The Economic Collapse

The Federal Reserve is stuck between a rock and a hard place.  If the Fed pushes rates higher, interest payments on our 34 trillion dollar national debt could spin wildly out of control and bank balance sheets will be in even worse condition than they are now.  First Republic just bit the dust, and literally thousands of other small and mid-size banks and in serious jeopardy.  So it would be suicidal to hike rates at this point.  But if the Fed were to reduce rates, that would be like injecting jet fuel into a raging fire.  Our ongoing inflation crisis is absolutely crushing working families, and the rising cost of living has risen to the top of the list of things that U.S. voters are concerned about.  The Fed seems very hesitant to cut rates, because that would make inflation even worse.  So at this point the Fed is essentially caught in a “deer in the headlights” moment because it doesn’t know which way to go. (Read More...)

People keep acting as if we are living in “normal” times, but the truth is that these are not “normal” times at all.  We are in the midst of a “perfect storm”, but most people in the general population don’t seem to realize this.  While the mainstream media is endlessly focused on political drama, our world is being deeply troubled by war, economic problems, food shortages, nightmarish pestilences and terrifying natural disasters.  But as bad as things are at this moment, I am entirely convinced that they are about to get a whole lot worse. (Read More...)

Can you feel it too?  Over the past few weeks, I have heard from so many readers that are deeply troubled about economic conditions where they live.  In some cases, sales are way down.  In other cases, it seems almost impossible to find a decent job.  It is almost as if a tremendous chill descended upon the U.S. economy as the second quarter of 2024 began.  Yes, economic conditions have certainly not been good for a few years, but it appears that an absolutely enormous economic shift of historic proportions is now taking place right in front of our eyes.  Other than the early stages of the pandemic, we haven’t seen anything like this since 2008 and 2009. (Read More...)

What we are witnessing throughout the nation right now is truly sad.  At colleges and universities all over the United States, crazed protesters are setting up encampments, attacking Jewish students, replacing the American flag with the Palestinian flag, and illegally occupying buildings.  Unfortunately, these protests are likely to become even more heated in the days ahead because Israel is preparing to make a really big move.  No matter how negotiations for a temporary ceasefire in Gaza turn out, Israeli Prime Minister Benjamin Netanyahu is promising that the IDF will go into Rafah and eliminate the Hamas forces that are hiding there… (Read More...)

It appears that the people running our system have decided that it is time for a wave of consolidation in the banking industry.  A key program that was keeping U.S. banks afloat was allowed to expire last month, and everyone knew what that would mean.  On Friday, the FDIC quietly announced that Republic Bank had been seized and a sale to Fulton Bank had already been arranged.  Have you noticed that they often try to announce bad news like this on Friday?  By the time news of the failure of Republic Bank broke, many people had already started their weekends.  And the FDIC probably assumes that most people will have forgotten all about this by the time Monday morning rolls around.  But this was a big deal, and it is inevitable that more dominoes will soon start to fall. (Read More...)

According to the absurd numbers that the government feeds us, the unemployment rate is very low and there are lots of jobs available.  But if what they are telling us is true, why are so many Americans not able to find work?  As you will see below, some people haven’t been hired even though they have literally applied for hundreds of jobs.  There seems to be an enormous disconnect between what is actually happening in the real economy and the economic narrative that they are constantly pushing.  By the time you are done reading this article, I think that you will agree with me. (Read More...)

When I was a kid, “Weekend at Bernie’s” was one of my all-time favorite movies.  In that film, two guys worked really hard to convince everyone that their boss was still alive so that they wouldn’t get into trouble.  I remember laughing throughout that entire movie.  Today, the Biden administration is working really hard to convince all of us that the U.S. economy is still alive, and that isn’t funny at all.  A horrific cost of living crisis is absolutely crushing millions of U.S. households, large companies are conducting mass layoffs all over the nation, and the real estate industry is in a gigantic mess.  But Joe Biden and his minions would have us believe that everything is just fine. (Read More...)