“It was the greatest party in the history of the world, but now the party is over. The following are 11 signs from just this past month that show that the U.S. economy is headed into the toilet and will not be recovering.”
Just think of what would happen when the soldiers who are in Iraq were to come home and be discharged from the services.
Where would these people find jobs and livelihoods? It appears that Obama’s reasoning for the troop surge in Afghanistan was more to do with that kind of unemployment numbers then it was anything else (it gets all those people off the unemployment rolls).
The shame is he should come forward and put all this laid out in simple talk for the people of the USA. He needs to right now cme out and say that the government needs to raise taxes on all the people and all the businesses and it is not an option but a necessity. If he does not do that soon then when the issues force this to happen it will then be much more damaging and the total collaspe of the USA economy will happen, and that is when we should all worry at just how the world will handle this.
Does anyone dispute that the USA can not at this point in time meet the demand of all the foreign held US dollars should they come and ask it to do so? We will assume that only a few would dispute that. For those who agree with that, then you are much like most knowledgeable people and already believe that the USA is a bankrupt nation and can not meet its debt obligations should the creditors come demanding payment.
These uncomfortable facts should make us ask how can this high powered nation support all the things it has going on (wars, bankrupt social programs, and so on). The wars in Iraq and Afghanistan are costing them more money each day and it is not money that they really have to spend. The world all sees the USA as being out of control and will soon start asking it to stand up for al the debt markers they have given out.
Lets face it: if the USA today pulled back all its troops and such to bring them all back to domestic work and then released the troops to try and find work in a nation where the manufacturing has been gutted and the people have used up most of the domestic resources that are available. It would still be a disaster for the nation. The fact that they are in wars with other nations. The military has essentially become a huge employer for young, mostly uneducated (no post secondary) troops who, if brought back just add to the un-employment roles that are now very high, it would show us all just what bad shape the USA is really in.
11 Clear Signs That The U.S. Economy Is Headed Into The Toilet
The Economic Collapse January 15, 2010
The vast majority of the talking heads on television are still speaking of the current economic collapse as if it is a temporary “recession” that will soon be over. So far, the vast majority of the American people seem to believe this as well, although for many Americans there is a very deep gnawing in the pit of their stomachs that is telling them that there is something very, very wrong this time around. The truth is that the foundations of the U.S. economy have been destroyed by an orgy of government, corporate and individual debt that has gone on for decades. It was the greatest party in the history of the world, but now the party is over. The following are 11 signs from just this past month that show that the U.S. economy is headed into the toilet and will not be recovering.
#1) When even Wal-Mart is closing stores you know things are bad. Wal-Mart announced on Monday that it will close 10 money-losing Sam’s Club stores and will cut 1,500 jobs in order to reduce costs. So if even Wal-Mart has to shut down stores, what chance do other retailers have?
#2) Americans are going broke at a staggering pace. 1.41 million Americans filed for personal bankruptcy in 2009 – a 32 percent increase over 2008.
#3) American workers are working harder than ever and yet making less. After adjusting for inflation, pay for production and non-supervisory workers (80 percent of the private workforce) is 9% lower than it was in 1973. But those Americans who do still have jobs are the fortunate ones.
#4) Unemployment is absolutely exploding all over the United States. Minority groups have been hit particularly hard. For example, unemployment on many U.S. Indian reservations is over 80 percent.
#5) Unfortunately the employment situation is showing no signs of turning around. December was actually the worst month for U.S. unemployment since the so-called ”Great Recession” began.
#6) So just how bad are things when compared to past recessions? During the 2001 recession, the U.S. economy lost 2% of its jobs and it took four years to get them back. This time the U.S. economy has lost more than 5% of its jobs and there is no sign that the bleeding of jobs will stop any time soon.
#7) Can you imagine trying to get your first job in this economic climate? Our young men and women either can’t get work or have given up on work altogether. The percentage of Americans 16 to 24 who have jobs is 13 percent lower than ten years ago.
#8) So where did all the jobs go? Over the past few decades we have allowed the corporate giants to ship mountains of American jobs overseas, and there are signs that this trend is only going to get worse. In fact, Princeton University economist Alan S. Blinder estimates that 22% to 29% of all current U.S. jobs will be offshorable within two decades. So get ready for even more of our jobs to be shipped off to Mexico, China and India.
#9) All of these job losses are leading to defaults on mortgages. Over the past couple of years we have seen the American Dream in reverse. According to a report that was just released, delinquent home loans at government-controlled mortgage finance giants Fannie Mae and Freddie Mac surged 20 percent from July through September.
#10) But that is nothing compared to what is coming. A massive “second wave” of mortgage defaults is getting ready to hit the U.S. economy starting in 2010. In fact, this “second wave” is so frightening that even 60 Minutes is reporting on it.
#11) Meanwhile, the Federal Reserve has announced that it made a record profit of $46.1 billion in 2009. Apparently during this economic crisis it is a very good time to be a bankster.