This Is Why People All Over America Are Scared To Death Of Being Tested For The Coronavirus…

How would you feel if you received a bill for more than $34,000 after being tested and treated for the coronavirus?  This pandemic is showing the entire world that the U.S. healthcare system is deeply, deeply broken, and there is no way that we can continue to go on like this.  If coronavirus testing is quick, inexpensive and widely available all over the rest of the globe, why can’t that be the case here too?  Democrats and Republicans have been fighting about fixing our healthcare system all the way back to the 1990s and they haven’t gotten the job done.  Now we have a system that is a complete and utter embarrassment, and it is about to be overwhelmed by the greatest public health crisis that any of us have ever seen.

Even under normal circumstances, most Americans are deathly afraid to go to the hospital because of what it will cost.

I have written about this numerous times before, but not even I would have imagined that getting tested and treated for coronavirus would cost more than $34,000

A woman in the United States says she was billed $34,927.43 after being tested and treated for the coronavirus, Time magazine reports.

When Danni Askini first came down with the symptoms of the virus — shortness of breath, a fever, a cough and migraines — she was told by a doctor to go to the emergency room. There, she was told she had pneumonia and could go home. She visited the emergency room two more times as her symptoms persisted and worsened before she was finally tested for the coronavirus. Three days later her results showed she had COVID-19.

How in the world is it possible for a bill to get that high?

As Danni pointed out, she now owes the hospital more than she paid for both of her college degrees.

Sadly, she is going to be far from alone.  According to the Kaiser Family Foundation, coronavirus victims all over America are going to get hit with extremely high medical bills…

A new analysis from the Kaiser Family Foundation estimates that the average cost of COVID-19 treatment for someone with employer insurance—and without complications—would be about $9,763. Someone whose treatment has complications may see bills about double that: $20,292. (The researchers came up with those numbers by examining average costs of hospital admissions for people with pneumonia.)

What this means is that if even a single member of your family catches the virus it could instantly wipe you out financially, and this is especially true if you do not have health insurance.

Congress has passed a bill which will now cover the cost of coronavirus testing, but the bad news is that “it doesn’t do anything to address the cost of treatment”

Public health experts predict that tens of thousands and possibly millions of people across the United States will likely need to be hospitalized for COVID-19 in the foreseeable future. And Congress has yet to address the problem. On March 18, it passed the Families First Coronavirus Response Act, which covers testing costs going forward, but it doesn’t do anything to address the cost of treatment.

For those that catch the virus, and officials are warning that will eventually be most of us, treatment is going to cost far, far more than testing will.

You may think that you will just tough things out at home, but if this virus hits you hard enough you will either go to the hospital or you will die.

For a moment, I would like for you to consider what a medical worker in Louisiana is saying about the patients that he is treating

“With our coronavirus patients, once they’re on ventilators, most need about the highest settings that we can do. About 90% oxygen, and 16 of PEEP, positive end-expiratory pressure, which keeps the lung inflated. This is nearly as high as I’ve ever seen. The level we’re at means we are running out of options.

“In my experience, this severity of ARDS is usually more typical of someone who has a near drowning experience — they have a bunch of dirty water in their lungs — or people who inhale caustic gas. Especially for it to have such an acute onset like that. I’ve never seen a microorganism or an infectious process cause such acute damage to the lungs so rapidly. That was what really shocked me.”

Many coronavirus victims have described being in a state where they constantly feel like they are drowning.

And this medical worker in Louisiana says that there is a really good reason for that, because the severe cases that he is treating are “essentially drowning in their own blood and fluids because their lungs are so full”

“When someone has an infection, I’m used to seeing the normal colors you’d associate with it: greens and yellows. The coronavirus patients with ARDS have been having a lot of secretions that are actually pink because they’re filled with blood cells that are leaking into their airways. They are essentially drowning in their own blood and fluids because their lungs are so full. So we’re constantly having to suction out the secretions every time we go into their rooms.”

For the moment, there are still enough ventilators in the U.S. for everyone, but we are still in the very early chapters of this pandemic.

Over in Europe, many hospitals are already being completely overwhelmed.  In Italy, one doctor is reporting that patients over the age of 60 are now being refused access to artificial respiratory machines

Peleg said that, from what he sees and hears in the hospital, the instructions are not to offer access to artificial respiratory machines to patients over 60 as such machines are limited in number.

When things get bad enough, doctors are going to have to make choices about who lives and who dies here too.

It is hoped that the measures that are being taken all over the nation will start to slow down the spread of this virus.

But millions of Americans continue to go to work each day, and many of them simply can’t afford not to work.

In fact, it is being reported that many delivery drivers continue reporting for work each day even though they are clearly very sick…

An increasing number of the workers sorting those boxes, loading them into trucks and then transporting and delivering them around the country have fallen sick.

They have coughs, sore throats, aches and fevers — symptoms consistent with the coronavirus. Yet they are still reporting for their shifts in crowded shipping facilities and warehouses and truck depots, fearful of what will happen if they don’t.

So the next time a delivery truck comes to your home, you may want to keep your distance.

We have never seen anything like this before.  The entire western world is shutting down simultaneously, and it is being estimated that nearly a billion people are now under lockdown orders

Close to one billion people worldwide were confined to their homes on Saturday as the global coronavirus death toll shot past 11,000 and US states rolled out lockdown measures already imposed across swathes of Europe.

