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Retail Apocalypse Gains Momentum As David Stockman Warns ‘Everything Will Grind To A Halt’ After March 15th

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Retail Apocalypse 2017 - Public DomainJ.C. Penney and Family Christian Stores are the latest retail giants to announce widespread store closings. As you will see below, J.C. Penney plans to close between 130 and 140 stores, and Family Christian is closing all of their 240 stores. In recent months the stock market has been absolutely soaring, and so most people have simply assumed that the “real economy” must be doing well. But that is not the case at all. In fact, the retail apocalypse that I have been documenting for quite some time appears to be gaining momentum.

J.C. Penney is not in as rough shape as Sears is just yet, but it is definitely on a similar trajectory. In the end, they are both headed for bankruptcy. That is why it wasn’t too much of a surprise when J.C. Penney announced that they are getting rid of about 6,000 workers and closing at least 130 stores

J.C. Penney (JCP) plans to close 130 to 140 stores and offer buyouts to 6,000 workers as the department-store industry sags in competition with online sellers and nimble niche retailers.

The company said Friday that it would shutter 13% to 14% of its locations and introduce new goods and services aimed at the shifting preferences of its customer base.

Meanwhile, many observers were quite surprised when Family Christian Stores decided to fold up shop for good. They were known as the largest Christian retailer on the entire planet, but now after 85 years they are going out of business forever

Family Christian, which bills itself as the “world’s largest retailer of Christian-themed merchandise,” announced Thursday it is closing after 85 years.

The non-profit company, employing more than 3,000 people in 240 stores in 36 states, said in a brief statement that the retailer had been facing declining sales since filing for bankruptcy protection in 2015 and had no choice but to shut down.

These two announcements are part of larger trend that we have been witnessing all over the country. As I have documented previously, Macy’s announced that it would be closing 100 stores earlier this year, and about the same time Sears said that it would be closing another 150 stores.

Back in 2010, Sears had a staggering 3,555 stores.

Before their recent announcement, Sears was down to 1,503 stores, and now this latest round of cuts will leave them with somewhere around 1,350.

Of course it won’t be too long before Sears has zero stores, and my regular readers know that I have been talking about the demise of Sears for a very long time.

The cold, hard truth of the matter is that the “real economy” is a total mess, and that is one of the primary reasons why these ridiculous stock market valuations that we are seeing right now are not sustainable.

One expert that agrees with my assessment is former Reagan Administration White House Budget Director David Stockman. In a recent interview, he explained why he believes that “everything will grind to a halt” after March 15th…

Stockman, who wrote a book titled “Trumped” predicting a Trump victory in 2016, says, “I don’t think there is a snowball’s chance in the hot place that’s going to happen. This is delusional. This is the greatest suckers’ rally of all time. It is based on pure hopium and not any analysis at all as what it will take to push through a big tax cut. Donald Trump is in a trap. Today the debt is $20 trillion. It’s 106% of GDP. . . .Trump is inheriting a built-in deficit of $10 trillion over the next decade under current policies that are built in. Yet, he wants more defense spending, not less. He wants drastic sweeping tax cuts for corporations and individuals. He wants to spend more money on border security and law enforcement. He’s going to do more for the veterans. He wants this big trillion dollar infrastructure program. You put all that together and it’s madness. It doesn’t even begin to add up, and it won’t happen when you are struggling with the $10 trillion of debt that’s coming down the pike and the $20 trillion that’s already on the books.”

Then, Stockman drops this bomb and says:

“I think what people are missing is this date, March 15th 2017. That’s the day that this debt ceiling holiday that Obama and Boehner put together right before the last election in October of 2015. That holiday expires. The debt ceiling will freeze in at $20 trillion. It will then be law. It will be a hard stop. The Treasury will have roughly $200 billion in cash. We are burning cash at a $75 billion a month rate. By summer, they will be out of cash. Then we will be in the mother of all debt ceiling crises. Everything will grind to a halt. I think we will have a government shutdown. There will not be Obama Care repeal and replace. There will be no tax cut. There will be no infrastructure stimulus. There will be just one giant fiscal bloodbath over a debt ceiling that has to be increased and no one wants to vote for.”

In that same interview, Stockman also predicted that “markets will easily correct by 20% and probably a lot more“, and he noted the glaring disconnect between current stock prices and how the U.S. economy is actually performing

“The S&P 500 has been trading at 26 times earnings while earnings have been dropping for the past six or seven quarters. There is no booming recovery coming. There is going to be a recession and there will be no stimulus baton to bail it out. That is the new fact that neither Trump nor the Wall Street gamblers remotely understand.”

It is very difficult to argue with Stockman on this.

There are some people out there that seem to think that Donald Trump can miraculously turn the U.S. economy around just because he is Donald Trump.

It doesn’t work that way.

We are 20 trillion dollars in debt, and we are currently adding about a trillion dollars a year to that total. There is no possible way that Trump can cut taxes, increase military spending, build a border wall, spend much more on veterans and spend an extra trillion dollars on rebuilding our crumbling infrastructure.

We are flat broke as a nation and there simply is not money available to do everything that Donald Trump wants to do.

So we shall see what happens after March 15th.  Unfortunately, I happen to agree with Stockman that economic reality is about to come knocking and Trump and his supporters are about to get a very rude wake up call.

 
  • Jorma

    No networks, any websites, Paul Ryan et al have even mentioned this March 15 hard date. And this is stunning. Even with Trump in office nothing is getting accomplished or supported from Congress. Trump is clearly by himself and when this tragedy really tanks all the Senators and Congressman will be running for the hills in fear of 100 million pissed off citizens who paid into social security their entire lives, and yet Congress gets health care suited for the top one percent on our dime. And I believe their children inherit this health care too. Congress over the past 3 decades just became criminals and robbed us blind. They are the real criminals. And each one should be held to account.

    Excellent article by Michael and interview by Greg Hunter.

    • JC Teecher

      I heard one Christian preacher/forecaster, say that he thought Trump was handed the potus position, by God, to help us christians, make it through the coming judgments. Yes judgments upon a heathen nation which has been in the very House of the People for decades.

      Heathen, is a nation that kills and sells baby parts.
      Heathen is a nation that supports and condones lying and violence as a means to shut up conservatives and christians.
      Heathen is a nation that held a sting operation at the largest sporting event of this year (superbowl), and arrested 700 buyers of sex and 20 traffickers. Many of those prostituted were underage boys and girls.

      Speaking of underage children being sold as sex slaves…as with Pizzagate; it was reported by an anonymous source to Edward Glinka, that wrote in his new book, “the Planned Collapse of Americanism”; that then potus odrama, ordered a child for a white house party, at the cost of $65,000.00. ????

      Heathen is a Nation that supports and elects these liberal excrements of evil, into positions of power, and a media that upholds it.

      • SnodtBlossom

        “Family Christian is closing all of their 240 stores”
        It’s a sign from Satan! (kidding)

        • sister soldier

          Funny

        • GSOB

          Ephesians 6:10-18

          Last of all I want to remind you that your strength must come from the Lord’s mighty power within you.

          Put on all of God’s armor so that you will be able to stand safe against all strategies and tricks of Satan.

          For we are not fighting against people made of flesh and blood, but against persons without bodies – the evil rulers of the unseen world, those mighty satanic beings and great evil princes of darkness who rule this world; and against huge numbers of wicked spirits in the spirit world.

          So use every piece of God’s armor to resist the enemy whenever he attacks, and when it is all over, you will still be standing up.

          But to do this, you will need the strong belt of truth and the breastplate of God’s approval.

          Wear shoes that are able to speed you on as you preach the Good News of peace with God.

          In every battle you will need faith as your shield to stop the fiery arrows aimed at you by Satan.

          And you will need the helmet of salvation and the sword of the Spirit – which is the Word of God.

          Pray all the time.
          Ask God for anything in line with the Holy Spirit’s wishes.
          Plead with him, reminding him of your needs, and keep praying earnestly for all Christians everywhere.

          • SnodtBlossom

            THERE IS NO GOD

          • Mark

            There is no SnodtBlossom!!!!

      • GSOB

        What is needed by Christians has already been provided:

        John 14:26;16:8-11;20:21-22

        Romans 8:13

        Philippians 4:13

        2 Timothy 3:16-17

        1 John 2:26-27

      • Gay Veteran

        once again not a word about our numerous war crimes

    • Bruce

      They WILL be held accountable!

  • aldownunder

    Flat broke
    Morally bankrupt
    The future looks bleak,we have stolen the future of all generations to come

  • Bill

    Yes Mother, we are doomed, if not by the economy by the red Pacific for sure….

    • Joe Trevors

      Red Pacific? Are you referring to the red tide in the ocean along the Pacific coast? I used to see that during the late 1950s through early 1960s when I fished often from the Ventura (between Santa Barbara & Los Angeles) pier before I graduated from high school. The fishing was poor when the red tide came to the west coast. I do not fish anymore but I can tell you we are having the coldest weather I ever experienced the past two weeks on the California coast.

      • Bill

        The whole Pacific may be infested with the red tide because of Japan’s radiation disaster. Great article at the rumor mill news.

        • jaxon64

          Although I believe that Fukushima is an ecological disaster of a magnitude that is being vastly downplayed, the pacific “Red Tide” is a color of unique algae bloom. The red algae on the surface of the water causes sea grasses on the ocean floor to die from lack of photosynthesis.
          The dead sea grasses create oxygen deprivation in the water and ocean creatures literally suffocate.
          Conversely, radiation from Fukushima would cause the death of algae bloom.
          Although the toxicity of Fukushima is horrible and seriously affecting marine life, it does not have much to do with red tides-if at all.

          • Bill

            If you read the article you will find that radioactive sulfur which is now pouring from the disaster has a great deal to do with red tide and is the greatest factor in it’s exponential spread.

          • socalbeachdude

            Nope.

        • socalbeachdude

          Red tide is an ALGAE caused issue.

          • Spatial Memory

            Red Tide is the historic performance of your market predictions. ROFL

        • Bill

          Hope someone will find the article interesting enough to leave a comment. If I leave a link Michael will be on to a new article before he clears it.

      • sister soldier

        Hello Joe!

