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Show This To Anyone That Believes That “Things Are Getting Better” In America

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Show This To Anyone That Believes That Things Are Getting Better In AmericaHow can anyone not see that the U.S. economy is collapsing all around us?  It just astounds me when people try to tell me that “everything is just fine” and that “things are getting better” in America.  Are there people out there that are really that blind?  If you want to see the economic collapse, just open up your eyes and look around you.  By almost every economic and financial measure, the U.S. economy has been steadily declining for many years.  But most Americans are so tied into “the matrix” that they can only understand the cheerful propaganda that is endlessly being spoon-fed to them by the mainstream media.  As I have said so many times, the economic collapse is not a single event.  The economic collapse has been happening, it is is happening right now, and it will continue to happen.  Yes, there will be times when our decline will be punctuated by moments of great crisis, but that will be the exception rather than the rule.  A lot of people that write about “the economic collapse” hype it up as if it will be some huge “event” that will happen very rapidly and then once it is all over we will rebuild.  Unfortunately, that is not how the real world works.  We are living in the greatest debt bubble in the history of the world, and once it completely bursts there will be no going back to how things were before.  Right now, we are living in a “credit card economy”.  As long as we can keep borrowing more money, most people think that things are just fine.  But anyone that has lived on credit cards knows that eventually there comes a point when the game is over, and we are rapidly approaching that point as a nation.

Have you ever been there?  Have you ever desperately hoped that you could just get one more credit card or one more loan so that you could keep things going?

At first, living on credit can be a lot of fun.  You can live a much higher standard of living than you otherwise would be able to.

But inevitably a day of reckoning comes.

If the federal government and the American people were forced at this moment to live within their means, the U.S. economy would immediately plunge into a depression.

That is a 100% rock solid guarantee.

But our politicians and the mainstream media continue to perpetuate the fiction that we can live in this credit card economic fantasy land indefinitely.

And most Americans could not care less about the future.  As long as “things are good” today, they don’t really think much about what the future will hold.

As a result of our very foolish short-term thinking, we have now run up a national debt of 16.4 trillion dollars.  It is the largest debt in the history of the world, and it has gotten more than 23 times larger since Jimmy Carter first entered the White House.

The chart that you see below is a recipe for national financial suicide…

U.S. National Debt

Of course things have accelerated over the past four years.  Since Barack Obama entered the White House, the U.S. government has run a budget deficit of well over a trillion dollars every single year, and we have stolen more than 100 million dollars from our children and our grandchildren every single hour of every single day.

It is the biggest theft of all time.  What we are doing to our children and our grandchildren is beyond criminal.

And now our debt is at a level that most economists would consider terminal.  When Barack Obama first entered the White House, the U.S. debt to GDP ratio was under 70 percent.  Today, it is up to 103 percent.

We are officially in “the danger zone”.

If things really were “getting better” in America, we would not need to borrow so much money.

Our politicians are stealing from the future in order to make the present look better.  During Obama’s first term, the federal government accumulated more debt than it did under the first 42 U.S presidents combined.

That is utter insanity!

If you started paying off just the new debt that the U.S. has accumulated during the Obama administration at the rate of one dollar per second, it would take more than 184,000 years to pay it off.

So what is the solution?

Get ready to laugh.

The most prominent economic journalist in the entire country, Paul Krugman of the New York Times, recently suggested the following in an article that he wrote entitled “Kick That Can“…

Realistically, we’re not going to resolve our long-run fiscal issues any time soon, which is O.K. — not ideal, but nothing terrible will happen if we don’t fix everything this year. Meanwhile, we face the imminent threat of severe economic damage from short-term spending cuts.

So we should avoid that damage by kicking the can down the road. It’s the responsible thing to do.

You mean that we might actually do damage to the debt-fueled economic fantasy world that we are living in if we stopped stealing so much money from future generations?

Oh the humanity!

It is horrifying to think that all that one of the “top economic minds” in America can come up with is to “kick the can” down the road some more.

Unfortunately, neither Paul Krugman nor most of the American people understand that our financial system is actually designed to create government debt.

The bankers that helped create the Federal Reserve intended to permanently enslave the U.S. government to a perpetually expanding spiral of debt, and their plans worked.

At this point, the U.S. national debt is more than 5000 times larger than it was when the Federal Reserve was first created.

So why don’t the American people understand what the Federal Reserve system is doing to us?

It is because most of them are still plugged into the matrix.  A Zero Hedge article that I came across today put it beautifully…

US society in a nutshell: Chris Dorner has been around for a week and has 222 million results on Google; the Federal Reserve has been around for one hundred years and has 187 million results.

If nothing is done about our exploding debt, it is only a matter of time before we reach financial oblivion.