The pandemic has completely upended lives across the planet, restricting movement, shutting schools and forcing millions to work from home.

Needless to say, this is going to be absolutely devastating for the economy.

If you can believe it, Morgan Stanley is now projecting a 30 percent decline in U.S. GDP on an annualized basis during the second quarter…

We now see 1Q GDP dropping by 2.4% as economic activity has come to a near standstill in March, followed by a record-breaking drop of 30.1% in 2Q. We estimate that March will also mark the first drop in nonfarm payrolls, down 700k. We expect a record-high unemployment rate, averaging 12.8% in 2Q.

We assume sharp declines in areas of consumer discretionary spending like travel, dining out, other services and motor vehicle spending among others. This will leave a large hole in consumer spending in 2Q, when we expect real personal consumption expenditures to contract at a 31% annualized pace.

And the president of the St. Louis Fed is being even more pessimistic

In an interview with Bloomberg, the president of the St. Louis Fed, predicted that U.S. unemployment rate may hit 30% in the second quarter because of shutdowns to combat the coronavirus, coupled with an unprecedented 50% drop in US GDP. That would be an outcome worse not only than every prior war the US has (officially) waged, but more than twice as dire as the worst days of the Great Depression.

It sure didn’t take much to plunge the U.S. into a horrifying economic depression.

Two months ago, everything seemed just fine to most people.

But now financial markets are crashing, workers are losing jobs at an unprecedented rate, and many of the businesses that are now being closed down will never open again.

Fear of the coronavirus has collapsed “the everything bubble”, and what we have experienced so far is just the beginning…

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse BlogEnd Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.  During these very challenging times, people will need hope more than ever before, and it is our goal to share the gospel of Jesus Christ with all many people as we possibly can.

This Video Is For Everyone That Used To Mock Preppers

As fear of the coronavirus spreads across America like wildfire, we have witnessed “panic buying” on a scale that is absolutely unprecedented.

On Saturday, Zachary Drew posted a video that shows what the shelves at his local Wal-Mart now look like.  He lives in Illinois, and now that a “shelter-in-place” order has been issued for the entire state people are buying food like there is no tomorrow.  When I first saw this video of all the empty shelves, I was absolutely stunned.

Of course not every Wal-Mart in the country looks like this.  In some areas where the outbreak isn’t too bad yet, life is still relatively normal.

But if this pandemic continues to spread, soon we will start seeing scenes like this everywhere.

Needless to say, nobody should be visiting the stores at this point anyway.  This virus spreads so easily, and thousands upon thousands of people are steadily streaming through every grocery store that is still open.


Will This Be “Just A Recession” Or Will It Be “The Next Great Depression”?

As America slowly but surely shuts down from coast to coast, everyone is acknowledging the fact that we are heading into a very serious economic downturn.  Originally, many experts were warning that this coronavirus pandemic could spark a recession, but now some are actually starting to use the “d” word.  Yesterday, I wrote about the government planning document that envisions an 18 month pandemic, multiple “waves” of infections, and “critical shortages” of important supplies.  If that scenario actually plays out, what we will experience will be far, far worse than the “Great Recession” of 2008 and 2009.  So let us hope that a way can be found to slow down the spread of this virus.

At this point, many of our top minds are fearing the worst.  On Thursday, former White House economist Kevin Hassett warned CNN that we could actually see a repeat of the Great Depression…

The widespread shutdown of the American economy because of the coronavirus could spark a repeat of the Great Depression, former Trump economist Kevin Hassett told CNN on Thursday.

The startling warning from a former White House adviser comes as Wall Street banks say the United States faces an historic collapse in GDP and mounting job losses.

Just a few weeks ago, the mainstream media was full of talk about how bright the future looked for the U.S. economy.

But now Hassett is telling us that we could be about to witness the “worst jobs number you ever saw”

Hassett, who left the White House last year and is now a CNN commentator, predicted that when the April jobs report comes out it will be the “worst jobs number you ever saw,” with perhaps two million jobs lost.

That would easily surpass the worst jobs report of the Great Recession, when payrolls plunged by 800,000 during March 2009.

Could you imagine the panic that would cause on Wall Street if we actually do see a job loss of that magnitude?

Of course Hassett is not the only one using such strong language.  A former economic adviser to Barack Obama says that this pandemic “could do more damage to the economy than the financial crisis did”

Jason Furman was a top economic adviser to President Barack Obama, serving as deputy director of the National Economics Council from 2009 to 2013, and as chair of the Council of Economic Advisers from 2013 to 2017. He played a key role in designing the administration’s response to the financial crisis and Great Recession. He’s now a professor at Harvard’s Kennedy School of Government.

I’ve spoken with Furman often over the years, and to put it bluntly, I’ve never heard him as alarmed as on Thursday. He believes the coronavirus could do more damage to the economy than the financial crisis did, and that policymakers aren’t even close to designing a large enough response.

Sadly, he is likely to be entirely correct.

In fact, if this pandemic stretches on for many more months it will make what happened in 2008 look like a Sunday picnic.

For a long time I have been warning that a recession is coming, but I don’t have to warn about that any longer.  On Thursday, Bank of America boldly declared that the next recession is already here

Bank of America warned investors on Thursday that a coronavirus-induced recession is no longer avoidable — it’s already here.