  • JC Teecher

    Yes, I agree Michael. The indicators are aligning once again for a severe drop in the markets, which then causes a lack of optimism, and a further drop in retail sales.

    When Sears sold out to Kmart in 2005, I made a prediction that my ex-wife’s Sears franchise store would hit the skids. Especially as her and little hubby were not customer friendly and have always looked down their privileged noses at the less fortunate, or those that didn’t appear to be well off. That is the same attitude that cost them their previous business.

    That type attitude was prevalent in a lot of the Sears, and Kmart stores.
    In this day and age, bulk retailers are no longer the only game in town, and customer service and appreciation is the key.

    The old saying, “what goes around comes around” has hit Sears stores like a boulder. About 100 years ago, Sears catalog and retail stores came on the scene in every town that had a good size population, and caused the closures of thousands of small Mom & Pop businesses.

    Anyways, if the supposed Federal Reserve rate hike takes place about the same time, as predicted, it could spell disaster for billions invested in the hyperbole, over-inflated, stock market.

    Trump and the Congress could pull off a holy mackerel, and borrow another trillion and prop the whole mess up for a while longer.

    We have taken a hard long look at the real possibilities and probabilities of this whole economic and financial system going down the shaft; sometime this year, and have put some new business plans on hold for now. Better be safe than sorry.

  • tacoma

    Retail Apocalypse actually began when U.S. economy became 75% consumer based, retail based, some 25 years ago. This transformation is done by letting foreign countries do most of the productions at a lower cost, or same cost but higher quality or capability. An example of the latter is Japanese cameras, which are not low cost but which America can no longer make at any cost because it just don’t have the technology knowhow.

    The question is where do Americans get the money to buy so much things made by other people? The answer, as we all know, is to borrow. The U.S. has the world most fantastic expertise to create debt.

    Note a difference between government and private debt. Government debt must be repaid but, unlike most of the world the U.S. simply issue more debt to repay old debt. This the $20 trillion which just keeps compounding. But private debt must be repaid by real credit, real assets, real properties and real work. Today, U.S. private debt totals $14 trillion.

    One’s debt is somebody else credit so sooner or later the credit holders call the shot. The credit holders have indeed called the shot – no new debt, repay debt. Without new debt to finance trillions of spending that’s far beyond America’s domestic ability to create wealth, the consumer economy is downsizing.

    How much downsizing will restore sustainability? From 75% to 50%. But what will replace the 25%? Nothing. So the whole economy must shrink by 25%. This bring U.S. GDP from the current $18 trillion to about $14 trillion. This means a loss of 40 million jobs.

    Trump wants to redo NAFTA and if not cancel it. America exiting NAFTA and resulting loss of trade will wipe out another 40 million jobs, 30 million of which is due to U.S.-Canada trade.

    Look at it this way, its better what the USSR experienced when it collapsed.

    • JC Teecher

      Redoing NAFTA does not mean it will end trade partnerships or jobs; it only means there will be a transitional period whereby jobs are restored to American manufacturing.

      it won’t happen overnight, or at all, if there is a recession, or God forbid, a depression.

      • tacoma

        Nobody can say exactly what ‘redo’ means because that depends on what’s to be changed. But you can count on this: only the most modest ‘redo’ is feasible because both Mexico and Canada will not accept any major changes. So either we have mild changes or Trump asks Congress to exit NAFTA. If Congress approved existing trade will proceed but Trump will impose stiff tariff. This will result in severe loss of trade volume and price increase. Does this mean manufacturing returns to U.S. Nobody knows. It’s a huge gamble for Trump.

        Without NAFTA U.S. member Canada/Mexico will continue with the agreement but both will scramble to establish lost trade with the EU, which by the way both have free trade agreements while U.S. does not. Both will likely proceed to join the China led free trade zone, which the U.S. will not join. Net result: U.S. isolated while Canada/Mexico stands good chance to make up via EU and Asia.

        • JC Teecher

          I see your point, tacoma, however; we don’t know whether Mexico and Canada will “not” accept changes. That is highly speculative, and Trump knows the art of the deal. He is the master negotiator.

          • tacoma

            Let’s watch things unfold.
            But I am convinced both Canada and Mexico cannot accept any major changes. Major changes are those that cannot be done with simple regulatory adjustments, and require new wordings in the formal agreement.
            There are two reasons for this. First, the politics of both countries simply will not permit major changes because both populace overwhelmingly reject Trump ideology. Second, NAFTA is a trade treaty in both countries, but not so in the U.S. (NAFTA never received Senate ratification as all treaties must.) Therefore any changes to NAFTA wording must receive the full parliamentary treatment which is lengthy and complicated. It is the same treatment as a new trade treaty. As such, if Trump demands major changes (which he must in order to move jobs back home), both Canada and Mexico will walk. Negotiation ends before it begin. (Trump maybe master negotiator for business. But countries are not business.) They will wait for Trump to exit with a half year notice. They will need to seek a new electoral mandate to negotiate a new trade agreement with the Trump regime. They won’t get it. So I predict Trump will exit NAFTA as he had with TPP. Else he face full humiliation of failure. But this is the hole he dig for himself.

          • JC Teecher

            Possibly, and time will tell.
            From a biblical standpoint, there is one of the major players in the Beast system, a Nation that is rooted out of the ten, along with two more, and I do believe that one is the US of A, and it is the one that becomes a “deadly wound” to the beast system…as in a complete withdrawal from the United Nations.

            It may be that US of A, Israel, and England/Britain may be seen as a cooperative “head” that renounces participation in the UN’s NWO.

            Anyways, “IF” it does turn out that America is the deadly wound, or part of it, that throws the proverbial monkey wrench into the UN/NWO plan for the one world/beast system, then none of the treaties, like NAFTA, or any Trade agreement would be followed or bound to. Just sayin’, it is a possibility.

            Many, actually most preachers and teachers, mis-interpret, and do not correctly divide the wording of the book of Revelation, and see the two beasts spoken of as two demonic entities, just as they see one beast as Antichrist and as a flesh man alive today.

            Never gonna be a flesh man, because the one beast is none other than Satan, in his supernatural spirit form, looking like an image of Christ …returned.
            The other beast isn’t a man, flesh or spirit at all, as it is about the NWO/Beast System, being set up by the workings of demonic spirits and demonically controlled men and women…aka Liberals.

            The only way to have power over them, is to have a majority, or near majority, of true Christians making a stand and praying for guidance to overcome the Beasts.

            There will still be pain and suffering to break down the wicked hearts of those that can be broken, during these final last days.
            It will happen, and judgments/chastisements/ corrections will take place as prophesied.
            My belief is that it happens, first, in the form of financial collapse and people lose all their material Idols of worship.

    • socalbeachdude

      All debt MUST BE REPAID and that is the problem with debt. More than $6 trillion of US Treasuries are REPAID IN FULL EACH AND EVERY YEAR which is why more than $7 trillion of NEW US TREASURIES ARE ISSUED each year with about $1 trillion of that going to fund NET NEW GOVERNMENT DEFICIT SPENDING.

      The only alternative to repaying is write-downs and defaults of debt but that is not an option with the debt owed by the US government.

  • Jenna

    been here stuff like this since 2011 and nothing ever happens, Just more fear mongering

    • Tatiana Covington

      Ho hum, life goes on.

    • aldownunder

      At least be prepared to a degree.
      nothing worse than being caught off guard

    • tacoma

      In 2011 did you or anybody else predict Trump or someone like him become POTUS? Why did this happened? Would it happen if everything is hunky dory?

      • K2

        Did you predict trump or someone will become potus? She didnt predict that trump would win. So? How does it make what she said wrong. Just because not everything is hunky dory doesnt mean economy will ‘collapse’ tomorrow…ending in an ‘explosion’ movie style.

        What will happen is a ‘slow’ slowdown that will happen spread out over a decade, and not just in the US but in the entire world.

        • JC Teecher

          Which Crystal ball did you see that vision in?

          • K2

            That is exactly what is happening.

        • Bruce

          The economy will decline slowly but at some point will collapse. Even the learned man doesn’t k ow when that will be.

  • Tatiana Covington

    March 15? Just ignore the ceiling!

  • Tatiana Covington

    Old-style stores are becoming obsolete. 3dp will only hasten the trend. I myself had employers in the 1960s and 1970s, who went out of business in the 1980s… because by then they were out of date.

    And they vanished.

    • SnodtBlossom

      You had employers in the 60s? You are a Fossil!!
      and your picture is out of date!

      • David

        you really are a snot aren’t you!

        • SnodtBlossom

          ty 🙂

  • David

    so our debt ceiling will peak out & the Fed will raise rates at the same time.
    sounds like a powder-keg ready to explode.

    • socalbeachdude

      The Federal Reserve only sets 3 interest rates and none of them matter the slightest bit of a hoot in the US economy where all rates that do matter are keyed off yields (interest rates) set in the US Treasuries markets.

      • awb22

        Right, but we still pay interest on the money they print. We should repudiation the monetized debt, and end the fed. Everyone knows this. The start dealing with $200T in unfunded entitlements

        • socalbeachdude

          Eliminating the Federal Reserve would not only not solve anything but would cost the US Treasury at least $100 billion a year in lost revenues. The Federal Reserve does not cost the US Treasury anything at all, but rather is the single largest contributor to government revenues as it rebates more than 94% of its annual profits each year to the US Treasury and its taxpayers.

          The US government is spending around $1.4 trillion more per year than it is taking in via tax revenues and needs to DRAMATICALLY CUT ITS SPENDING rather than increasing any spending. The other alternative would be for the US government to dramatically increase federal taxes by around $1.4 trillion a year. Obviously.

          • awb22

            we’ve had this discussion before, you’re leaving out the $250B or so in interest we’re paying on our own money. Please don’t tell me your that stupid, or it’s not our money.

          • socalbeachdude

            US dollars are not owned by the federal government and the US government is using OTHER PEOPLE’S MONEY (OPM) when it borrows through the issuance of US Treasuries. That money comes from a vast array of sources including around $5 trillion loaned from foreign government and entities. Your total lack of comprehension of the US Treasuries markets is mind boggling and I would suggest you learn about them at:

            http://www.TreasuryDirect.gov

  • William Lutz

    That’s correct! Trump will NOT be able to restore economic prosperity without avoiding fiscal spending. Simply put, we are to the point where we can’t have financial progress as long as we continue squandering our money. I can’t stress this enough.