According to Boston University economist Laurence Kotlikoff, the U.S. government is facing a “present value difference between projected future spending and revenue” of 222 trillion dollars in the years ahead.

So how in the world are we going to come up with an extra 222 trillion dollars?

But it is not just the U.S. government that is drowning in debt.

Just check out this chart which shows the astounding growth of state and local government debt in recent years…

State And Local Government Debt

All over the United States there are state and local governments that are on the verge of bankruptcy.  Just check out what is going on in Detroit.  The only way that most of our state and local governments can keep going at this point is to also “kick the can” down the road some more.

And of course most of the rest of us are drowning in debt as well.

40 years ago, the total amount of debt in the U.S. economic system (government + business + consumer) was less than 2 trillion dollars.

Today, the total amount of debt in the U.S. economic system has grown to more than 55 trillion dollars.

Can anyone say bubble?

The good news is that U.S. GDP is now more than 12 times larger than it was 40 years ago.

The bad news is that the total amount of debt in our financial system is now more than 30 times larger than it was 40 years ago…

Total Credit Market Debt Owed

At the same time that we are going into so much debt, our ability to produce wealth continues to decline.

According to the World Bank, U.S. GDP accounted for 31.8 percent of all global economic activity in 2001.  That number dropped to 21.6 percent in 2011.  That is not just a decline – that is a nightmarish freefall.  Just check out the chart in this article.

We are becoming less competitive as a nation with each passing year.  In fact, the U.S. has fallen in the global economic competitiveness rankings compiled by the World Economic Forum for four years in a row.

Most Americans don’t understand this, but the United States buys far more from the rest of the world than they buy from us each year.  In 2012, we had a trade deficit of more than 500 billion dollars with the rest of the world.

That means that more than 500 billion dollars that could have gone to U.S. workers and U.S. businesses went out of the country instead.

So how does our country survive if hundreds of billions of dollars more is flowing out of the country than is flowing into it?

Well, to make up the shortfall we go to the countries that we sent our money to and we beg them to lend it back to us.  If that doesn’t work, we just print and borrow even more money.

Overall, the United States has run a trade deficit of more than 8 trillion dollars with the rest of the world since 1975.

That is 8 trillion dollars that could have saved U.S. businesses, paid the salaries of U.S. workers and that would have helped fund government.

But instead, our foolish policies have greatly enriched China and the oil barons of the Middle East.

Sadly, politicians from both political parties continue to boldly support the one world economic agenda of the global elite.

Just consider how destructive many of these “free trade” deals have been to our economy…

When NAFTA was pushed through Congress in 1993, the United States had a trade surplus with Mexico of 1.6 billion dollars.

By 2010, we had a trade deficit with Mexico of 61.6 billion dollars.

Back in 1985, our trade deficit with China was approximately 6 million dollars (million with a little “m”) for the entire year.

In 2012, our trade deficit with China was 315 billion dollars.  That was the largest trade deficit that one nation has had with another nation in the history of the world.

In particular, our trade with China is extremely unbalanced.  Today, U.S. consumers spend approximately 4 dollars on goods and services from China for every one dollar that Chinese consumers spend on goods and services from the United States.

But isn’t getting cheap stuff from China good?

No, because it costs us good paying jobs.

According to the Economic Policy Institute, the United States is losing half a million jobs to China every single year.

Overall, more than 56,000 manufacturing facilities in the United States have been shut down since 2001.  During 2010, manufacturing facilities in the United States were shutting down at a rate of 23 per day.  How can anyone say that “things are getting better” when our economic infrastructure is being absolutely gutted?

The truth is that there are never going to be enough jobs in America ever again, because millions of our jobs are being sent overseas and millions of our jobs are being lost to technology.

You won’t hear this on the news, but the percentage of the civilian labor force in the United States that is employed has been steadily declining every single year since 2006.

Younger workers have been hit particularly hard.  In 2007, the unemployment rate for the 20 to 29 age bracket was about 6.5 percent.  Today, the unemployment rate for that same age group is about 13 percent.

If you are under the age of 30 and you aren’t living with your parents, there is a really good chance that you are living in poverty.  If you can believe it, U.S. families that have a head of household that is under the age of 30 have a poverty rate of 37 percent.

Our economy has been steadily bleeding huge numbers of middle class jobs, and many of those jobs have been replaced by low paying jobs in recent years.

According to one study, 60 percent of the jobs lost during the last recession were mid-wage jobs, but 58 percent of the jobs created since then have been low wage jobs.

And at this point, an astounding 53 percent of all American workers make less than $30,000 a year.

Oh, but “things are getting better”, right?

Maybe if you live on Wall Street or if you are an employee of the federal government.

But for most families this economic decline has been a total nightmare.  Median household income in America has fallen for four consecutive years.  Overall, it has declined by over $4000 during that time span.

