It can't hurt to be ready for bad times on horizon.
Caution: This will not be Politically Correct.... we always provide No Bullshit advise.
Remember the chaos that erupted
around New Orleans following the big Hurricane?
We believe that just like a Huge locomotive..
We have updated this prediction in light of the recent drop in oil prices.. this is making a huge difference in family budgets allowing the good times to go forward another 5 years or so.
Our view is that the US we grew up in may vanish within 15 years... perhaps sooner due to simple greed caused economic collapse caused by Government politicians buying votes and your neighbors whom are on the government dole.
Our government is grossly overspending and seems incapable of stopping, the US dollar is loosing value on the world market at a fantastic rate because the Fed is inflating our money to the tune of $84 billion a month. Currently we are in the midst of a huge global financial bubble. Britain has said it will exit the EU and Italy is expected to vote to do the same this December 2016. Once the dominos start to fall it will create a contagion effect on global markets inducing crashes beyond compare. If you have ever read about the Great US Depression... do not think this one will be as bad as that because it will be multiples of times worse by far and will last a lot longer because it will be a global depression. Millions perhaps Billions will perish making the Middle Ages Black Plague look like a cake walk.
As the Fed pours money in, our currency it is being devalued. The result is very low interest rates. Because the interest rates are so low, retirees cannot get a decent return on invested money except in the stock market. This pushes up prices in the stock market effectively creating yet another bubble. Loan prices are low & the US government is stepping in again to bail people out so bubbles are forming again.
China, Russia & other nations have gotten tired of the US inflating the Worlds Reserve Currency (the US Dollar) so they are finding ways around buying it & are stopping the purchase of our Debt. We are all living on debt unlike our parents of pre 1970 who lived on cash & carry.
Without foreign investment buying our huge debt we soon will no longer be able to keep our currency afloat. Soon foreigners could stop buying our US debt as they are now because they can get higher rate of return here than at home. Once that occurs, our economy will collapse... interest rates will skyrocket causing Bonds to plummet in price as people bail of out them.
When we default on our debt because we cannot afford to make the payment... it will be just like what happens when you or I start missing Credit Card payments... The interest rate will go much higher on the US government debt we have built up. Once this occurs, no one will buy our debt & the predicament we find ourselves in will become grave.
As the stock markets, banks and currencies collapse things WILL become much more expensive, people will riot as food prices soar. For more on money supply in the world look no further than here.
One dollar in 1970 would purchase
what now requires $7 to purchase... that is called inflation. I'm sure you have
noticed the effects of inflation it at the grocery store.
Your purchasing power is rapidly dwindling today thanks to the government printing presses being in overdrive just to keep our country afloat. You see, the dollar is being intentionally inflated to keep our US debt payments going. The US is deeply in debt and it is very doubtful this will have a positive outcome. The world
The US dollar is currently in a unique position as it is the worlds reserve currency. We can print money like no tomorrow.. well at least until the world gets tired of us devaluing the money and selects another currency. Yes there is very serious talk of that happening! Read this report from the United Kingdom about their view of the US dollar and what problems our US debt is creating across the globe and how they perceive it as affecting us in the long run.
The US currently exceeds $19.9 Trillion in debt $19,900,000,000,000, way to big a number to comprehend... but wait! Look now Here for current values.
Let me say this another way everyone can understand, if we made simple installment payments to pay our debt off and were to stop ALL government spending and interest until it was paid off... simply froze the clock so to speak.
The below payment plan is hypothetical & would never work in the real world but I show it to demonstrate the numbers we are discussing because they are so huge as to be incomprehensible to most people.
At $1,000,000 (one million dollars) an HOUR every hour of every day put into a big box until paid off...
It would require 19.9 million hourly payments to payoff $19.9 trillion in US debt.
Since we have 365 days a year and 24 hours a day that comes to 8760 payments per year.
At that rate 19900000/8760 = 2271 years until payoff !
So if we started now on Jan 1, 2017 we could pay
it off by the year 4288 likely about the time we are colonizing some other solar
system.. but I guess that would have to be put on hold until we paid off our
A lot of economists predict we will spend another 4 trillion in the next 8 years (25% more debt!)
So in 8 years of party time spending we would add another 465 years to our payment plan!
Sound reasonable to you? Well, not to me nor any of our US debt creditors either.
About all we can do is prepare for the inevitable.
Greedy people who think someone owes them something simply for being alive are a main cause and people who do not think with their heads at all but instead think with their heart are causing this problem and it is getting worse. At this point it is doubtful it can be turned around in time to avoid a global catastrophe.
People.. at least think with your heart and head about the financial disaster you are leaving as a legacy to your children and grandchildren! You are responsible for leaving them with NOTHING but poverty and no way to climb out of it for many generations, perhaps never! SHAME ON YOU!!!
Look at a photo of kids starving in a third world country... that may well be your grandchild some day!