between Americans 35 and under and those 65 and over is more disparate than it has ever been. This doesn’t necessarily mean that your grandparents are rolling in the dough while you’re struggling to make rent but it does mean that our  troubled economy has made it harder for younger Americans to amass wealth the way that generations ahead of us have.

Click here to read more about the wealth gap at BlackEnterprise.com/BENext

Herman Cain, a Republican, has been more than vocal about wanting to see President Obama out of office. (Image: File)

They are the very interesting opponents of the Obama administration that we can never seem to forget— Chris Christie and Sarah Palin—yet for this upcoming election, they’re not so prominent on the political scene anymore. However, one very outspoken and unforgetable presidential hopeful remains: former Godfather’s Pizza CEO and radio talk show host Herman Cain.

He’s vying for President Obama’s seat and is known to have some eye-raising, controversial — and to some, even offensive —things to say about race and why Obama should step down.

The Atlanta Post compiled a list of Cain’s most outrageous statements, from the man who proclaimed “I left the Democratic plantation!”

Read more at The Atlanta Post …

(Image: File)

Steve Jobs and President Barack Obama are two of the most iconic and important figures of our time. The late founder of Apple, Jobs was a creative genius and captain of industry and Barack Obama is, of course, the dynamic politician who captivated the nation with a messages of hope and change in one of its darker hours.

Today the release of Walter Isaacson‘s book Steve Jobs: A Biography is giving the world a glimpse of what happened when these great minds connected. Representing the private sector and big business, it seems that Jobs had a few choice words of advice for the POTUS leading a country in the midst of economic crisis.

According to the Huffington Post Jobs offered to create political ads for Obama’s 2012 re-election bid despite his distaste for some of the Obama administrations economic  policies.

Click here to read more about Jobs and Obama’s meeting at BlackEnterprise.com/BENext

If you’re under the age of 35, you grew up in an era of easily accessible credit, ranging from charge cards and auto loans to home mortgages. If you’re older than 40, you may have simply forgotten the traditional American values of fiscal restraint and responsible financial behavior—or maybe you believed that, like other old-fashioned notions, they’d simply faded into the haze of the past. In either case our recent Great Recession and the mortgage crisis that helped precipitate it represented the rudest of wake-up calls.

As families, individuals, and businesses alike continue to struggle along the rugged road of economic recovery, the talk is of a new, more frugal national mindset. Indeed, according to the U.S. Department of Commerce, our national personal savings rate was nearly 6% for the last quarter of 2010 and reached a high of more than 8% in 2009. Compare that to a savings rate that never exceeded 3% from 2005 into the beginning of 2008, and it’s clear that tough economic times, along with tighter lending standards, have captured our attention, both as individuals and as a nation. America, it seems, has a new attitude.

Only it isn’t new at all. It may be hard for many of us to remember a time when we weren’t a credit abusing, spendthrift society. But the truth is our national savings rate rarely dipped below 7% from 1959 to the mid-1980s. Eschewing excess debt is a traditional American approach to money management, not the “new normal.”

Especially among African Americans, who have a long history of having to make do with less, to “squeeze every dollar ’til it hollers,” good financial stewardship—often with a focus on sustaining entire communities—was the rule, not the exception. Great examples of this were the black mutual societies that led to the creation of black-owned banks and insurance companies, as well as sou-sous and similar group savings systems once popular among Caribbean Americans and other people of color who had limited access to affordable credit. Many of us went to college or started businesses thanks to the disciplined financial habits and largesse of a parent, grandparent, or other relative who “made a way out of no way.” My wife, Barbara, is a great example of this; her fiscal prudence has helped us to guide our family through lean times and enabled us to help countless others.

Of course, it’s a good thing that we now have access to credit and other financial products and services that were denied to previous generations of African Americans—it’s an example of the economic justice for which many of us fought long and hard. But if we have learned nothing else from this past decade, it’s that easy access to credit without education and good judgment is a recipe for easy excess and self-destructive behavior. This has been the mantra of Black Enterprise throughout our more than 40 decades of existence, regardless of the twists and turns of our economy, and long before April was officially named Financial Literacy Month.

So as you read this month’s issue, our Annual Investment Guide, rededicate yourself to the cause of your own financial literacy and the principles of responsible money management, disciplined saving, and thoughtful investing—the keys to achieving the Black Enterprise Wealth for Life mission. Remember that debt is to be managed, not abused; that we must save a portion of every dollar we earn; and that we must invest in appreciating assets, not just spend on things that depreciate in value. Let’s get back to the future—our future.