Sometimes people forget how good things were about a decade ago.  About three times as many new homes were sold in the United States in 2005 as were sold in 2012.

But we like to live in denial.

In fact, a lot of families are trying to keep up their standards of living by going into tremendous amounts of debt.

Back in 1983, the bottom 95 percent of all income earners in the United States had 62 cents of debt for every dollar that they earned.  By 2007, that figure had soared to $1.48.

Fake it until you make it, right?

But how much debt can our system possibly handle?

Total home mortgage debt in the United States is now about 5 times larger than it was just 20 years ago.

Total credit card debt in the United States is now more than 8 times larger than it was just 30 years ago.

We are a nation that is completely addicted to debt, but as the financial crisis of 2008 demonstrated, all of that debt can have horrific consequences.

As the economy has slowed in recent years, the Federal Reserve has decided that “the solution” is to recklessly print money in an attempt to get the debt spiral cranked up again.

Have they gone overboard?  You be the judge…

Monetary Base 2013

And of course this won’t have any affect on the value of the money that you have been saving up all these years right?


Every single dollar that you own is continually losing value…

Purchasing Power Of The Dollar

Overall, the value of the U.S. dollar has declined by more than 96 percent since the Federal Reserve was first created.

As the cost of living continues to go up and wages continue to go down, millions of American families have fallen out of the middle class and into poverty.

If you can believe it, the number of Americans on food stamps has grown from about 17 million in the year 2000 to more than 47 million today.

But “things are getting better”, right?

Incredibly, more than a million public school students in the United States are homeless.  This is the first time that has ever happened in our history.

But “things are getting better”, right?

There are now 20.2 million Americans that spend more than half of their incomes on housing.  That represents a 46 percent increase from 2001.

But “things are getting better”, right?

In 1999, 64.1 percent of all Americans were covered by employment-based health insurance.  Today, only 55.1 percent are covered by employment-based health insurance.

But “things are getting better”, right?

Today, more Americans than ever have found themselves forced to turn to the federal government for help.

Overall, the federal government runs nearly 80 different “means-tested welfare programs”, and at this point more than 100 million Americans are enrolled in at least one of them.

According to the U.S. Census Bureau, 49 percent of all Americans live in a home that receives direct monetary benefits from the federal government.  Back in 1983, less than a third of all Americans lived in a home that received direct monetary benefits from the federal government.

So is it a good sign or a bad sign that the percentage of Americans that are financially dependent on the federal government is at an all-time high?

And in future years the number of Americans that are receiving benefits from the federal government is projected to absolutely skyrocket.

Back in 1965, only one out of every 50 Americans was on Medicaid.  Today, one out of every 6 Americans is on Medicaid, and things are about to get a whole lot worse.  It is being projected that Obamacare will add 16 million more Americans to the Medicaid rolls.

If you take a look at Medicare, things are very more sobering.

As I wrote recently, it is being projected that the number of Americans on Medicare will grow from 50.7 million in 2012 to 73.2 million in 2025.

At this point, Medicare is facing unfunded liabilities of more than 38 trillion dollars over the next 75 years.  That comes to approximately $328,404 for every single household in the United States.

Are you ready to contribute your share?

Social Security is a complete and total nightmare as well.

Right now, there are approximately 56 million Americans collecting Social Security benefits.

By 2035, that number is projected to soar to an astounding 91 million.

Overall, the Social Security system is facing a 134 trillion dollar shortfall over the next 75 years.

Oh, but don’t worry because “things are getting better”, right?

I honestly do not know how anyone can look at the numbers above and come to the conclusion that the economy is in good shape.

We have accumulated the largest mountain of debt in the history of the world, our economic infrastructure is being gutted, we are bleeding good jobs, government dependence is at an all-time high and we are getting poorer as a nation with each passing day.

But other than that, everything is rainbows and lollipops, right?

If you want to see the economic collapse, just open up your eyes.

And if dramatic changes are not made quickly, things are going to get much, much worse from here.

Please share this article with as many people as possible.  Time is quickly running out and there are a whole lot of people out there that we need to wake up while we still can.

The Economic Collapse Is Happening



  • __

    the govt knows all this, is stocking up on ammo big time and is intent on removing guns from the middle class.

    • markthetruth

      What do you mean, the govt knows all this???

      Fact: The govt Created all this !!!

      the end…

      • Mookie

        So…if they created all this, wouldn’t they also KNOW about it too?

        End THIS…

        • markthetruth

          That not the point, the people need to get their heads out of the sand and look farther then their owm ba

      • sharonsj

        The government did not create this. Our economy sucks because the banking system committed fraud. However, the government chose to bail out Wall Street and not help homeowners. The banks are most likely still insolvent and still making bets with your money. The big question is what will you do when the banks fail again? Also, only the rich think the economy is fine–the rest of us know better.