“We are officially declaring that the economy has fallen into a recession … joining the rest of the world, and it is a deep plunge,” Bank of America U.S. economist Michelle Meyer wrote in a note. “Jobs will be lost, wealth will be destroyed and confidence depressed.”

If you can believe it, Bank of America is actually projecting that the U.S. economy will shrink by 12 percent on an annualized basis in the second quarter, and they are warning that more than 3 million jobs will be lost during this crisis…

Bank of America looked at the labor market as a way to understand the “magnitude of the economic shock.” The firm expects the unemployment rate to nearly double, with roughly 1 million jobs lost each month of the second quarter for a total of 3.5 million.

Actually, if we only lose 3.5 million jobs during the course of this pandemic that should be considered to be a rip-roaring success.

Never before in U.S. history have we witnessed such a widespread economic shutdown.  On Thursday, the governor of Pennsylvania actually ordered almost every business in the entire state to close up shop

Governor Tom Wolf ordered all non-life-sustaining businesses in Pennsylvania to close their physical locations by 8 p.m. Thursday in an effort to slow the spread of COVID-19.

Enforcement actions against businesses that do not close their physical locations will begin at 12:01 a.m. Saturday, the Wolf administration said in a press release.

That means that almost everyone is going to be staying home and virtually all economic activity in the state is going to come to a grinding halt.

There is a good chance that this will slow down the spread of the virus in Pennsylvania temporarily, but unless every other state does the same thing simultaneously, people from other states are just going to keep bringing the virus back in.

In Texas, Governor Greg Abbott just instituted a whole host of restrictions, but most businesses will continue operating normally

Gov. Greg Abbott issued an executive order limiting public gatherings to 10 people, shutting schools, prohibiting visitors to nursing homes and retirement communities and limiting bars and restaurants to take-out through April 3 in an effort to slow the spread of COVID-19. He also recommended that non-essential state employees telework.

In California, about a third of the state is currently locked down, but the COVID-19 has just continued to spread.

In fact, Governor Gavin Newsom just told the press that he expects more than 25 million people to eventually become infected in his state alone

California estimates that more than half of the state — 25.5 million people — will get the new coronavirus over the next eight weeks, according to a letter sent by Gov. Gavin Newsom to U.S. President Donald Trump.

“In the last 24 hours, we had 126 new COVID-19 cases, a 21 percent increase. In some parts of our state, our case rate is doubling every four days,” Newsom wrote in a letter dated Wednesday. Newsom asked Trump to dispatch the USNS Mercy Hospital Ship to the Port of Los Angeles through Sept. 1 to help with the influx of expected cases.

Overall, the number of confirmed cases in the United States has dramatically escalated over the last 48 hours.

As long as the number of confirmed cases continues to explode, the lockdowns will persist and the restrictions on our freedoms will become more severe.

And if this pandemic does end up lasting for 18 months as the government is now projecting, it will paralyze our society to an extent that we have never seen before.

The U.S. economy has fallen off a cliff, and I have a feeling that it has a long, long way to go before it hits bottom.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse BlogEnd Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.  During these very challenging times, people will need hope more than ever before, and it is our goal to share the gospel of Jesus Christ with all many people as we possibly can.

The U.S. Government Is Preparing For An 18 Month Pandemic And “Critical Shortages”

Are you prepared for the nationwide shutdown that is happening now to last for the next 18 months?  You may not believe that such a thing will happen, but the federal government apparently does.  A 100 page government plan marked “For Official Use Only // Not For Public Distribution or Release” was obtained by the New York Times, and it paints a very bleak picture of what is coming.  If the projections in this document are anywhere close to accurate, large numbers of Americans will die, the U.S. economy will completely implode, and we will see widespread civil unrest.  So let us pray that the assessments in this government plan turn out to be dead wrong.

According to the document, this coronavirus pandemic “will last 18 months or longer”

A federal government plan to combat the coronavirus warned policymakers last week that a pandemic “will last 18 months or longer” and could include “multiple waves,” resulting in widespread shortages that would strain consumers and the nation’s health care system.

The 100-page plan, dated Friday, the same day President Trump declared a national emergency, laid out a grim prognosis for the spread of the virus and outlined a response that would activate agencies across the government and potentially employ special presidential powers to mobilize the private sector.

I can’t even imagine what our country would look like if current conditions stretched into the middle of 2021.

As a nation, I don’t believe that we would be able to handle it.

The document also envisions that there will be “critical shortages”

“Shortages of products may occur, impacting health care, emergency services, and other elements of critical infrastructure,” the plan warned. “This includes potentially critical shortages of diagnostics, medical supplies (including PPE and pharmaceuticals), and staffing in some locations.” P.P.E. refers to personal protective equipment.

Of course there are already shortages of some drugs and of many basic consumer products such as toilet paper.

Sadly, things could soon get much worse.

Meanwhile, the overall economy continues to collapse at a staggering pace.  A former economic adviser to President Trump is now warning us that the U.S. economy could lose up to a million jobs this month alone

Kevin Hassett, who served as a top economic adviser to President Trump until last summer, said Monday that the United States economy could shed as many as one million jobs in March alone because of layoffs and hiring freezes related to the coronavirus.