  • ali

    Agreed Michael you have been warning about it for a very very very long time.

  • steve

    The FED can print as much money as it wants, there will be no problem after March 15th, or after……don’t worry

    • awb22

      I can’t tell if you’re being sarcastic. Of course, they can just print money, as long as it remains the world’s reserve currency. After that, it’s the Weimar Republic, baby!

      • K2

        Weimar republic will happen only if there is extreme printing in a short period of time. That wont happen in the US. The fed doesnt need to print that much.

        • awb22

          The dollar has lost 99% of it’s value since 1913, while not Weimaresque, we’re also on the hockey stick tail end of it.

          IF the dollar loses it’s narco/petro/dollar status as the world’s reserve currency, the fed won’t be able to print, period.

          Realistically, at the end of the day, repudiation and repeal ala Iceland is the way forward.

          Besides, you need to define “that much”

          • JC Teecher

            Well you do know that the only way they can bring about a new One world Currency, and/or the cashless society; is to kill the dollar.

          • awb22

            JC, you must fall into the group who will be dead before that happens, so it’s not your problem. And you can read, what a waste. I’ve stated what I think is the remedy for the banksters, and it’s not submitting to a NWO, including a global currency or cashless society. While that would be great for the banksters who could continue to print and steal, it would sentence the world population to perpetual slavery. But, I see it’s not your problem. Don’t worry, your SS check will be in the mail, until it isn’t, or the golden horde comes knocking on your door for food because the banksters have stolen everything else. Good luck with all of that, and no, the status quo isn’t good enough. That which is unsustainable cannot be sustained. Good luck with that.

          • JC Teecher

            You are right about one thing, and that is that the collapse is not my problem.

            Nor will it ever be. We have been stocking up on all preps for the past ten years. We have three mtn. springs within easy walking distance, and solar/batteries/pumps/water line, to even pump from the nearest source, for bath and toilet water. We have easy access/ back yard, for firewood and three wood stoves and a wood fired kitchen cook stove.
            We got out of the markets many years ago and got out of debt. Priority over all that is we have our hearts right with the Lord, and the Lord provides even more that we can imagine.

            What do you have?

            PS, I don’t depend on a SS check, nor a bank, for anything, as we have jar savings and PMs.

          • awb22

            Glad to hear it. I see you’re a regular commenter on here. I’ve been prepping nearly as long. Live in a metro area 30 mins from our BOL, which God help us if it’s in the summer with all the bugs. We could make do, but I honestly think a reset will be short lived, or we’ll wake up one morning, or not, and it will all be over, either we won or we didn’t.

            God is first on my prep list. Thanks for asking.

          • socalbeachdude

            Huh?

          • K2

            99% of value lost in 100 years is no way ‘weimaresque’. In Weimar the currecny lost that much value in less than a decade.

            ”IF the dollar loses it’s narco/petro/dollar status as the world’s reserve currency, the fed won’t be able to print, period.”

            True, but i doubt the dollar is any danger yet.

          • awb22

            The question is, do deficits matter? We’re about to find out.

            There’s no limit to how much the Fed can print, as long as the rest of the world continues to accept dollars for goods and services. How many US lives is that worth? It depends on who you ask. The global elitist will answer, all. I can tell you the answer is none.

            Inflation is but one result of endless printing, QE to infinity. How long do you think that can continue, and you doubt there is any danger. Really? The US Revolutionary War was fought over onerous taxation by King George to repay the banksters. WWI war reparations against Germany paved the way for WWII, bringing about the change from the pound to the dollar as king. What will it take to replace the dollar? War? Pestilence? Famine?

            How many lives is it worth?

            No danger? I hope you’re right.

          • socalbeachdude

            Absolutely false. There is very much a limit on how much money the Federal Reserve can and does print, and 100% of the QE funds from the 3 versions of QE done by the Federal Reserve amounting to around $3.6 trillion HAVE ALWAYS REMAINED INSIDE THE FEDERAL RESERVE IN THE RESERVES ACCOUNTS THERE OF THE BANKS FROM WHOM THE FEDERAL RESERVE PURCHASED EXISTING SECURITIES.

          • K2

            We dont know how long it can continue, but that doesnt mean ‘weimar republic’ will be the only result of it. Weimar republic happened because of many different factors, not because of ‘printing’ too many marks. Excessive printing was a consequence of it, not the cause.

          • socalbeachdude

            Correct, and there is no such ting as the “petrodollar” as oil accounts for less than 7% of the annual global use of the US dollar which is used in around 83% of all global transactions for all sorts of goods and services around the world

          • socalbeachdude

            Nearly everyone from 100 years ago is now dead and they were paid a tiny miniscule fraction of what people are paid today.

            As to the value of the US dollar over the past 100 years…

            No, the dollar did NOT really lose 95% of its value since 1913

            Let us take at the period from 1913-2006, where we have complete data. So what do they mean, when they say the dollar lost 95.1% of its value in those 93 years? Essentially, an average good/service that cost $1 in 2006, used to be priced at 4.9 cents in 1913. In other words, the average price level of goods/services increased by 1930% since 1913. True, but guess what, average earned income increased by 6560% during the same time period. Average earned income rose from $740/yr in 1913 to $49,300/yr in 2006. Adjusting for inflation, $740/yr in 1913 is $15,000/yr in 2006 dollars. Average incomes, not only kept pace, but beat price inflation by 230%.

            So does it make any sense all to say the dollar lost value? In reality, the REAL purchasing power of the average American, has increased by 230% in the past century. Sure, prices were cheap in 1913, but $740/yr doesn’t buy you a whole lot, not anymore than 15,000/yr today.

            http://realfactbias.blogspot.com/2012/02/no-dollar-did-not-really-lose-95-of-its.html

          • socalbeachdude

            The exchange value of the US dollar has appreciated upwards by more than 20% since 2014 which makes traveling abroad much less expensive in most countries and it has soared over the past year against the UK pound in particular.

            There is no such thing as the “petrodollar” and oil only accounts for LESS THAN 7% OF GLOBAL TRADE in which the US dollar is used and total transactions in US dollars accounts for more than 83% of all global trade.

            Oil can be and is purchased by countries in currencies other than US dollars and the most common currency other than the US dollar that oil is traded in is the EuroZone Euro.

      • socalbeachdude

        No, they most certainly CANNOT AND DO NOT do that at all.

    • socalbeachdude

      Absolutely false, and the Federal Reserve does no such thing at all and what they do print is not loaned to the federal government at all in excess amounts. The Federal Reserve only owns about 14% of the outstanding $20 trillion in US Treasuries with total US Treasury holdings of about $2.5 trillion and is now REDUCING THAT LEVEL ON ITS BALANCE SHEET. There is no “blank check” whatsoever from the Federal Reserve for US government spending and whatever the federal government incurs in debt MUST BE BORROWING THROUGH THE ISSUANCE OF US TREASURIES which is what is directly affected by the federal debt ceiling limit.

  • steve

    and the debt never has to be repaid, it’s just rolled over. Everyone knows that.

    • awb22

      Yes, rolled over with interest. Goldgwater stated that the federal payroll and interest on the debt would freeze the federal budget by now. He probably never imagined zirp. They’ll kick the can, but at the end of the day, the debt must be repudiated, or we hand over our sovereignty to the banksters. It happened in Mexico and anywhere the IMF has lent money. Just ask Greece.

      • socalbeachdude

        The only 3 interest rates set by the Federal Reserve have NOTHING WHATSOEVER to do with the yields (interest rates) paid by the US government on US Treasuries except that the Federal Reserve typically matches their 3 rates to the yield (interest rate) on 3 month US Treasuries. All interest rates that matter in the US economy are set in the $13 trillion a year US Treasuries (government debt) markets.

    • socalbeachdude

      Which means that more than $6 trillion of the US government debt is REPAID IN FULL EACH YEAR to holders of US Treasuries (government debt) at their maturities. That same amount of money of around $6 trillion plus another $1 trillion or more each year has to be borrowed in the markets for US Treasuries which is why the federal government debt has increased to around $20 trillion and is highly vulnerable to rising yields (interest rates) in the US Treasuries markets as so much of it is for very short term borrowing.

      • awb22

        You’re using terms synonymous that really aren’t. Are we rolling over $6T/year, plus the interest? Probably. Just the way the banksters want it. They create it out of thin air, and we pay interest on it. Hmm. I’ve got an idea, let’s not, or we’re in for a very tumultuous time ahead.

        There’s a good article over at TBP comparing Trump to Andrew Jackson. News flash for you, STD, you’re in the minority, and yours is not a popular position.

        • socalbeachdude

          No. I am using terms very PRECISELY and you are not at all. No federal government debt is ever “rolled over” in the literal sense at all, but rather NEW US TREASURIES ARE ISSUED TO REPLACE US TREASURIES THAT ARE PAID IN FULL EACH YEAR.

          Whether the same entities buy them is immaterial as there is NO OBLIGATION FOR ANY HOLDER OF A MATURED US TREASURY to buy a replacement US Treasury and so there is no “roll over” at all in the literal sense. That is why more than $6 trillion of NEW US TREASURIES have to be issued each year just to replace matured – and paid in full – US Treasuries.

          US Treasuries are sold on a DISCOUNTED BASIS and the holder gets the full face amount on maturity on most of the 4 classes of US Treasuries which are bills, bonds, notes, and TIPS.

          I would suggest you learn about the US Treasuries markets at :

          http://www.TreasuryDirect.gov

  • HeyAHuman

    ….but I thought Trump rolled a Triple 7… isn’t that like hitting the jackpot? 777?

  • Lexxs

    Rump is part of the problem.

  • Stephen Taylor

    I think they will just increase the debt ceiling as they have many times before, and postpone the financial catastrophe until who knows when. But I keep PM as insurance.

  • socalbeachdude

    Federal government spending is VERY HUGE PROBLEM and the biggest issue with US government spending is that around 63% is being spent each year on SOCIAL WELFARE AND MEDICAL EXPENSES and that amount will continue to rise dramatically.