        • markthetruth

          Wrong! read history.

          Federal Reserve Act ! Was a Act of Congress our Government.

          the end…

          • EG

            The federal reserve legislation was written by bankers, in secret. on Jekyll Island, and ratified by the president in exchange for campaign finance. the bankers manipulated the economy to dupe the American voters to think they needed a central bank; avoiding the central bank model was a major reason we went to war against England. sounds like YOU need to read some history, just don’t limit yourself to the books at the public schools, because they tell only half the story.

        • DoingMoreWithLes

          So The Federal government suing banks to make loans to people that could not actually afford them had nothing to do with it? Barney Frank did this. WAKE UP. the government is not your friend.

          • The federal government did file suits against a very few banks that would not loan money to minorities who actually COULD afford them.

            Those few loans were used as a bogus excuse for the crooks.

            The only thing that forced the banks to make LIARS loans was their own greed and the fact that they could make the loan and immediately sell it to a bigger fool, taking an immediate profit.

            And the banksters who lied to you about all this are not your friend and they want to do it all again.

        • Our economy got this way due to a number of reasons. One was going off the gold standard. Not having anything tangible to back up our currency was a big mistake. But that is ancient history. More recently, the big issue has been the “normalization” of debt. Many years ago when I was a child (in the 50s) debt was a shameful thing to be avoided. By the time I was an adult, banks were advertising credit cards and making them look like necessary commodities that you must have and can’t live without or you will be shunned and “not sexy”. So very quickly, debt became “normal” and everybody was doing it – and the government followed suit.

    • energizedmortal

      civil and world war are closer than we think

      • Shamen

        I hope so…

      • markthetruth

        civil war will take longer then you think, too many complacent LAZY people out there.

        the end…

        • Republicae

          Don’t underestimate the power of misery to erase complacency!

          • markthetruth

            Except in today’s society people deal with misery with drugs, alcohol and suicide.

            instead of positive things that take work.

            the end…

          • Republicae

            The misery I speak of is something this people, no one in this country, have experienced as yet. When that type of misery hits, drugs and alcohol will not suffice to ease the reality of such misery. Even this government is not prepared for the reality of what it faces, though I am sure many within it think so.

          • M

            When the Feds simply default, there will be no money for the 100 Million on Gov assistance. They will have no food, no income, no money. They will hit the streets like locusts, reshaping all of North America.

          • DoingMoreWithLes

            Looking forward to it. Hoping that they reinvent DC first.

        • Beth


        • brussell2952

          They will be the first to die.

      • millenialfalcon

        agreed, but I don’t expect a manic war like WWI WWII which occurred during industrial growth.. during resource scarcity and global contraction, I think wars will be fought slowly, through attrition, with all sides reluctant to risk dwindling capital

      • Ralfine

        There are still a lot of people for whom what you might be experiencing now is still paradise, and what they experienced as hardship is unimaginable to you.

        Just talked to a friend the other day, he didn’t have shoes, trousers, electricity until college. He is about my age. And all the music of my childhood – the songs and groups – he has no connnection, since they didn’t have power at that time.

        But he knows all his neighbours. And their families. Of his village, and the next, and the town. Of all ages. And he is still in contact with them all over the world via facebook.

      • Williep24

        Have you ever read about the Spanish conquest of America? 100 Conquistadores would go into battle against 100,000 indigenous and slaughter them. Why? The Conquistadores had horses, swords and lances. This is what will happen in a civil war. Numbers aren’t going to help us.

        • BowMtnSpirit

          You forgot smallpox, cholera and measles.

    • onejanedoe2003

      From everyone! There isn’t much middle class anymore, to worry about.

      • markthetruth

        Blue collar Manufacturing is disappearing.

        But the Middle Class isn’t disappearing ,its being Redefined !

        the end…

  • 2Gary2

    F the free market: F Capitalism: F Deregulation:

    Other nations like Finland, Denmark et al provide free high speed
    internet as a perk of being a resident of their country. It’s totally
    doable and affordable. But here in the USA, someone has to have the
    freedom to gouge all the rest….in phone service, finance, commodities,
    health care, prescriptions, insurance, etc.

    • Sieg Heil! Hitler said the same thing. Got your Jack boots ready Gary?

    • Ralfine

      When it comes to capitalism i still prefer Hong Kong. Very little regulation, very little government influence, very good public transport, very low tax, good health care, very easy to do business, just need to speak chinese.
      Come to think about it, i should learn Chinese.

      • shelly

        it could be wise to learn how to glam and vamp.

  • 2Gary2

    “At first, living on credit can be a lot of fun. You can live a much
    higher standard of living than you otherwise would be able to.”

    and then you default and file chap 7 and do a little wealth redistribution on your own. Do it again as soon as you can. If they are dumb enough to give a credit card F them.