“If you have normal job disruption, and hiring just stops,” Mr. Hassett said, “you’ll have the worst jobs number ever.”

But if this pandemic continues to escalate, a million jobs lost will just be a drop in the bucket.

In fact, the National Restaurant Association is now projecting that their industry will lose “between five and seven million jobs”

The National Restaurant Association is predicting the unprecedented carnage is only just beginning, on Wednesday writing a letter to the White House and Congress detailing an estimated $225 billion in sales will be wiped out over the next three months, crucially prompting the loss of between five and seven million jobs.

Remember, that is just one industry.

The retail industry is also being completely devastated as well, and we just learned that the largest operator of shopping malls in the United States is shutting them all down

Simon Property Group, the largest owner of shopping malls in the nation, is closing all of its malls and retail properties because of the coronavirus outbreak.

The closings start at 7 p.m. local time Wednesday and the malls are expected to end March 29, the Indianapolis-based company said in a news release.

Of course they won’t actually open back up on March 29th if this pandemic continues to get worse.

So far, COVID-19 has killed less than 200 Americans.

If our society is being this disrupted now, what will things be like if the death toll becomes 1,000 times larger?

For years, I have warned that our economy was extremely vulnerable, and now that is becoming exceedingly obvious to everyone.  It certainly didn’t take too much of a push to burst all the bubbles and send everyone into a severe panic, and now the economy is collapsing at a pace that is absolutely breathtaking.

According to NBC News, state unemployment websites all over the nation are crashing because so many people are suddenly applying for unemployment benefits…

Workers who have suddenly found themselves without a paycheck because of the growing coronavirus pandemic in the United States are now dealing with another frustration — state unemployment websites crashing because of high traffic.

From Oregon to New York and Washington, D.C., officials and Twitter users have highlighted the problem after the mass closing of restaurants, retail stores and other businesses as part of the effort to slow the spread of the virus.

Tomorrow morning most Americans will wake up assuming that their jobs are safe.  But right now an increasing number of people are being let go without any advance warning whatsoever.  Here is one example

Eileen Hanley was wrapping up her weekend and getting ready for the week ahead on Sunday evening when an email popped up in her inbox with the subject line “COVID-19 uncertainty.” It was from her boss at the small Manhattan law firm where she worked part time as a receptionist.

“We hope you are feeling well during this time,” the email began. Then it cut to the chase: The firm was losing revenue because of the outbreak, and it would have to eliminate “a number of positions,” including hers, “effective immediately.”

We have never seen anything like this before.

Things were tough during World War II, but it was actually a time when the country geared up and worked extremely hard to defeat the enemy.

But now economic activity all over America is being brought to a screeching halt.  In fact, we just learned that the three largest automakers have shut down all of their U.S. factories

Detroit’s Big Three automakers plan to temporarily close all U.S. factories as the coronavirus sweeps across the country.

The companies bowed to pressure from union leaders and employees who called for protection from the pandemic that’s spread to more than 212,000 people in nearly every country across the globe.

As a nation, we would survive a 30 day shutdown.

But if life doesn’t get back to normal for “18 months”, we are going to witness a societal meltdown of epic proportions.

This week, investor Bill Ackman told CNBC that “hell is coming”, and he warned that unless the entire country is shut down simultaneously for an extended period of time “America will end as we know it”…

“What’s scaring the American people and corporate America now is the gradual rollout,” Ackman told Scott Wapner on “Halftime Report” on Wednesday. “We need to shut it down now. … This is the only answer.”

“America will end as we know it. I’m sorry to say so, unless we take this option,” he said. Ackman added that if Trump saves the country from the coronavirus, he will get reelected in November.

I believe that he makes an excellent point, but I would take it one step further.

If the entire world shut down for 30 days, this pandemic would quickly be brought under control.  If only the U.S. shuts down, it is inevitable that the virus would keep coming back into the country as the pandemic continues raging elsewhere on the globe.

Of course we aren’t going to get the entire globe to agree to shut down simultaneously for 30 days.

So this outbreak will continue to spread and the case numbers will continue to grow.

For a long time I have been warning that something would come along that would burst all the bubbles and trigger a horrifying economic meltdown.

Now it is upon us, but now is not a time for fear.

With God’s help, we will get through this.

But life is not going to go back to the way it was before.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse BlogEnd Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. This article may contain opinions on political matters, but it is not intended to promote the candidacy of any particular political candidate. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.

The Coronavirus Collapse Is Here: Get Ready For The U.S. Unemployment Rate To Hit 20 Percent (Or Higher)

As communities all over America shut down in order to help prevent the spread of the coronavirus, job losses are already starting to rise to extremely alarming levels.  As you will see below, almost one out of every five households in the U.S. has already experienced “a layoff or a reduction in work hours” because of this pandemic.  Unfortunately, many experts are now anticipating that we could see one of the most dramatic spikes in the unemployment rate in American history in the months ahead.  In fact, it is being reported that Treasury Secretary Steven Mnuchin just told members of Congress that this crisis could actually push our unemployment rate up to 20 percent…

Treasury Secretary Steven Mnuchin warned Republican senators Tuesday that the coronavirus pandemic could drive up US unemployment to 20%, a Republican Senate source told CNN.