    There is very little in the way of federal spending that is “corruption” or “waste” and that is a totally bogus argument. Military spending including Veterans benefits amounts to only about 20% of total annual federal government spending.

    Only 20% of the US government annual spending is for total military spending with 16% for actual military spending and 4% for Veterans Benefits.

    The biggest part of the spending is SOCIAL PROGRAMS including the Social Security and Medicare insurance programs which are NOT ACTUARILY SOUND and which are paying out vastly more than they have taken in with payroll taxes.

    A summary of the fiscal 2015 US federal government expenditures totaling nearly $4 trillion is as follows:

    WELFARE & MEDICAL (63%)
    33% Social Security, Unemployment, Labor
    27% Medicare & Health
    ..3% Housing & Community

    MILITARY (20%)
    16% Military
    ..4% Veterans Benefits

    INTEREST ON DEBT (6%)
    ..6% Interest on Debt

    FOOD & TRANSPORTATION (6%)
    ..3% Food & Agriculture
    ..3% Transportation

    EDUCATION & SCIENCE (3%)
    ..2% Education
    ..1% Science

    ENERGY, ENVIRONMENT, & INTERNATIONAL (2%)
    ..1% International Affair
    ..1% Energy & Environment

    OTHER EXPENSES (1%)
    ..1% Government Expenses (general)

    The complete breakdown of Fiscal 2015 expenditures is extensively detailed including actual numbers as well as pie-charts with various percentage breakdowns as to discretionary and non-discretionary expenditures at:

    https://www.nationalpriorities.org/budget-basics/federal-budget-101/spending/

    • awb22

      Federal spending is part of the problem. You’re leaving out the other part of the problem, the Fed.

      • socalbeachdude

        Absolutely false and utterly clueless. The Federal Reserve is not even slight part of the problem and is the single largest revenue source for the US government as it rebates 94% of its annual profits to the US Treasury and its taxpayers each year.

        That now amounts to nearly $100 billion of revenue each year for the US government making its $2.5 trillion of holdings in US Treasuries TOTALLY INTEREST FREE. The Federal Reserve does not cost the US Treasury or its taxpayers a single penny to operate.

    • Rick

      You do know your reference here is a socialist/communist think tank right? Created by Greg Speeter-Community Organizer. That’s code for Communist. And endorsed in books by Barbara Ehrenreich, from the Democratic Socialists of America… You have been exposed for the Socialist you are!

      • socalbeachdude

        False. The National Priorities web site is not a “socialist/communist think tank” at all. What they stated and what I stated above are the 100% true, accurate, and correct facts regarding the spending in the fiscal 2015 federal budget.

        • Rick

          Nullius in verba!

        • Spatial Memory

          I’ve never seen you make a 100% true comment. Markets prove your predictions 100% inaccurate near daily.

          • socalbeachdude

            Thank you for once again describing YOURSELF just perfectly.

    • none

      So if we cut off all S’S payments, Medicare. And welfare? We can keep the illegals coming into this country?

      • socalbeachdude

        Huh? Who said anything about cutting off all such payments? They simply need to be cut by around 50% and the issue of illegal aliens is an entirely separate matter which is already being addressed.

  • socalbeachdude

    As Trump hustles to nail down a tax overhaul, he faces the biggest federal debt surge since Truman

    http://www.cnbc.com/2017/02/09/trump-faces-biggest-federal-debt-surge-since-truman.html

  • socalbeachdude

    The only way that the federal government gets money is via:

    1) tax revenues of all kinds
    2) borrowing by issuing US Treasuries

    The amount of funds that Congress authorizes to spend above and beyond revenue receipts of all kinds MUST BE BORROWED VIA ISSUANCE OF US TREASURIES (government debt).

    When the federal government reaches its Congress approved FEDERAL DEBT CEILING then it has no capacity to borrow externally and must use “extraordinary measures” (internally borrowing from pension and other funds) in order to even continue issuing checks. That debt limit will again go back into force in MARCH 2017 after having been suspended by Congress since October 2015.

    Not a single penny of the money spent by Congress is created by anyone and the fact it moves electronically has nothing whatsoever to do with the source of funds which must either be tax revenues (including tariffs, fines, income and payroll taxes, etc.) or must be borrowing through the issuance of US Treasuries which creates an obligation by the federal government to repay the holders of US Treasuries based on their specified maturities.

    That is why the federal government debt is now nearly $20 trillion and rising at a rate of around $1.4 trillion a year based on the shortage of $1.4 trillion in Fiscal 2016 ended September 30, 2016.

    That process of government spending comes from the US TREASURY BANK ACCOUNTS and has NOTHING WHATSOEVER to do with the Federal Reserve creating a single penny of money for Congress to spend.

    • David

      Obama was an expert at kicking the fiscal can down the road; for 8 years Obama’s policies kept America’s fiscal house on life support. time to pay the piper!

      • awb22

        And it only took $1T/year to do it, not counting ZIRP and direct payments to banksters.

        • socalbeachdude

          There were no “direct payments to bankers” and what the banking industry got during the reign of Obama terror was HUNDREDS OF BILLIONS OF DOLLARS IN FINES. Bank cannot and do not borrow from the Federal Reserve to lend to anyone and there was no “ZIRP” that benefited borrowing from anyone from the Federal Reserve.

          • Spatial Memory

            Obviously you have zero clue about reverse repo agreements and their applications within central banks and ‘bulge bracket’ rofl

          • socalbeachdude

            Obviously it is YOU WHO HAS NO CLUE as those things have nothing whatsoever to do with the federal government deficits and debt which is now over $20 trillion and soaring at around $75 billion each and every month.

          • Spatial Memory

            If you had any knowledge beyond headline spin then you’d know that including off balance sheet and reinsured’ items the aggregate is 50x or 5000% higher than you suggest. $20 trillion aggregate threshold was decades ago. Put your head back in the sand. ROFL

          • socalbeachdude

            You’ve just proven yourself QED to be TOTALLY NUTS and beyond utterly clueless and incapable of understanding any factual numbers at all.

      • none

        There are no atheists in a foxhole. ( old military saying ).
        I think that Michael, and you missed the point of the article.
        If Family Christian stores are going out of business. There is no problems with the economy

    • Rick

      That’s not totally correct. They raise a large amount of revenue through fines due their over-regulation of almost every industry except government itself.

      • socalbeachdude

        Those would be considered TAXES in the big picture summation above.

        • Spatial Memory

          Guess again
          Rofl

  • socalbeachdude

    The biggest holder of US Treasuries is not the Federal Reserve, but rather the US government itself which owns nearly $6 trillion of outstanding US Treasuries through its various agencies with the largest of those being the Social Security and Medicare trust Funds.

    The Federal Reserve only holds about $2.5 trillion of US Treasuries which is less than 14% of the outstanding total of nearly $20 trillion. And the Federal Reserve only annually purchases about 8% of the around $7 trillion of newly issued US Treasuries. Most of those US Treasuries are issued to replace maturing US Treasuries with net new issuance of around $1.4 trillion a year in Fiscal 2016.

    Moreover, those $2.5 trillion of US Treasuries owned by the Federal Reserve are essentially INTEREST FREE to the US government as the Federal Reserve rebates more than 94% of its profits each year to the US Treasury and its taxpayers.

    • Spatial Memory

      Another naive myopic view of an underlying asset class while excluding the $500+ trillion in derivative instruments which are directly correlated.

      • socalbeachdude

        What an utterly clueless and off the wall assertion. What I stated is 100% correct and derivatives have nothing whatsoever to do with federal government spend or federal spending. By the way, he actual amount of money in derivatives is about 1% of their nominal face value as they are little more than gambling bets with premiums paid somewhat similar to insurance premiums.

        • Spatial Memory

          You’ve proven beyond any doubt whatsoever that you do not even have a clue what a derivative is. Roflmao

          • socalbeachdude

            Please do explain just why you “think” derivatives have any relevance at all to the federal debt and deficit situation and just what you “think” derivatives are including the distinction between regular and synthetic derivatives.

          • Spatial Memory

            Too funny for words. 🙂

          • socalbeachdude

            Yes, that is a good description of your utterly clueless nonsense!

          • Spatial Memory

            By the way, he actual amount of money in derivatives is about 1% of their nominal face value as they are little more than gambling bets = still rotflmao from that utterly clueless beyond nonsense. ROTFLMAO

          • socalbeachdude

            So, you KNOW NOTHING AT ALL about derivatives just as I expected. Sad.

          • Spatial Memory

            Put down that mirror. Wannabes like you crack me up – even though your repertoire is extraordinarily weak your comedy act offsets that with incredibly amusing attempts to muddle through via constructive deception. Nonetheless thanks again for the laughs!!!

          • socalbeachdude

            Thank you once again for describing YOURSELF so very perfectly!

          • Spatial Memory

            That’s a cut and paste of your comment= still rotflmao

          • socalbeachdude

            Huh?

          • Spatial Memory

            Knowing less that nothing = notional value not nominal value. ROTFLMAO!!!

  • Spatial Memory

    Retail = Zero Sum / Constant Sum

    In decision theory, situation where one or more participants’ gain (loss) equals the loss (gain) of other participants. Thus, a gain (loss) for one must result in a loss (gain) for one or more others. Also called constant sum game. See also negative sum game and positive sum game

    • awb22

      See also, broken window fallacy.

      • socalbeachdude

        The broken window fallacy was first expressed by the great French economist, Frederic Bastiat. Bastiat used the parable of a broken window to point out why destruction doesn’t benefit the economy. In Bastiat’s tale, a man’s son breaks a pane of glass, meaning the man will have to pay to replace it.

        And just what does that have to do with anything?

    • socalbeachdude

      What utter nonsense that has nothing whatsoever to do do with federal government spending.

  • O110519

    Everything will be okay if people will stick together and try to be good Samaritans.

    Stop listening to the fear and hate. It’ll make you spiritually sick. That is how to get through whatever may be in the future, whether it be good or bad. Love your neighbor.

    • JC Teecher

      Yes Love your neighbor…”unless”, he/she is a God hater that wants to kill you and your family, because of your faith or skin color.