    • markthetruth

      I have to admit i have to agree with you on this, they also advertise that these lawyers could get rid of it for you, and if you have nothing you have nothing to lose. They use aliases to keep going.

      Keep letting the illegals in they can get away with it.

      “Not Us” and we pay for it.

      the end…

  • K

    Michael, you say you are surprised when people say everything is fine. Maybe you should not be. Think of how many catastrophic storms, there has been in the last couple years. With all those storms, you would think people would be better prepared. But it seems they never are. Look at the N.E. Sandy went through a few months ago. From the early reports I am hearing, most were no more prepared for this storm. I am not far from an area that was hit with a large number of tornadoes, about a year and a half ago. Out of the ninety two houses destroyed, only 1 rebuilt their house with a tornado shelter. There is something just not mentally right, with the majority of the population.

    • HecatesMoon

      I think when people go through something really bad that maybe they don’t prep after and just go back to the usual because they think there is just no way it could happen to them AGAIN. A “lightning can’t strike in the same place twice” thing.

      • K

        Perhaps you are correct. But when did that thinking change? We have discussed frontier times before. Many went out on the frontier with nothing but a single shot rifle. One robbery or Indian raid later if they survived it. Better rifle and hidy hole built on the property, was done as fast as possible.. During the sixties they built bomb shelters and prepped just on the possibility of nuclear war. As a child I lived in S.Fla. during the Cuban missile crisis. President Kennedy had an emergency bunker near his family compound. They had to mound up dirt to install it. The water table was too high to bury it. Some few of the rich folks used a similar design. So from the sixties be ready for all possibilities. We have become it will not happen again? What caused the change?

        • BonusGift

          For one, we imported a whole new hostile and left leaning underclass and called it multicultural utopia (i.e., we are not the same people, we are now “diverse” and diversity is not a strength), and for another we learned that actions or lack thereof have no consequences (i.e., until they don’t).

          • 2Gary2

            yes I also think diversity is and was oversold.

          • Robert (qslv)

            Diversity = divisity – a trick to make us fight with each other so we remain blind to the real enemy.

    • No Spirit= no Value

      ” There is something just not mentally right, with the majority of the population.”

      Especially if they are listening to the media or our government to begin with… Live for the truth and live with no fears caused by deception!!

      • markthetruth

        The DEVIL on their shoulder got to them (just like he got to EVE) they are all taking a bite of the apple.

        the end…

        • 2Gary2

          Eve was the apple of Magog’s eye

    • MichaelfromTheEconomicCollapse

      People never learn, eh?


  • Syrin

    I don’t know of anyone who believes things are fine or getting better

    • Ralfine

      Journalists have to write to pay their utility bills.

      It’s very easy to make believe that things are getting better.

      If from 10 people last week 6 people got killed and this week only 4, then statistically things are getting better, even if there is nobody left.

      • Jaded

        The thing is: how long until these journalists wake up or are too poor like the rest of us to see what they are reporting is BS? A time will come where news reporters will be screwed(unless they are getting paid mega bucks to report this crap?), but I guess by then it’ll be too late…

        • Ralfine

          It doesn’t matter how much they are paid, but how much they save. If they are like everybody else they spend more than they earn, and run in the hamster wheel until they drop dead.

    • Gary says just tax the rich that will solve everything. Unicorns and lucky charms for all at the end of the rainbow.

  • Donut Duty

    Looking at a social aspect you only need to go on youtube and find that Atlanta security guard with the taser. I never want to go to Atlanta or America now, imagine those “people” when things get even worse. Does not look good. We blew it as a species….

  • piccadillybabe

    SuzeOrman is another one of those pseudo financial gurus that loves to tell people how to manage their money. It amazes me how some people whom she spot lights on her show are so wealthy, so young and so unaware of what they should be doing with it all. Millennials are the most disenfranchised demographic in this economy today but one of Suze’s millennials clear $8K+ a month, own $358K homes, have 401K account of $160K (only in very early 30s), put $1K in savings a month plus deduction for 401K, owe $318K on their mortgage and after paying all their bills still have $400+ a month to spare. Where does she find these people or are they a fig newton of her delusional imagination and denial of this economy we are now in? As most know, she is extremely wealthy herself (because she is just so smart) and could be categorized as the 1% in this country and is simply out of touch with the reality of the sordid state of affairs in this country. It would be nice to see some common sense financial experts giving some real nitty-gritty advice to young people today in the media. They are out there but you got to dig around to find em.