Mnuchin’s comments came as he urged Republican senators to act on economic stimulus measures totaling $1 trillion designed to avert that kind of worst case scenario.

If this coronavirus pandemic is over by the end of this calendar year, I think that Mnuchin’s projection may be accurate.

But if if this pandemic stretches into 2021 or beyond, the U.S. unemployment rate will likely go quite a bit higher.

If you doubt this, just look at what has already happened

The coronavirus pandemic has already started to hit American pocketbooks, with nearly 1 in 5 households experiencing a layoff or a reduction in work hours, according to a new NPR/PBS NewsHour/Marist poll.

As people stay home, avoid crowds and cancel plans to avoid spreading the disease, it’s rapidly causing a contraction in economic activity that is hurting a wide range of businesses.

To be more precise, the survey found that 18 percent of U.S. households have lost income already because of this pandemic.

But we are still only in the very early chapters of this crisis.  If employment is being hit this hard now, what is going to happen if millions of Americans eventually catch this virus?

And it could happen.  As I have discussed previously, the attending physician of the U.S. Congress believes that up to 150 million Americans will ultimately become infected.

Sadly, lower income Americans have been hit the hardest by this crisis so far

Lower-income workers were the most affected: A quarter of households making less than $50,000 had experienced cut hours or a job loss.

Most lower income Americans are living paycheck to paycheck and are just barely scraping by each month.

So if this pandemic doesn’t end relatively soon, it won’t be very long before millions of them are really, really hurting financially.

Needless to say, we are about to see a colossal spike in the number of Americans seeking unemployment benefits.  In fact, so many New Yorkers have been trying to apply that it actually crashed the website

A drastic move by Gov. Cuomo to close all of the state’s restaurants, bars, movie theaters, gyms and casinos by 8 p.m. Monday to contain the outbreak had suddenly jobless workers flooding the Department of Labor with applications for unemployment benefits.

So many people tried to apply that the website crashed several times throughout the day — while the DOL’s hotline was so jammed up that callers seeking aid could not get through to someone who could handle their claim.

And according to U.S. Senator Rob Portman, the number of people in Ohio filing for benefits jumped 592 percent in just one week

Senator Rob Portman, and Ohio Republican, said on Tuesday that he received new data on Ohio’s unemployment claims showing 45,000 claims this week compared to 6,500 last week, according to journalist Liz Skalka.

That’s a one-week increase of 592 percent.

Please let that number sink in for a moment.

592 percent.

We are going to see things that we have never seen before in the weeks and months to come, and the economic suffering is going to be off the charts.

At this point, even Goldman Sachs and Morgan Stanley are acknowledging that a recession has probably already begun, and one economist is now projecting that U.S. GDP will decline at a 10 percent annualized rate during the second quarter

We are only just beginning to see what the economic fallout from coronavirus will be.

And Wall Street economists are now throwing out some brutal forecasts for what economic data in the quarters ahead might hold.

“We now guesstimate that second quarter GDP will drop at a 10% annualized rate, after a 2% fall in Q1,” said Ian Shepherdson, chief economist at Pantheon Macroeconomics, in a note to clients on Monday night.

In a desperate attempt to prop up the economy, the Trump administration is proposing a stimulus package that will be somewhere in the neighborhood of a trillion dollars.

The following is how CNBC summarized what may be in that package…

  • $500 billion to $550 billion in direct payments or tax cuts
  • $200 billion to $300 billion in small business assistance
  • $50 billion to $100 billion in airline and industry relief

If Congress ultimately approves this package, apparently quite a bit of the money will be used to make direct payments to U.S. households.

According to Treasury Secretary Mnuchin, the American people “need cash now”

Potentially $250 billion of the package could go toward making direct payments to Americans, a White House official told The Wall Street Journal on Tuesday. Mnuchin said earlier Tuesday that the administration wants to get emergency funds in Americans’ pockets “immediately.”

“Americans need cash now,” Mnuchin said during a White House press briefing on the administration’s latest efforts to combat the disease. “I mean now in the next two weeks.”

Of course this would set an extremely dangerous precedent, and the federal government can’t afford this because it is already drowning in debt, and “helicopter money” is likely to cause significant inflation, but very few policy makers in Washington seem to be alarmed by such concerns.

If the federal government is going to do this during the very early chapters of this crisis, they better keep on doing it month after month, because the suffering is going to greatly escalate the longer this pandemic lasts.  If we get to the point where the payments are eventually cut off, it is likely that we will see a really big national temper tantrum.

And instead of sending out $1,000 to each adult, why not send out $10,000?  Better yet, why not make it $100,000?

I don’t know anyone that couldn’t use an extra $100,000 right now.

Needless to say, once we start going down this road it is just a matter of time before our money is completely and utterly worthless.

Our national economic nightmare has begun, and it is going to be absolutely horrifying.  I really like how Peter Schiff recently made this point…

This is the beginning of the end. This is how it starts. And believe me, when you see how this finishes, this is going to be unlike anything we have experienced.  I think we have passed that point of no return. It’s like we’ve already jumped off the top of the building, off the top of the Empire State Building. There’s no way to change our minds now. We’re going to hit that pavement. I can’t see any way we can avoid that. All we can do is brace for impact ourselves.”

