Paths to prosperity: many journalists believe yuppies, bohemians, and rock bands are the key to local economic growth. They ought to be looking at families.

It has been a disappointing couple of years for many entrepreneurs across the nation, but for Ramon Alvarez things have never been better. Sitting in a cramped office at his bustling car dealership within a sprawling auto center here, the 43-year-old Alvarez looks forward to the rest of the year, indeed the next decade, with nothing but eager anticipation.

"The Dow says the sky is falling," explains the lean, handsome native of Tijuana. But we are breaking records here almost every month, and so are all the other local dealers. We're up 8 percent from last year."

Alvarez, who bought his Ford-Lincoln agency seven years ago and added a Jaguar dealership ...