  • Patriot

    I have been following the economic trends, ( This website has been a real great resource), and I agree that a lot of people are just not fully aware of the extent of the trouble we are in in this nation and world. But,along with following economic news, I have been also keeping track of liberty related issues, as far as gun laws and homeland security, patriot act, and the plethera of Constitution-unfriendly legislation being proposed….but, sadly, people are so distracted with the economy trying to survive, as well as other things. Liberty along with our economy is slowly being stripped

  • efinlays

    Thank god someone is finally putting this out there. I am so sick of the media concentrating on the employment rate which is not only unreliable but also meaningless in the backdrop of median household income dropping every year. Who cares if everyone is employed but no one makes a living wage. But we all know those in control have a plan, I just wish they would let us all know what it is.


      • Ralfine

        Don’t forget everyone praying to one god, ruled by one pope and accepting fate. Don’t question the way of things. Just pray and follow.

        • __


  • no use for a name

    The media is at it again trying to turn our attention to “cyber threats”. I’m sure most of this is just BS. And if things are put in place to destroy the middle class/america they will just blame it on these “cyber terrorists”.

  • Paul

    Michael, according to the U.S debt clock org website 48,163,652 Americans are now on food stamps.

    Frankly, I do not know how some of these mainstream media reporters can say economic conditions are improving with a straight face.

    It is criminal that future generations are being robbed. Sadly, most people are more worried about watching the Grammys or the Bachelor rather than figure out ways to reverse the social and economic decline of America.

    • markthetruth

      Because the #1 industry in the US is Advertising, we are bombarded with it from when you wake up and even carries through your dreams at night.

      Radio,TV,Internet,mail,newspaper,magazines,signs and stores while driving,cell phone,work,children from school,telemarketers.

      Forced Social Direction !!!

      the end…

      • 2Gary2

        You are correct about advertising. Here is how I minimize my exposure to it:

        1. Use firefox with the Ad Block plus ad on. You will almost never see ads on the net and things will be faster without the ads loading all the time.

        2. Always use a DVR to record a show and skip past the commercials.

        3. Listen to a podcast of the radio show which has no ads.

        4. Mail back all the magazine subscriptions blank so companies have to pay.

    • 2Gary2

      according to the debt clock there are thousands of corporations on gov welfare, dwarfing the number of poor on food stamps.

      • Robert (qslv)

        Gary, the corporations ARE the government, and the government IS the corporations. Been that way since the Federal Reserve Act.

  • The govt plans to stiff us all. They will allow it to go on as long as possible and get as bad as possible, then the govt will declare bankruptcy on the whole thing and start a new currency to take the place of the old. We will end up turning in old currency and for every 10 dollars we might get $1 in new currency back. And that will be a limited time offer for the old currency.

    When they do this it will be behind armed bunkers.
    Probably because they will leave millions out in the cold with no way to feed, clothe, and shelter themselves.
    The question is after the bankruptcy, will they meet their obligations to the millions of people entitled to Social Security, pensions, medicare, and of course medicaid. Especially the people living in nursing home facilities that medicaid is paying a lot of money to keep?
    The only option at that point will be to declare nationwide martial law. The problem is paying the soldiers needed to enforce this martial law. If they don’t pay them the entire government will come apart at the seams.
    There are entire underground bases in secret places right here in this country. I suggest they might hole up until it all blows over or try any way.
    It will be interesting to see if I am right on what I see happening in the near future.

    • K

      Mostly I agree with you. Except that they have to pay the soldiers. Many service personnel have families living on military bases. Those families will be held hostage, in case of martial law. How better to be sure they follow orders?

    • Hambone

      I think whether or not they rebaseline the currency, the impact is the same. We work hard for a certain amount of money, and that money just doesn’t go as far. Packages are smaller and cost more, and it’s getting worse each time I go to the store.

      It’s easiest to see in places where they can’t shrink package sizes, like lumber. It’s been a long time, but I recently bought some 4×8 OSB. It can’t have been more than 5 years since I last bought it, and as I recall it was $5.80 a sheet. Now it’s over $10 for the same thickness.

      Frog in the boiling pot of water, my friend.

  • hillbillyhustle

    About 2 years ago i started reading your blog off and on as part of my awakening… since that time I became obsessed with figuring out what was fear mongering and the truth. I agree with you completely. However as I and the rest of us have become pawns to the stock market and banks I made drastic changes in my life:

    1. I LET my house go into foreclosure meanwhile saving every penny I could to pay cash for a home. This process took about 19 months. My new home is paid for and much smaller.

    2. I paid of my car by selling my stuff on ebay and craigslist that I knew would not be needed in my new home.

    3. I put a tornado shelter in my land as I do live in an area with tornadoes.

    4. I started investing not stockpiling in my pantry by using coupons.I save thousands a year by doing this.

    5. I use my tax money every year to pre-pay my utility bills just in case we have a tough spot. this gives a cushion.

    6.Having doing the things above I was able to quit my job and I started homeschooling my child after realizing our educational system is failing. This is a hard transition but well worth seeing my child no longer concerned with the latest iphone or new designer clothes.