For so long, so many of us have been warning that “the everything bubble” would burst and that the consequences would be extremely severe.

It turns out that fear of the coronavirus is the “black swan event” that finally burst that bubble, and now everything that we have been warning about is starting to unfold.

The coronavirus collapse is here, and the days ahead are going to be exceedingly challenging.  We are about to experience the consequences of decades of exceedingly foolish decisions, and those consequences are going to shake our society to the core.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse BlogEnd Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. This article may contain opinions on political matters, but it is not intended to promote the candidacy of any particular political candidate. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.

For The 3rd Time This Month, We Just Witnessed The Largest Single Day Point Crash In Stock Market History

We are literally witnessing history in the making.  For the third time in the last six trading sessions, we have witnessed the largest single day point crash in stock market history.  Let that sink in for a moment.  On March 9th, the Dow set a new record by falling 2,013 points.  Then on March 12th, the Dow set a new record again by falling 2,352 points.  Of course what happened on Monday was the biggest whopper of them all.  The Dow Jones Industrial Average was down 2,997 points, and words like “carnage” and “devastation” don’t seem to be strong enough to convey that horror that took place.  To put all of this into perspective, the largest single day point crash during the last financial crisis was just 777 points.  That means that the crash that we witnessed on Monday was nearly four times as large as the worst single day point crash in 2008.

Of course all of this volatility is being driven by fear of the coronavirus.  Even though less than 100 Americans have died so far, investors are completely freaking out.

So what will happen if thousands or even millions of us start dying?

On a percentage basis, the nightmare that we watched unfold on Monday was the worst day for stocks since “Black Monday” in 1987

Stocks fell sharply Monday — with the Dow suffering its worst day since the “Black Monday” market crash in 1987 and its third-worst day ever — even after the Federal Reserve embarked on a massive monetary stimulus campaign to curb slower economic growth amid the coronavirus outbreak.

The Dow Jones Industrial Average closed 2,997.10 points lower, or 12.9%, at 20,188.52. The 30-stock Dow was briefly down more than 3,000 points in the final minutes of trading. The S&P 500 dropped 12% to 2,386.13 — hitting its lowest level since December 2018 — while the Nasdaq Composite closed 12.3% lower at 6,904.59 in its worst day ever.

Overall, the Dow is now down more than 31 percent from the all-time high set earlier this year.

If you can believe it, all of the tremendous stock market gains that we have witnessed over the last three years have been completely wiped out in just 18 trading days.

Ouch.

Banking stocks were hit particularly hard once again on Monday.  Bank of America and JPMorgan Chase were each down more than 14 percent, Morgan Stanley was down more than 15 percent, and Citigroup was down more than 19 percent.

Remember, those are not figures for the entire year.

Those are figures for one day.

Of course the utter carnage was not just limited to stocks.  The following is how Zero Hedge summarized some of the other losses that we witnessed…

  • STOXX EUROPE 600 ENDS DOWN 4.9%, LOWEST CLOSE SINCE MID-2013
  • SOUTH AFRICA’S FTSE/JSE INDEX FALLS AS MUCH AS 12.2%, MOST EVER
  • MUNI BONDS EXTEND WORST ROUT SINCE 1987
  • COPPER SLUMPS AS MUCH AS 5.2% AMID WEAKENING RISK APPETITE
  • BRENT CRUDE OIL PLUNGES BELOW $30 FOR FIRST TIME SINCE 2016
  • SILVER PLUNGES TO 2011 LOWS
  • U.S. WHOLESALE GASOLINE PRICES PLUNGE 21%
  • HYG WORST DROP SINCE 2008
  • LQD WORST DROP SINCE 2008

The good news is that there is often a hefty rebound after a historic decline of this magnitude.  It appears that stock prices will likely shoot back up a good bit on Tuesday, and that will temporarily soothe a lot of frazzled nerves.

But this coronavirus pandemic is not going away any time soon.  Over the past couple of days, restaurants and bars have been shut down across the nation, schools have been shuttered for the foreseeable future, and it has been announced that the entire city of San Francisco will be locked down.

As virtually all forms of activity come to a standstill all over America, our economic numbers are going to absolutely collapse.

In fact, on Monday we got a sneak preview of what is coming

The New York Fed’s Empire State business conditions index plunged a record 34.4 points to -21.5 in March, the regional Fed bank said Monday. Economists had expected a reading of 4.8, according to a survey by Econoday. This is the lowest level since the financial crisis in 2009.

As we plunge into a truly horrifying economic downturn, businesses all over the country are already crying out for bailouts.

We are now being told that many airlines could be bankrupt by May, and a 50 billion dollar aid package for the industry has already been requested

US airlines slammed by the coronavirus are requesting an aid package from the federal government that could amount to about $50 billion, according to industry group Airlines for America.

The requested aid would be in the form of loans, grants and tax relief. The airlines are looking for up to $25 billion in grants for passenger air carriers and $4 billion in grants to cargo carriers, and the same amounts in loans or loan guarantees, Airlines for America outlined in a briefing document.

Meanwhile, thousands upon thousands of ordinary U.S. citizens are already losing their jobs.  For example, just check out what is currently transpiring in New York

New York’s unemployment website was overwhelmed Monday as the coronavirus pandemic put tens of thousands of people across the state out of work.