      • O110519

        The trick is to teach the god hating killers how to love, as impossible as that seems, or may be at times.

        A little love goes a long way sometimes.

        • JC Teecher

          Well, as I have been trying to do that for the past ten years or so, it is evident that almost all the time, the truth of God’s love and saving grace is met with rebellion and condemnation. As with a guest on this site from yesterday, I just did the only thing that really has a chance of working on her, and that is a prayer for her to receive enough conviction, that she changes her heart and then desires salvation and truth.

          In other words we are supposed to lay it all in God’s hands. We can try, and teach, “if” one is “accepting” of God’s Plan, but ultimately it is not our responsibility to keep pushing, as some preachers and Christians do.
          The pushing, upon those not ready, is seen as badgering, and can cause a person to never accept and believe.

          • O110519

            Agreed. Badgering just turns people away.

            And I know hoe frustrating people can be,

            Forget religion. Focus on love and compassion.

          • JC Teecher

            Yes, forget religion.
            Religion divides.
            Christianity, true Christianity, by the divine doctrines of Jesus Christ, has love and compassion in focus, always, as it joins together one Kingdom.

          • O110519

            When you put all that other stuff aside and
            simply try to interpret the message, it all comes down to truth love and the value of life.

            Forget the preacher. What did Jesus say?

            If you ever find yourself in a pit of mental/spiritual hell, focus on everything you love, whether it be your friends and family, your high school crush, or the pet hamster you had as a kid.

          • socalbeachdude

            And just how does that help with paying the bills that are due?

    • socalbeachdude

      And just how does such an ostrich with head in the sand view help with dealing with financial realities and the $20+ trillion federal government debt?

  • White Knight

    They’ll just vote to raise the debt ceiling. Unless, of course, their masters have given the signal to ‘pull it.’

    • JC Teecher

      The “pullin” of the proverbial plug to economics and financial stability, is the key.
      They (TPTB) have a plan and, in my opinion, God is allowing it to happen, as a form of Judgments upon a heathen nation.

      Young people, need to get their heads out of the sand, their devices, and mommy’s basement, and get their hearts right “before” the flood waves come crashing down. Self gratification, all the time, is not what it is all about. When the walls come crashing down and reality hits like a mad Killer shark on a spree of blood thirsty flesh tearing attacks (just watched film The Shallows), then it will cause many to just end life as they can’t find any hope.

  • Cinderella Man

    Isn’t this what we need? Burn it down to build it back up

    • socalbeachdude

      No. Obviously not.

  • ALWAYSTOMORROW

    The Economic Collapse Blog has Issued a “Everything Grinds To A Hault After March 15th” WARN¡NG. 🙂

    • Mr.Cipher

      You have a knack for pointing out the incredibly obvious.

      • JC Teecher

        It’s easier for him/her that way, cause the smoke coming out it’s ears when it strains to think, causes the eyes to water and blurr too much.

  • David

    experts have been wrong before.

  • JC Teecher

    Harry Dent has predicted the last two major financial disasters, and here is what he says about the one that is to come, you know, the one Michael has been warning us about for many years now.

    “The Dow is set to embark on a catastrophic plunge…all the way down to 6,000.”

    “Nations are dealing with aging populations, bubbles based on debt, and the misguided but unrelenting belief of policy makers that if they only try one more monetary policy change, they can turn the economic tide.”

    We are approaching what he terms “The Greater Depression”, and the coming months look bleak: “The recession is NOT over yet. $100 trillion of the $225 trillion in loans, bonds and stocks across the world…will simply disappear.”

    Timing is everything. I had rather be ahead of the curve.

    • Zlatko Milanovic

      Yep.

      • GSOB

        2 Timothy 2:15-16

        Do your best to present yourself to God as one approved, a worker who does not need to be ashamed and who correctly handles the word of truth.

        Avoid godless chatter, because those who indulge in it will become more and more ungodly.

        • socalbeachdude

          And how will that help the massive financial problems in the USA?

        • Zlatko Milanovic

          Good advice…

    • socalbeachdude

      The GRAND GLOBAL DEPRESSION started in August 2007 and has been intensifying ever since.

  • LIZ THE SHIZ

    Amazon = strong women warriors [Goddess] Jeff Bezos [ antichrist ?] WHO KNOWS

    • awb22

      Nah, prolly not, not powerful enough. Satan needs someone with real power, like Hillary. At State, she was #4 on POTUS succession and getting her hands on the football. We dodged a bullet when Trump won.

      • socalbeachdude

        Hellery has NO POWER AT ALL and is facing a series of indictments for her vast crime spree.

  • Stuey

    The republicans will raise the debt ceiling so not sure why Michael or David Stockman think all this stuff won’t get done. Tax cuts will help the economy and eventually increase tax revenues as well.

    • Zlatko Milanovic

      That’s a myth. Tax cuts will result in larger deficits and debts. Always has. It’s why we’re in the position we’re in now.

      • Stuey

        It isn’t a myth, it is a fact. Reagan cut taxes in 1981 and here is a quote “An accounting indicated nominal tax receipts increased from $599 billion in 1981 to $1.032 trillion in 1990” from https://en.wikipedia.org/wiki/Reaganomics

        The problem was spending increased at a faster rate than the tax revenue increased.

        • socalbeachdude

          What increased more than anything else was FEDERAL GOVERNMENT DEFICITS AND DEBT which resulted in a $2.8 trillion federal debt at the en of 1988 versus a $1 trillion federal debt in 1981.

          • Stuey

            Yeah, duh. I just said that above. And who controlled congress and the spending during that time?

          • socalbeachdude

            Nice we agree that the federal government needs to dramatically cut spending as we move forward!

          • Stuey

            Well hell yeah……..duh huh……you finally figured it out. First half sensible thing come out of your mouth all day, you been dumber than normal today, you on drugs?

      • Stuey

        https://en.wikipedia.org/wiki/Reaganomics —-An accounting indicated nominal tax receipts increased from $599 billion in 1981 to $1.032 trillion in 1990, an increase of 72% in current dollars

        • socalbeachdude

          I’d suggest you look at the OUT OF CONTROL FEDERAL GOVERNMENT DEBT EXPLODING UPWARDS DURING THOSE YEARS during which time it increased from $1 trillion to over $2.8 trillion and set the path to our current catastrophe to full speed ahead.

          • Stuey

            Yeah, DUH, i had just said that in my other response. And who controlled congress and spending during that time.

          • socalbeachdude

            What difference does “who controlled Congress” make? The Republicans are just as big of spenders as the Democrats and there is no difference at all in the big picture when comparing those 2 parties.

          • Stuey

            I agree with you on the republicans being big spenders, it just on what they want to spend the money on that is different. But my point which obviously went clean over your feeble mind is that the news media ALWAYS talk about how the debt went up under Reagan as if it was ALL Reagan’s fault because he cut taxes.

          • socalbeachdude

            The Republicans pushed – more than the Democrats – for massive spending increases by the federal government right along with tax cuts and that combination is why the US government debt nearly TRIPLED DURING THE REAGAN YEARS and was very much the fault of Reagan and the Republicans who got elected in 1980 largely because they promised to cut federal spending and federal debt – and then proved themselves to be nothing but blatant liars to the American people.

          • Stuey

            Yeah yeah it was ALL the republicans fault, the democrats are not responsible for any problems this country may have now even though they have controlled Congress many more years over the last 80 years than republicans. You sir are an IDDDD EEEEEE OOTTTT

          • socalbeachdude

            I really don’t know where you come up with the bogus notion that there is a hoot of a bit of difference between the two parties when it comes to spending and debt matters.

          • Stuey

            Did i say that? Nope……just you on drugs again.

          • socalbeachdude

            Nope, but that sure does describe YOU!

          • Stuey

            Oh nice comeback…….one thing the drugs help you with is real intelligent smart remark comebacks. Keep it up son, good job.

          • socalbeachdude

            I don’t do drugs of any kind, dude.

          • Stuey

            Well hell i was just trying to make an excuse for your comments………..dang dude sorry if you really think this stuff that comes out of your fingers.

          • socalbeachdude

            Huh?

          • Stuey

            Yeah……….right…………hit dog barks the loudest……..and you sure are barking.

          • Stuey

            You are so full of HATE.

          • socalbeachdude

            Not in the least, but that sure does describe you and your rants perfectly!

          • Stuey

            Yeah blah blah blah it is all republicans fault……blah blah blah….it is all republicans fault……blah blah blah……it is all republicans fault……blah blah blah…….it is all republicans fault…….blah blah blah…..it is all republicans fault…..over and over you go like a mind numb robot

          • socalbeachdude

            The Republicans are every bit to blame as the Democrats for the current debt disaster we are facing in the US.

          • Stuey

            You just said in another post that the entire national debt we face today is all ReAgan’s fault. Of course you couldn’t spell his name right so what can i expect. Anyway, get your story straight.

          • socalbeachdude

            Absolutely false. Lear to read.

          • Stuey

            what is “lear”??? did you mean “learn” or you using the old scottish spelling of it…… you having problems spelling again drug head.

          • socalbeachdude

            I’d suggest you learn to comprehend. Wireless keyboards tend to occasionally skip characters which is easily fixed.

          • Stuey

            I suggest you get some better equipment or LEARN to spell.

      • socalbeachdude

        True.

    • socalbeachdude

      Tax cuts DECREASE FEDERAL GOVERNMENT REVENUE and that is precisely why government debt went totally out of control in the 1980s when Ronald Reagan was President – and David Stockman was the father of stupid “supply side economics” and “trickle down” and the federal debt soared from $1 trillion to more than $2.8 trillion as taxes (mostly for the “rich” and corporations) were cut.

      • Stuey

        I already proved you wrong in my other post that you responded in, there you said it was out of control spending which caused the problem which i had already said in my previous comment that you was responding to, so you was responding to what i had said saying the same thing.

        • socalbeachdude

          Laughably false. Where do you think all of the artificial economic activity came from during those Reagan years BUT FROM THE MASSIVE DEBT INCREASES caused by government and corporate spending?

          • Stuey

            “Artificial economic activity” What have you been smoking today? The legitimate economic activity came from cutting taxes and putting money back into the pockets of citizens who then spent it and spurred the economy. The govt. debt spending certainly helped as well no doubt. You sir are being a real IDDDD EEEEE OOOTTTT today.