    7. I started a small garden and soon will be having a some backyard chickens for fresh eggs.

    These things help me hedge against inflation which we all know is happening not coming. It will only get worse. I chose to adapt to a situation that is happening instead of being forced to lose everything.I have no major debt and this has increased my quality of life.I used to have panic attacks at least 3 times a week due to stress of keeping up the house of cards. I have not had one in over a year. No. I do not take meds. never have. Understanding how the banking system and government works has freed this debt slave.


    I should mention that our yearly income is less than 35k just in case someone might be thinking I’m rich.

    • Ralfine

      You quit your job and still earn 35k?

      • Guest

        My husband works. lol

    • Hambone

      Our children are our best hope for the future, and unfortunately the education system in America is quite the Forrest Gump box ‘o chocolates. Even in affluent areas or “good” school systems, there can be a lot of bad stuff going on. Rich kids can be just as bad because they have resources.

      I think home schooling is great. It’s the only way to make sure your kids are getting taught the correct things in the correct ways. It’s the only way to prevent someone else’s values from being put into your kids. I know not everyone can do it, but for those who can, it’s worth it.

      And for the record, those who question the social skills of home schoolers… put a home schooled high-schooler next to a product of the public schools and tell me who has better social skills. Kids learn social skills from everyone they interact with.

      • hillbillyhustle

        I agree. I was worried about the “socialization” issue.Since taking my daughter out of the public school system she has become a rational thinking person instead of a bratty,wanting everything popular teenager. I will never tell her that I have seen these changes because she might rebel….lol. Homeschooling is a hard thing to do. The first weeks were horrible but overtime it gets easier once you find what what works for you.
        I could go on and on about how I feel about the public school system….lol

      • I home schooled also by using the virtual public school which is paid for by the state. K12 curriculum is used which is wonderful. No social regression noted. Only positive changes. I encourage anyone to try home schooling.

        • Ronbo 51

          We homeschooled our kids. It is the best decision we ever made for them and us. I think the best education model is home school until the earliest age your state allows GED. ( My state is sixteen) Go to Community College, the GED is all you need to start, and get an Associate Degree. Most states require the state University to accept AA degree with a decent GPA. Finish degree in Science or Engineering in two years at cheap in state school. We moved to a college town to do this. No debt.

    • mikem59

      I still send my son to a public school but, we moved up into a rural area in the foothills. the cities are turning into crime, gang ridden hobo habitats. no thank you.

      • Beth

        same here, we live rural, our small school is such a great part of the community, wouldn’t move from here for all the tea in china!:)

      • Beth

        also—some of the work my sophomore daughter is doing, she will be able to zzzz through college 101’s! I’m impressed that her work is beyond the work required to get an Associates.

    • MichaelfromTheEconomicCollapse

      It sounds like you have made some really good changes in your lifestyle.

      And I do believe that there is hope in understanding what is happening and getting prepared. When things really start falling apart, many of those that get blindsided by the coming crisis will totally lose it.


      • hillbillyhustle

        Thank you.I posted this in hopes of inspiring people to “adjust” to the situation of our economy. Not everyone who is getting prepared is an extremist which I find a lot in “prepper” blogs. Good common sense can go along way

    • Beth

      you are one smart cookie!

      • hillbillyhustle

        Thank you…

    • You found Power Over Self. See the YOU TUBE The Miracle of Self Power and learn why the POWER OVER OTHER people are ruining our lives.

  • Day2Day

    “So we should avoid that damage by kicking the can down the road. It’s the responsible thing to do.” – The most prominent economic journalist in the entire country, Paul Krugman of the New York Times.

    What a joke this country has become…

    Having said that, driving around today, looking for a place to eat, I was astounded by all of the vacant, for-sale and for-lease signs in various business complexes.

    I mean, it’s like something out of the twilight zone, for every 5 businesses, there are 2 vacancies and the ones that are still in business are obviously struggling for customers.

    It’s like a real sick joke, businesses are shutting down due to lack of revenue (Customers) and the ones that are still operating, keep their business understaffed to try and save money… resulting in a bunch of bull……

    So, I know the economy is on the wrong side of the tracks… Has been for a long time.

    The perfect analogy is the “Snowball effect” Where the snowball starts off small, but as it accelerates down the mountain, it becomes bigger and bigger as it picks up momentum, and that’s exactly what is happening with our economy… It is getting worse by the year and will continue to get more severe it until it crashes…

    • vamp of haine

      But Ive been glamming and vamping all round…..

  • JoeD

    Debt snowball started rolling long before Bush or Obama (take your pick, partisan America) “wrecked” things. Truth is this collapse has been brewing for decades and there’s nothing anyone can do to stop it.

    They’ve just been throwing more and more fake money to mask the economy’s shortcomings and prop up our standard of living for a very long time.