A drastic move by Gov. Cuomo to close all of the state’s restaurants, bars, movie theaters, gyms and casinos by 8 p.m. Monday to contain the outbreak had suddenly jobless workers flooding the Department of Labor with applications for unemployment benefits.

This will soon be happening all over the nation.

So how many jobs could ultimately be lost if this pandemic stretches on for quite a while?

According to Moody’s Analytics, millions of jobs are potentially at risk…

Nearly 80 million jobs in the US economy are at high or moderate risk today, according to analysis in the last week from Moody’s Analytics. That’s more than half of the 153 million jobs in the economy overall.

That doesn’t mean that all those jobs will be lost. But it’s probable that as many as 10 million of those workers could see some impact to their paychecks — either layoffs, furloughs, fewer hours or wage cuts, said Mark Zandi, chief economist at Moody’s Analytics.

Needless to say, there is going to be enormous pressure for the federal government to “do something”, and U.S. Senator Mitt Romney has “joined a growing chorus of liberal and conservative economists” in calling for $1,000 to be given to every adult in America

On Monday, Sen. Mitt Romney (R-Utah) joined a growing chorus of liberal and conservative economists are lining up behind a proposal published in the Wall Street Journal by Harvard professor Jason Furman, who chaired the Council of Economic Advisers (CEA) under President Obama, that calls for direct government payments of $1,000 to every American adult.

Why not make it $10,000?

We could all use some extra cash.

Of course once this sort of thing starts happening, it won’t be too long before a loaf of bread costs ten dollars and a gallon of milk costs 20 dollars.

Flooding the system with money at a time when economic activity is contracting very sharply will inevitably cause very painful inflation.

Unfortunately, at a moment like this short-term considerations are all that policy makers are really concerned about, and the American people will be demanding “relief”.

So we should fully expect lots of free money to be thrown around.  In fact, Seattle Mayor Jenny Durkan announced on Monday that her city will provide “$5 million in grocery vouchers to help families impacted by the COVID-19 pandemic”.

But I must once again stress the fact that less than 100 Americans have died during this pandemic so far.

If things are getting this crazy already, what is our society going to look like a few months down the road?

According to the New York Times, nearly 7 million Americans could die in a “worst-case scenario”…

So far, the illness – known as COVID-19 – has sickened more than 4,200 people and killed 74.

But as a graphic from The New York Times shows, things could be much bleaker should overall infection rates and fatality rates rise.

In the worst-case scenario 6.99 million Americans would die from coronavirus – 2.74 million of them being those aged 80 and above.

We are just in the very early chapters of this “perfect storm”, and what we have experienced so far is nothing compared to what is coming.

If we can’t even handle the leading edge of this storm, what are we going to do when it really starts raging?

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse BlogEnd Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. This article may contain opinions on political matters, but it is not intended to promote the candidacy of any particular political candidate. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.

Did The Federal Reserve Just Purposely Try To Crash The Stock Market?

Unless the Federal Reserve is purposely attempting to spread panic on Wall Street, the decisions that the Fed just made don’t make any sense at all.  Back on March 3rd, the Federal Reserve announced an unscheduled emergency interest rate cut for the very first time since 2008.  Wall Street immediately interpreted that as a “panic move” and the Dow Jones Industrial Average ended the session down 785 points.  So Fed officials had to know what was going to happen once they announced an even bigger unscheduled emergency interest rate cut on Sunday.  Predictably, stock futures hit “limit down” very rapidly, and now investors are bracing for a week of tremendous carnage.

But this didn’t have to happen.  Yes, we witnessed three of the worst trading days in U.S. stock market history last week, but on Friday the Dow Jones Industrial Average was up 1,985 points.  It was an absolutely epic rally, and if the Fed had not caused so much panic there may have been a good chance that the rally could have continued into next week.

In other words, U.S. stocks just had one of their best days ever, and there didn’t appear to be a need for any “emergency intervention” by the Fed.

If the Federal Reserve had just waited a couple of days until their normally monthly meeting, and if the Fed had just cut rates a quarter point, that would have likely been greeted by the markets with warm enthusiasm.

But instead, Fed officials decided to load up their bazooka and go for broke on Sunday.  In addition to using up all of their “interest rate ammunition” in one epic volley, the Fed also officially restarted quantitative easing

The Federal Reserve, saying “the coronavirus outbreak has harmed communities and disrupted economic activity in many countries, including the United States,” cut interest rates to essentially zero on Sunday and launched a massive $700 billion quantitative easing program to shelter the economy from the effects of the virus.

The new fed funds rate, used as a benchmark both for short-term lending for financial institutions and as a peg to many consume rates, will now be targeted at 0%-0.25% down from a target range of 1% to 1.25%.

These moves have “panic” written all over them, and investors immediately responded accordingly

Stock market futures hit “limit down” levels of 5% lower, a move made by the CME futures exchange to reduce panic in markets. No prices can trade below that threshold, only at higher prices than that down 5% limit.

Dow Jones Industrial average futures were off by more than 1,000 points, triggering the limit down level. S&P 500 and Nasdaq 100 futures were also at their downside limits.

As I mentioned above, Fed officials saw what happened immediately after their March 3rd emergency rate cut, and so this sort of response by the markets should have been foreseeable.