          • socalbeachdude

            Absolutely and laughably FALSE. That ARTIFICIAL ECONOMIC ACTIVITY all came from the massive increase in debt throughout all sectors of the US economy which has resulted i more than $64 trillion of debt now facing the US in 2017 with $20 trillion of that being federal government debt which is now increasing at more than $1 trillion per year. The hideously disastrous Regan years with its massive spending increases and tax cuts is what set that whole DEBT catastrophe in process.

          • Stuey

            You can’t even spell his name right, yep you on drugs today.

          • socalbeachdude

            I fixed that typo and spelled it correctly as Ronnie Raygun which is what we used to call that jackass here in California!!!

          • Stuey

            Just shows your stupidity………you can’t even spell correctly dudehead.

          • socalbeachdude

            You simply cannot comprehend that we have ONE POLITICAL PARTY IN THE USA with two flavors both of which want to spend like drunken sailors on a binge.

          • Stuey

            I understand that completely, you don’t see me defending those SOB republicans. They are all corrupt career politicians. But to the contrary you are the one who is the the broken record saying it is all the republicans fault and every debt problem we face today is all Reagan’s fault. That is the newest stupidest comment you ever made, seems like we get new one every few hours now.

          • socalbeachdude

            Huh? I never ever stated that it is exclusively the fault of the Republicans but they were the ones in the lead during those awful and horrid Ronnie Raygun years and Raygun himself was a TOTAL LIAR when it came to him honoring any of his campaign promises.

          • Stuey

            Yeah you did, scroll up and reread and quit doing those drugs before you come on here and start posting. Son you can’t even remember what you are typing. God help us you homophobe.

          • socalbeachdude

            Absolutely false.

          • Stuey

            Absolutely correct you drug head homophobe.

          • socalbeachdude

            Why the stupid name calling? I’d suggest you learn reading comprehension and cut the partisan politics nonsense.

          • Stuey

            Stupid name calling direct towards stupid people.

          • socalbeachdude

            just stating the facts.

            We are already working on GETTING RID OF THE UN.

            It was largely pushed into existence by the lesbo wife of FDR who was the worst President in the history of the United States.

            EXCLUSIVE: How prim and proper First Lady Eleanor Roosevelt fell in love with a 200-pound WOMAN reporter who drank like a fish, played a mean game of poker, smoked cigars and swore a blue streak

            Eleanor Roosevelt had a years-long affair with Lorena ‘Hick’ Hickok, who was assigned to cover the First Lady for the Associated Press when Franklin Delano Roosevelt took office in 1933. When Eleanor discovered love letters from socialite Lucy Mercer to her husband, and suggested divorce, but FDR suggested they ‘live amicably, if not passionately, side by side’.

            Soon after, Hick and Eleanor became close while on a trip together to tour the Val-Kill Industries. Hick revealed she was a lesbian, and Eleanor shared that she wasn’t happy in her marriage. The two women exchanged more than 3,300 letters from 1932 to ust before Eleanor’s death in 1962.

            But in the 1940s, Hick came to the painful realization that she could never have Eleanor all to herself, and their love affair faded into the background. By November 1947, at age 64 and two years after FDR’s death, Eleanor was smitten over 46-year-old physician David Gurewitsch.

            http://www.dailymail.co.uk/news/article-3809738/How-prim-proper-Lady-Eleanor-Roosevelt-fell-love-200-pound-WOMAN-reporter-drank-like-fish-played-mean-game-poker-smoked-cigars-swore-blue-streak.html

            FDR was Eleanore Roosevelt’s scoundrel husband who pandered to the poor to get elected as the Democrat President of the United States in 1932 with endless campaign replays of the bouncy popular song “Happy Days Are Here Again” and who went on to create the most HEINOUS HAVOC AND DESTRUCTION in the history of the United States and whose full name was Franklin Delano Roosevelt. The day he was elected in November 1932 is a day that shall forever live in infamy.

            Franklin D. Roosevelt – Wikipedia

            http://en.wikipedia.org/wiki/Franklin_D._Roosevelt

            HELLERY CRAZIER THAN A LOON…

            Hellary herself telling us she’s having long conversations with dead people……..Eleanor Roosevelt and Mahatma Gandhi to be specific…

            http://www.cnn.com/US/9606/22/hillary.book/

          • Stuey

            YOU are a homophobe!!! What a disgrace in modern times and you are from CA on top of that. Open up your mind you hater.

          • socalbeachdude

            Please take your queer sexual nonsense elsewhere as this is not the proper forum for you to be espousing such perversions.

          • Stuey

            You the one who slandered Mrs. Roosevelt calling her a “lesbo”, you should be ashamed.

          • Stuey

            Absolutely correct!

          • Stuey

            Yeah, all the debt the USA has was ALL REAGAN’s fault. Notice i spelled his name correctly. The whole downfall of the USA was ALL ReAgans fault. I am Mr. socalbeachdude and i repeat what i have been told to say like a brain dead robot……duh huh what can i say i was taught in the CA school system.

          • socalbeachdude

            The huge downfall of the US financially started with FDR (Franklin Delano Roosevelt) whose wife was a large lesbo.

            Ronnie Raygun was a Democrat long before he was briefly a Republican and he was a disaster as governor here in California and a CATASTROPHE AS PRESIDENT OF THE USA and ever since those hideous years the debt has climbed from $2.8 trillion to nearly 10 times that amount at the federal government level and is now nearing $20 trillion while total debt in the US is now over $64 trillion.

          • Stuey

            What you got get homosexuals? Are you a homophobe?

          • socalbeachdude

            Huh?

          • Stuey

            You called the first lady Mrs. Roosevelt a “lesbo”. Do you now deny that? You homophobe.

          • socalbeachdude

            Eleanor was a LESBO as is clearly confirmed by the Daily Mail article below.

          • Stuey

            “LESBO” is a derogatory term used by homosexual haters and homophobes. You should be ashamed of yourself you hater.

  • David

    Wall Street is so dependent on the Federal Reserve keeping the Printing presses in overdrive to keep them afloat the Stock Market would crash if The Federal Reserve shut down the printing presses down momentarily for Maintenance. (Sarc)

    • awb22

      Shh, don’t tell SocialBeachBum, he’ll wet his panties.

      • socalbeachdude

        Hardly, I’ll just laugh and correct the bogus and totally nonsensical assertions!

    • socalbeachdude

      Absolutely false. The Federal Reserve does no such thing at all. The US money supply is now at $13.5 trillion in M2 to support an $18 trillion a year economy and has only increased a tiny amount compared to the egregious money printing and credit creation in China – which is an economy half the size of the US – and where the PBOC has increased the money supply from less than $3 trillion to more than $34 trillion over the past 10 years.

  • Mystic Dave

    Michael,
    Suggested reading … Penny Kellys book Robes. Visions of the future that seem to be happening now along with suggestions on how to navigate through the changes.

  • goldminer

    For once I don’t agree with Snyders doom and gloom. I have been a bear on the stock market while BO was running things and have prospered with my bearish attitude.

    . But I have changed my thinking. I am looking at the dow to 22000- 23000 by the end of the year. You may not like Trump. But if he does what he says he will do. Lower Taxes, Cut regulations cut high corperate taxes ECT. That will be good for everyone.
    Under a friendly trump tax policy the 2 to 3 trillion held and hidden off shore by big business can be repatriated under friendly tax rates. This would cause the stock market to soar. As companies brought all this money back home and invested it.
    Trumps tax cuts to the middle class will cause a upstart in consumer spending. Increasing jobs.
    His infrastructure rebuilding will create tens of thousands of good paying jobs. That money will go right into the economy.
    I have said this before and am saying it again. In many ways Trump is like Ronald Reagan..
    · Both were outsiders
    · Both were TV personalities; the only difference being that Trump is both a television personality and a businessman
    · Both were highly ridiculed by the press and were mostly written off from having any chance at a win
    · They both made promises to make America great.

    Regan’s massive tax cuts contributed to exponential growth. He cut taxes from 70% to 28% for the top income tax rate, and reduced corporate taxes from 48% to 34%. This is what probably helped drive the SPX 400% higher over the past 30 years, and these policies continue to drive the market higher. Trump is seeking to lower corporate taxes from 35% to 15% and has aspirations to reduce taxes for the Average American middle class worker/ small business person.
    Under Regan the stock market soared, unemployment levels dropped, and GDP growth rates rose significantly, Small business prospered. If Trump takes a similar path, then the outlook for the stock market and our economy going forward could be quite favourable.

    • socalbeachdude

      The Most “Horrifying” Chart in the World

      Larry Fink is terrified.

      Fink runs BlackRock, the world’s largest asset manager. The company manages a whopping $5.1 trillion. That’s more than Goldman Sachs, Bank of America, or Wells Fargo. It’s more than the annual economic output of Japan, the world’s third-largest economy.

      This makes Fink one of the most powerful people on the planet.

      Obviously, you don’t climb to the top in Wall Street by being easily rattled. But right now, Fink’s nervous.

      He’s worried about “a lot of dark shadows that could impact the direction of the marketplace.”

      Today, consumer confidence is even higher than it was in 2007. And we all know how that ended.

      The S&P 500 plunged 57% over the next two years. The Russell 2000, which tracks 2,000 small U.S. stocks, dropped 60%.

      Sir John Templeton, one of the greatest stock pickers ever, famously said:

      Bull markets are born on pessimism, grown on skepticism, mature on optimism, and die on euphoria. The time of maximum pessimism is the best time to buy, and the time of maximum optimism is the best time to sell.

      http://www.caseyresearch.com/articles/the-most-horrifying-chart-in-the-world

      • goldminer

        LOL I got out of Black Rock a long time ago.

        • socalbeachdude

          Black Rock rarely deals with little retail clients and is a $5.3 trillion investment firm making it the largest such firm in the United States and the world.

  • Robert Peters

    David Stockman the guy that wants you to buy gold and silver from Lear Capitol. Is it true that you only get certificates not the actual metals? That is probably the best scheme ever. I want the actual metal in my hand (or safe).
    These stores sadly are a trend toward buying on the the internet and not just going through tough times.
    I think that 8 years of Obama has put them in a vulnerable spot and that
    Trump would have been better for them. But it is inevitable that these big stores just can’t compete as they did 50 years ago.

