Bad Economic Cycles and Politicians Can’t Make Your Business Fail

by | May 20, 2025 | Business, Politics, Think Piece | 0 comments

One of the first battles any entrepreneur must fight is the one in the mind — the battle against fear, doubt, negative myths, economic cycles, and politicians.

One myth, in particular, is deeply rooted:

The belief that bad politicians and economic cycles destroy businesses.

At this point, you might wonder if I went to school at all.

“Why would anyone call the 2008 global economic recession a myth?” you ask.

After all, the mighty United States was brought to her knees — and the rest of the world followed.

And what about the other global economic tragedies?

The dot-com bubble burst. The COVID-19 pandemic and economic lockdowns. The Asian Financial Crisis. The Ukraine-Russia war.

People lost jobs. Businesses crashed. Families broke apart.

During COVID-19, divorce rates even skyrocketed because of financial stress.

These are real, heart-wrenching realities.

I’m not here to downplay them.

But here’s what we often miss:

There has never been a time in human history when we weren’t dealing with economic and political chaos.

Even today, the U.S. is frenzied as Donald Trump and the DOGE continue to push in new policies and tariff changes.

Like during his first tenure, the media is flooded with forecasts, warnings, and speculations.

Yet, the U.S. economy, while turbulent, shows constant evolution — you can follow current trends and quarterly data from the Bureau of Economic Analysis to understand where opportunity is growing.

Economic and political volatility are constants.

Think about the Ukraine-Russia war:

Why won’t Zelensky or Putin just back down so we can all get on with business?

Because humans, not machines, run these systems.

Humans with emotions, egos, fears, desires, and unpredictable needs.

The Humanity Behind the Economic Cycles

Beneath financial forecasts and mathematical models are human decisions — often ruled by ego, fear, and sometimes irreverence.

The recent video of President Trump and Zelensky’s altercation at the White House shocked many.

It peeled back the polished surface of diplomacy and revealed the raw emotions affecting world economies.

This veil — the gap between what we see in numbers and the messy reality of human emotions — often amplifies the chaos we feel in the world.

And it trickles down into our personal lives:

You worry about the savings you’ve built. Then you stress about job security. You fear a messy divorce might wipe out your home and life.

These fears trigger fight, flight, or freeze instincts.

Many abandon business ideas entirely. Some double down on poor risks. Others freeze, unable to act at all.

At such moments, it feels easier to crawl into bed, get a warm blanket and hot chocolate, cry a little… and sleep.

Yet, storms are almost always transient.

Tough seasons pass.

New presidents come. New economic policies arrive.

And society eventually adjusts to the “new normal.”

Should You Ignore Politics and the Economy?

No.

You can’t live in denial.

But neither should you let them paralyze you.

Instead, you must Observe, Research, and Act.

Some of the most successful companies were founded in downturns — and this Harvard Business Review article explains why a bad economy could actually be the best time to build something new.

1. Observe Economic Cycles

Don’t “ostrich” the situation — sticking your head in the sand won’t help.

Political and economic shifts truly impact people and businesses.

For example:

Thousands of U.S. federal employees recently lost their jobs.

Many are now turning to entrepreneurship or side hustles.

What does this shift mean for small businesses? What will these newly unemployed individuals spend on? How will foreign businesses (like China) sell to them?

By observing, you can spot opportunities hiding in plain sight.

2. Research the Cycles

Every major economic shift creates new industries and new needs.

Airbnb was founded during the 2008 recession. Uber launched amid the same financial meltdown. Slack, the work collaboration tool, rose during tough times.

These businesses didn’t deny the chaos — they researched the gaps it created and built solutions.

Today, AI is transforming industries at lightning speed.

Instead of panicking, learn:

How are businesses using AI to save costs or operate remotely? What new problems is AI solving? What human needs still remain?

The best part?

You don’t have to do all the heavy lifting yourself.

Universities, private businesses, and researchers have already done much of it for you.

Leverage this knowledge.

To stay sharp, it helps to track how consumer behavior is shifting — McKinsey’s U.S. consumer sentiment data is one of the many reliable places to observe patterns and spending priorities.

3. Act Regardless of The Economic Cycles

As tough as it sounds, the best time to act is often when everyone else is too scared to move.

History favors those who face fear, uncertainty, and chaos — and move anyway.

Yes, politicians are a mess.

Yes, the economy is unpredictable.

But those are constants of the human story.

You must plant seeds even when it looks like it might never rain.

Of course, stay informed — check the “weather forecasts.”

But don’t freeze.

Don’t hide.

Act.

Because if you do, you’ll discover that bad economies and bad politicians are not as powerful as we think.

The courage to act in the storm is what separates survivors from success stories.

Key Takeaways:

The economy will always have ups and downs. Politics will always be messy. Fear will always scream louder during chaos. But history belongs to those who observe, research, and act regardless.

Start now. Thrive anyway.

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