As Wolf Richter has noted, these latest moves by the Fed were “the opposite of being confidence inspiring”…

The whole Sunday afternoon maneuver, on top of the mega shock-and-awe maneuvers Thursday and Friday reek of sheer and outright panic – and they’re the opposite of being confidence inspiring. That stock futures plunged after the Fed had effectively put its biggest tools to work shows how obvious this panic is.

So then why did the Fed pull the trigger if this was going to be the result?

It would seem that there are two obvious conclusions.  Either Fed officials are completely and utterly incompetent, or they were purposely trying to crash the stock market.

And now that the Federal Reserve is completely out of interest rate ammunition to fight any future economic downturn, the only weapon they have left is “helicopter money”.

As economic activity comes to a grinding standstill due to fear of the coronavirus, it appears to be inevitable that we will see tremendous inflation as the Fed floods the system with money.

In other words, there is going to be a whole lot more money chasing a lot fewer goods and services in the months to come.

Meanwhile, we are already starting to see a run on U.S. banks.  On Thursday, so many people were taking money out of a Bank of America branch in midtown Manhattan that it actually ran out of cash

As the stock market was having its worst day in 30 years on Thursday, customers at a Bank of America branch in Midtown Manhattan, the financial heart of New York, were lining up to take cash out of their accounts — sometimes tens of thousands of dollars at a time.

So many people sought huge sums that the bank branch, at 52nd Street and Park Avenue, temporarily ran out of $100 bills to fulfill large withdrawals, according to three people familiar with the branch’s operations. The shortage hit after a rash of requests for as much as $50,000, said two people who witnessed the rush.

And according to Zero Hedge, wealthy individuals in the Hamptons are doing the same thing…

As the ultra rich Snake Plisken out of the soon-to-be quarantined Manhattan – where at least one bank has are already run out of $100 bills – to fortify themselves against the viral zombie peasant hordes in their impregnable castles in the Hamptons, one thing they’re looking to hoard is cash, which has caused some substantial pressure on financial institutions in the area, according to Bloomberg. At least one New Yorker had his $30,000 cash withdrawal request denied at a Chase bank after being told the limit was $10,000. Meanwhile, bank employees said they were waiting on a “shipment of cash” to fulfill other requests that have been made exceeding the $10,000 amount.

Other branches in the area were unable to help in fulfilling the request, with the East Hampton branch reportedly telling the Southampton branch that it had “two massive withdrawal orders” of its own that it was trying to deal with.

Hopefully we won’t see similar scenes all over the country in the weeks ahead.

But without a doubt, panic continues to spread all over the globe.  The following examples come from CNN

A woman at an Australian supermarket allegedly pulls a knife on a man in a confrontation over toilet paper. A Singaporean student of Chinese ethnicity is beaten up on the streets of London and left with a fractured face. Protesters on the Indian Ocean island of Reunion welcome cruise passengers by hurling abuse and rocks at them.

The coronavirus risks bringing out the worst in humanity.

Yes, this virus is definitely bringing out the worst in humanity.

Here in the United States, two “panic shoppers” became so enraged with one another that they began hitting each other with broken wine bottles

A brawl erupted in a Georgia Sam’s Club packed with shoppers during which two feuding men slashed each other with broken wine bottles.

A second incident in a Costco in Brooklyn saw an employee pleading with two women to calm down after a screaming match began when carts collided in the mobbed store.

This is why it was so important to get prepared in advance.

For years I have been mocked for telling my readers to “get prepared”, but now those that did are going to be very thankful for the things that they have stored up.

If you are not prepared, you can go brave the giant crowds storming the stores if you wish, but at this point the big stores are going to be one of the very best places in the entire country to catch the virus.

I don’t know about you, but I am not eager to experience the “blinding pain” that survivors of COVID-19 have told us about.  So I would highly recommend avoiding big stores and other major public gathering places as much as possible.

We need to accept that life has changed for the foreseeable future.  According to Newt Gingrich, it is time for us to adopt a wartime mindset…

We should be planning for a worst-case pandemic and using the kind of intensity of implementation which served us so well in World War II. Getting enough ventilators, masks, intensive care units, treatment medications and aggressive community-wide testing are the minimum steps to saving lives and stopping the pandemic.

The Pence-led Coronavirus Task Force has begun to pull things together, but it should have a planning group that creates a worst-case projection and then devises the steps necessary to smother the pandemic and minimize its impact.

And this is also a time for prayer.  In fact, President Trump designated Sunday as a “National Day of Prayer”

President Donald Trump on Saturday declared Sunday, March 15, a “National Day of Prayer for All Americans Affected by the Coronavirus Pandemic and for our National Response Efforts.”

“I urge Americans of all faiths and religious traditions and backgrounds to offer prayers for all those affected, including people who have suffered harm or lost loved ones,” Trump said in his statement announcing the day of prayer.

Let us all hope that this pandemic passes as quickly as possible.

But the CDC just issued new guidelines that recommend that gatherings of 50 people or more not be held for the next eight weeks.

Of course most decision makers in this country will follow those guidelines, and so that means that our lives will not be getting back to normal for at least the next two months.

And it could be a whole lot longer than that.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse BlogEnd Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. This article may contain opinions on political matters, but it is not intended to promote the candidacy of any particular political candidate. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.

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