  • Libertylover143

    I seems David Stockman is criticizing Trump for inheriting Obamas 10 Trillion dollars that was added by Obama in a quick 8 years. Hey David, how about sticking a paddle in the water and help us row the boat. Do you have any suggestions that can help our great country?

  • DJohn1

    The problem is every action has an equal and opposite reaction.
    For far too long, we have had people in charge that have ignored basic economic law. More and more I have seen this.
    When Obamacare was placed into law with lies and deception for all, it was the very last straw in a long battle to keep solvent.
    The result of this law was a huge chunk of spendable income going to insurance instead of back into the economy.
    Now the republican congress is talking about revision instead of rejection of this law.
    That was not what was promised.
    The question becomes how much is too much.
    I say cancel the law all together. Don’t replace it with anything.
    We are currently dealing with a lot of people with no spendable income whatsoever because of this law. Which means you either get rid of it and free up that income or you replace it with something probably worse.
    If this bunch of professional politicians with law degrees cannot come up with a solution then we need to take them all and fire them.
    I speak not of political parties but of the actions of the current professional group of politicians.
    I have a lot of revolutionary ideas. Cancel the insurance industry all together. Instead put up an agency that equalizes medical treatment for everyone. Just like social security does for old people.
    Make doctors tax free. That alone will give them a huge benefit that they need and make the profit margin on all doctor’s offices 10% or less.
    Make it illegal not to treat anyone that walks in the door.
    Pay back any loans they made to become a doctor out of the general fund so they have a better ratio of money to debt.
    Then open medical schools for anyone with the talent to become a doctor and pay for it.

    • JC Teecher

      i mostly agree, and I might add; we should have a health care plan that allows for no one to slip through the cracks, and not have the basic type medical care.

      Also, a plan that does away with “any” kind of forced or coerced immunization/vaccine program.
      The majority may not be tainted or toxic, but I don’t want my grand babies being the ones infected/affected.

  • Ricardo Fontanot

    Again. Either we change our fundamental beliefs, of we are dead! People in general (David Stockman and Co. are the exception) believe that what they bvelieve in is right. They don’t accept that NASA is a big, big lie, that NASA insiders like Astronaut Edgar Mitchel know about extraterrestrials since decades ago. They don’t believe that the farmaceutical industry and FDA is interested in money and power only, not the welbeing of people. That Obamacare is about money, power, control and slavery. That God is about punishment of those that disobey rules (10 commandments and so forth). We are primitive, very, very primitive. It is time to evolve. It is time to change our beliefs!

    • 1carl

      Exactly Ricardo. Everything on this planet is about money and control.

      Even in this modern society people still cling to old and outdated beliefs and theories about life and each other.

      They are wrong to think that everyone thinks like they do. As most people say one thing but think the opposite and do the opposite in private.

      Many have bias when it comes to the sides they choose. Both demonize the other and refuse to critic those they like. It is and always has been a problem.

    • socalbeachdude

      I would suggest you start dealing with actual reality.

  • 1carl

    But if it wasn’t for corporate welfare many old dogs would have to learn new tricks.

  • socalbeachdude

    From a risk-of-bankruptcy standpoint, the retail business is the new oil and gas

    Move over, oil and gas.

    Retail is set to replace the troubled energy sector as the most distressed sector this year, according to ratings agencies, lawyers and analysts, beaten down by the strain of competition from juggernaut Amazon.com Inc. AMZN, +0.75% and a range of other issues.

    The sector’s future is looking increasingly gloomy, with the cost of digital investments, trimming excessive store locations and lagging revenue amid declining traffic setting the stage for a spate of bankruptcies and restructurings in 2017 and 2018, experts say. The sector is grappling with changing consumer behavior and shrinking discretionary spending as consumers are faced with higher prices for everything from rent to prescriptions to gasoline.

    Fitch Ratings’ “Bonds of Concern” list is filled with retailers, and the agency is expecting the default rate for the sector to jump to 9% in 2017 from 1% over the last 12 months. The retail sector had $38.9 billion in outstanding debt as of December. Research firm CreditSights has an underperform rating on the sector’s bonds.

    http://www.marketwatch.com/story/retail-industry-is-expected-to-replace-oil-and-gas-as-2017s-distressed-sector-2017-02-15?siteid=YAHOOB

  • socalbeachdude

    So you are a total SOCIALIST. Why don’t you move to Cuba where doctors get paid $47 per month?

    • Zlatko Milanovic

      The nation owes a debt, has to be paid. I’d call that responsible rather than socialist. Are you suggesting we should skip out on the debt owed? Then we’d be deadbeats.

      • socalbeachdude

        Huh? If the federal government seized 100% of the assets of the so-called “rich” that wouldn’t repay a fraction of its debt.

        • Zlatko Milanovic

          I didn’t say seize their assets, I said tax them.

          • socalbeachdude

            They are already vastly overtaxed. We need to tax the people who are consuming most all of the federal government benefits who currently pay absolutely ZERO FEDERAL TAX and that includes almost 50% of all Americans.

          • Zlatko Milanovic

            50% of Americans, or more, are broke and living paycheck to paycheck. They don’t have any money, which is why I said to tax the wealthy, they have the money and can pay. See the difference?

          • socalbeachdude

            So what? The ones that are “broke” are the ones that consume the most in the way of government resources and their benefits should be severely reduced and they should be taxed to pay for their consumption of resources.

            As to the so-called “rich” the top 20% already pays more than 80% of all of the federal income taxes and has no interest in paying a single penny more.

          • Zlatko Milanovic

            Then we are headed towards economic Armageddon, because no one else has the ability to pay down the debt. That’s the point. The rich can suck it up, or watch as the nation collapses or descends into something other than democracy When that happens, they’ll find it was cheaper to just pay the taxes….Tax avoidance benefits no one….

    • Zlatko Milanovic

      Subsidies for industry or corporations is socialist.

      • socalbeachdude

        No. That is FASCISM, not socialism.

        • Zlatko Milanovic

          You’re not understanding my point. In the USA today, we provide subsidies for certain industries, like sugar. We should eliminate those subsidies. Business shouldn’t get public money, they should operate as business entities in a free market. Subsidies distort the free market by providing an unfair advantage to businesses that receive that gov’t money.
          While it is true that historically fascist gov’t’s have provided subsidies to their national industries, it is generally viewed as a socialist practice.

          • socalbeachdude

            There are really not that many federal subsidies to industry and in the case of agriculture they should be ended.

  • Richard O. Mann

    Hopium. I learned a new word today. Stoned on hope. Yeah, it feels good to think things will get better, but when you look at the numbers, no. Guess we will have to see what happens come the 15th. Looks like Obama left a time bomb for Trump.

    • Spatial Memory

      As always, the only thing to follow “the 15th” will be “the 16th”. Same ridiculous hyperbole about retail for decades… if not centuries.

      • socalbeachdude

        You apparently missed the DUTCH TULIP BULB mania and subsequent collapse in 1637…

        Tulip mania or tulipomania was a period in the Dutch Golden Age during which contract prices for bulbs of the recently introduced tulip reached extraordinarily high levels and then suddenly collapsed.

        https://en.wikipedia.org/wiki/Tulip_mania

        • Spatial Memory

          That level of reductio ad absurdum is off the charts even at your dumbed down level.

          • tsf

            Did socialbeachdude offend you in a previous life?

          • Spatial Memory

            No. Just testing to see if it’s a human or some type of negative feedback loop bot – but with the deficits of basic knowledge and ludicrous misconceptions- obviously not a bot. ROFL

          • tsf

            Just curious, because in the simplest of math, nothing he said “added up” to receiving such hard-hitting replies. 🙂
            Kind regards.

          • Spatial Memory

            Double check the math, Archimedes- he gets some hard hits in …. when he can. 🙂

          • socalbeachdude

            I checked the math on your comments and you have a whopping total of 30 upvotes on your inane and very stupid comments!

        • tsf

          Not a flowery scenario.

          • Spatial Memory

            He’s been equally as bearish since djia 8,000 range!! Rotflmao

          • socalbeachdude

            And the Dow (DJIA 30) is headed to 6000.

    • tsf

      Hopium. And Hillary was supposed to be our ‘heroine”, before she was so rudely interrupted by reality.

  • socalbeachdude

    Excellent points.

    • Spatial Memory

      Rotflmao

      • socalbeachdude

        In mud?

  • billtheguy

    Does Jim Rickards have a prediction? Oh, Oh, and a new book to sell!!!

  • JC Teecher

    Since you asked, and is a good question for anyone with medical issues to think about, I’ll answer.

    I have been after her for several years now, to get herself weaned off opioids, that she takes for her seriously bad back.

    I only take Ibuprofen liqui-gels, and get relief to some extent, when I need it. She gets minor relief with them, and only when coupled with non-activity.

    She thinks she can handle the cold turkey withdrawals off opioids, and maintain some semblance of life, with just Ibuprofen. Hope so.

    We have bottles and bottles of aspirin and Ibuprofen, and Homemade wine.

  • socalbeachdude
  • socalbeachdude

    The problem with all so-called “economists” is that they apparently have never heard for proper full GENERAL LEDGER ACCOUNTING and haven’t got the slightest clue that BOOKS MUST BE BALANCED and that liabilities can never exceed assets or the entity being accounted for BECOMES INSOLVENT.

    To this day, the US government does not have full general ledger accounting but requires all publicly listed corporations to use full general ledger accounting. What I would like to see passed by Congress is one requiring that the US government start reporting annually using full proper double entry GENERAL LEDGER ACCOUNTING statements so the public can truly see a picture – however hideous – of the financial state of the US government.

    A good follow up law would be to require the US government to BILL ITS CITIZENS A PRO-RATA SHARE EACH YEAR OF THE FEDERAL DEFICIT and demand payment, which would pretty much put an end to the fiscal disaster we are currently in with the disregarded second part of Keynsian economics.

    • Spatial Memory

      ………
      The problem with all so-called “economists” is that they apparently have never heard for proper full GENERAL LEDGER ACCOUNTING =

      General Ledger Accounting method. Your previous ludicrous comment has evolved to that nonsense.Too funny for words.

      industry Standard Terms below:

      Because external financial statements are used by a variety of people in a variety of ways, financial accounting has common rules known as accounting standards and as generally accepted accounting principles (GAAP). In the U.S., the Financial Accounting Standards Board (FASB) is the organization that develops the accounting standards and principles. Corporations whose stock is publicly traded must also comply with the reporting requirements of the Securities and Exchange Commission (SEC), an agency of the U.S. government.

      Double Entry and the Accrual Basis of Accounting

      At the heart of financial accounting is the system known as double entry bookkeeping (or “double entry accounting”). Each financial transaction that a company makes is recorded by using this system.

      The term “double entry” means that every transaction affects at least two accounts

      ROFL

      • socalbeachdude

        Are you really SO CLUELESS as to not comprehend that so-called “double entry”
        is MERELY AN INTEGRAL FEATURE of full-fledged General Ledger Accounting which can be done on either a CASH or ACCRUAL basis?

        The oldest discovered record of a complete double-entry system is the Messari (Italian: Treasurer’s) accounts of the Republic of Genoa in 1340. The Messari accounts contain debits and credits journalised in a bilateral
        form, and include balances carried forward from the preceding year, and
        therefore enjoy general recognition as a double-entry system.

        The terms “double entry accounting” and full fledged General Ledger Accounting mean the same thing and are used interchangeably. The doubly entry of CREDITS and DEBITS is to a GENERAL LEDGER which has the following 5 major classes of accounts:

        1) Assets
        2) Liabilities
        3) Capital / Equity
        4) Income
        5) Expenses

        General ledger – Wikipedia
        https://en.wikipedia.org/wiki/General_ledger

        Double-entry bookkeeping system

        https://en.wikipedia.org/wiki/Double-entry_bookkeeping_system

  • mark sivad

    Does Stockman have some sort of axe to grind with fellow New Yorker Trump?

    • socalbeachdude

      Yes.

  • socalbeachdude

    Interest Expense on Federal Debt Outstanding

    In just the first 4 months of Fiscal 2017 the interest paid on the US government federal debt is now more than $162 billion and there are 8 months left in this fiscal year which ends on September 30, 2017.

    For Fiscal 2016, the US government paid out more than $432 billion in interest on its federal debt which neared $20 trillion.

    https://www.treasurydirect.gov/govt/reports/ir/ir_expense.htm

  • socalbeachdude

    The US Federal Debt to the Penny and Who Holds It

    US government federal debt has now reached $19,930,147,891,686.70 and to see that debt and its split between Debt Held by the Public vs. Intragovernmental Holdings see:

    https://www.treasurydirect.gov/govt/reports/pd/pd_debttothepenny.htm

  • socalbeachdude

    Comparing U.S. Debt 1929 vs Today

    The U.S. population was 122 million in 1929 while total public debt was $16.9 billion. Thus, the average debt per American in 1929 was $139. Compare that to a population of 320 million and $19.4 trillion in debt at an average $60,625 per American today.

    If we take $139 in 1929 and adjusted for inflation today, it would be worth $3,288. So, the net difference would be nearly 20 times higher.

    What is interesting about total U.S. debt is that after each World War, the total level of debt declined for several years. For example, after the end of World War I, total U.S. debt fell from $27.4 billion in 1919 to $16.1 billion in 1930 (source). This was also true after World War II when total U.S. debt fell from a high of $269 billion in 1946 to a low of $252.7 billion in 1949. Over the next several, as total U.S. debt continued to increase, there were a few years that experienced declines (1951, 1956 & 1957).

    However, after 1957, there wasn’t a single year that total U.S. debt declined…. it continued to increase for 58 consecutive years

    https://srsroccoreport.com/gold-debt-the-1929-great-depression-vs-the-next-great-collapse/

    • chris

      Can you please stop voting up every single post and reply you make. It looks a bit pathetic. Do you have some sort of inferiority complex?

      • socalbeachdude

        Huh?

  • Fleming 007

    75billion a month!? Our government is so big its literally eating itself to stay alive at this point.

    • socalbeachdude

      No, it is eating its TAXPAYERS…

  • pulltheweeds

    Another bailout fight soon to come ?
    Where is Henry Paulson when you need him ?
    LOLZ

    • socalbeachdude

      Bailout of whom? By whom?

  • Herman Christian

    We wail about the 20 trillion of national debt but NO ONE talks about the elephant in the room that our big five consolidated banks are tied to?
    Just one bank alone is exposed to 33+ Trillion in derivative interest rate swaps. Globally we are talking north of 500 Trillion. Who cares what your national debt is if your saddled with all of that?? When the rug is pulled ( And yes there are those who know when that’ll be) The entire structure as we know will be scrap heaped and centralized globally with the ONLY bank not part of that financial scheme. Who is that? Perhaps the IMF or World Bank are some of the first to come to mind.
    Let’s discuss REAL issues and not just those able to be spoon fed to an ignorant population shall we?

    • socalbeachdude

      Derivatives involve less than 1% of their notional (face amount) in actual premiums paid for them and are nothing other than GAMBLING BETS and can all be voided. Derivatives are NOT DEBT of any sort at all and have nothing whatsoever to do with the $64 trillion of total debt outstanding in the US of which $20 trillion is federal government debt.

      Derivatives are essentially gambling bets against the public interest and as such can all simply be VOIDED OUT when push comes to shove.

      • Herman Christian

        Derivatives only become a debt when the counter party underwriting the payoff has to make good on what cannot possibly be paid off?
        Counter party debt occurred in the housing collapse in 07-08 when the institutions that created and sold newly created vehicles to firms and individuals who bet against the housing bubble. The term ” bail out ” of too big to fail finance organizations by the American taxpayer in 08-09 was payable just barely at that level.
        Where we all sit at this juncture is it is simply impossible to pay for even by the international community without revamping the entire global financial system under the few international institutions who curiously have no exposure to this dangerous arrangement of finances.

  • socalbeachdude

    What would you like to do?

  • Mayu the Necrolord

    The 15th? Bring it on. That gives you the entire Spring break to check inventory/buy last-minute supplies. And if you haven’t stocked up on anything, you’d best get to it.

    • socalbeachdude

      Huh?

      • Mayu the Necrolord

        The economy will reveal its true form, sending normies into a panic. In an emergency event, you don’t want to be that guy getting punched out over the last can of soup. Hence why I’m saying we’ve got 2 weeks to work with here (Spring Break for college students), so make the most of it and stock up – just in case.

        • socalbeachdude

          Not even the slightest bit likely. Spring will be a lovely time to show here on Rodeo Drive in Beverly Hills, CA.

  • socalbeachdude

    Car dealer’s first overflow lot in 37 years exposes US pileup

    For the first time in his 37 years working at New Jersey car dealerships, Larry Kull had to rent extra space to store unsold new Honda vehicles — one of the latest signs that the record U.S. auto market is cooling.

    Across dealer lots in America, inventory is piling up as automakers produce more cars than are being bought. Dealers had about 85 days worth of cars and trucks on hand at the beginning of February — about 22 days more than at the beginning of 2017 and eight days more than a year earlier, according to Automotive News Data Center.

    “The sales are good, I just have more product on the ground than I’ve had before,” said Kull, who has about 60 days of passenger cars including Civic compacts and Accord sedans stocked at an office parking lot down the road from his Honda store in Marlton, New Jersey. He prefers to have just 45 days worth of cars on hand.

    The buildup suggests automakers will have to cut back production or boost discounts as the market’s record growth spurt peters out. Analysts project automakers’ sales slowed this month to a seasonally adjusted annualized rate of 17.5 million light vehicles, according to a Bloomberg News survey, from 17.7 million a year earlier.

    https://www.bloomberg.com/news/articles/2017-02-28/car-dealer-s-first-overflow-lot-in-37-years-exposes-u-s-pileup

  • socalbeachdude
  • socalbeachdude
  • socalbeachdude

    Americans now hold over $4.1 trillion in consumer debt

    http://www.mybudget360.com/americans-hold-over-4-1-trillion-in-consumer-debt/

  • socalbeachdude

    The “Everything Bubble”

    That is what economist John Hussman calls it. Here is the chart he uses, which includes most of the major categories of the S&P 500 index. It doesn’t include the rise this year, which has now brought the market to the edge of a “Super Bubble.”

    http://bertdohmen.com/the-everything-bubble/?utm_source=BD&utm_campaign=The_Everything_Bubble&cmp=1&utm_medium=HTMLEmail

  • Sean H

    Retail is a horrible gauge of economic strength. Internet orders are just changing the way we shop. It won’t be long until autoparts chains start closing as you can get any part online if you know what you want. If shipping costs came down brick and mortar would be dead except for grocery stores.

    • socalbeachdude

      More than 90% of total retail sales are still generated in brick & mortar stores and total internet retail sales are less than 10% of total retail sales.

  • LAWD

    So they just increase the debt ceiling. Again. No bloodbath, just more debt. As long as the capacity for more debt exists (look at Japan at 229 debt to GDP) the US at 107 has a long way to go. As long as there are countries with low debt to GDP (Afghanistan, Iraq, Libya, Syria, Yemen, S Africa and on and on) for the US to unload their fiat on, the game will continue. Russia’s debt to GDP is 17. Think about that.

  • Bible Based Christian

    Mat 15:8, This people draweth nigh unto me with their mouth, and honoureth me with their lips; but their heart is far from me. Family Christian? Family Christian is not something you market! Family Christian… Maybe people bought enough pagan trash with Jesus as the cover? No more contemporary “Christian” music? No more fishes, Jewish stars, or crosses for cars? I’m sure the holy angels are not mourning the loss of the stores called Family Christian.

  • Bruce

    Let me go on record and say this ” No One will take or cut my Social Security without graverisk” ALL politicians will have targets on their backs by MILLIONS of seniors. Not only would they be voted out enmass and they KNOW it, their very health would be in jeopardy. You can’t require by law that people pay into the system under promise of retirement repay then take your promise back. In addition those not retired would join us when they see their parents unable to eat or pay basic bills.

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