  • Paul Krugman, besides being a joke and a Times columnist, is a professor of “Economics and International Affairs” at Princeton. Ivy league educated at Yale he is also “International Professor of Economics” at MIT. When you have someone as clearly devoid of common sense as Paul Krugman in a position to “educate” future legislators and bureaucrats you have to ask who is behind hiring such a puppet. His Nobel prize for Economics is about on par with Obama’s Nobel Peace prize which is to say a reward for obedience to the elite superwealthy world rulers.

  • Robert Silva

    its not only the matrix that makes people believe that things are improving
    its hard and difficult to wake people up
    most of people are completely afraid of the “long black cloud coming down”
    its easier and better for the mind of the human being
    we as a species preffer to think that “there is a way out”
    and then
    we return to the daily (football, basketball, football, whatever…) game and the (music, series, soap opera…) tv show and sleep what is possible for the next journey

    or maybe the games, facebook, internet and that kind of stuff
    helps in making people “mental lazier” as they can be
    what i know is
    its not easy to wake someone up
    thanks for your blogs
    from brazil

    • MichaelfromTheEconomicCollapse

      It is a real pleasure to hear from someone in Brazil. 🙂




    • Ralfine

      And this helps? LOL

      • __

        remove ralfine!

      • markthetruth

        I have to agree, the President of the USA doesn’t run the country anymore and it really doesn’t matter who’s in there. Remember if the higher ups wanted our president out, they just shot them.

        the end…

  • Riddler

    Yawn….who didn’t see this coming?

    Don’t get obsessed over it, just prepare….

  • Brad White

    Free trade is a very good thing. Far be it for the government to tell me who in what country I can buy from! You can’t be against free trade AND the growth of the federal government – they are opposite ends of the spectrum.

    • MichaelfromTheEconomicCollapse

      No, they are definitely not opposite ends of the spectrum.

      “Free trade” with communist China fits in very well with the socialist agenda that is being pushed by Barack Obama and our representatives in Congress.


      • Brad White

        I’m not sure how that works – please explain. My point is that free trade, by definition, is the absence of government in the buying decisions between international private parties. It was a cornerstone of Adam Smith’s “Wealth of Nations”.

        You can’t be pro-free market and against free trade at the same time – it makes no sense. (There are certain national security exceptions I would concede)

  • chilller

    Here’s the guberment’s theme song, by the Grass Roots…
    Sha-la-la-la-la-la, live for today
    Sha-la-la-la-la-la, live for today
    And don’t worry ’bout tomorrow, hey, hey, hey
    Sha-la-la-la-la-la, live for today
    Live for today

    • 2Gary2

      dude–you really need to stop drinking your bathwater…

  • Ralfine

    Get yourself some guns and shoot each other. Mr. Smith and Mrs. Wesson will love you to death for it.

    • __


  • yabba

    my sweet mother and dad, i pray you are gone before you see a situation where your offspring and everyone you care about are desulate

    • Eric Pearson

      It was all our fathers and mothers that allowed this to go on, so I hope they have to live through it.

  • relax

    The author strikes me as the kind of guy that gets a hard-on watching doomdday preppers..

    • __

      do you dream of obama and get a hard on?

  • MeMadMax

    Sadly, at least 60% of the population will have no idea why all of a sudden the power went out, and the food stops showing up at the store…..

  • glam is where it’s at

    I am a friend of the vamp and I say that when I set down the makeup bag and use Pond’s to remove the foundation and glitter, it is all about what is best for me as a vamp. Luckily, I live 3.5 hours away from Mexico and America has never meant anything to me so I have no problem fleeing when things get worse. And I believe they will, there is no way this debt we are under is all going to be repaid, just no way at all. So I think it is wise to live with bags packed and being ready to flee as is necessary.

  • dontwhine

    You’re always whining. Want to spend a few days in San Pedro Sula, Honduras, to see what is to be poor in America?

  • frank1569

    Fact: Modern Capitalism relies on perpetual mass over-consumption of goods and services.

    Fact: The Age of Perpetual Over-Consumption is ending. For the first time in our history, the majority of us have more than enough energy, water, food, clothing, shelter, and stuff. So much so, the majority of us are fat/obese, both physically and materialistically. We couldn’t consume more even if we wanted to, and more and more of us simple don’t want to anymore, because the constant pursuit of more stuff is as meaningless as it is inevitably unsatisfying.

    Plus, whether we admit it or not, we know Earth’s resources aren’t infinite and also that our over-consumption is causing catastrophic planetary alterations.

    No society can survive when the entire population is competing for the same limited number of pie slices – especially when a tiny percentage of said population already owns and/or controls seven of the eight pie slices.

    Either we figure out a way to share the pie slices and pursue a happiness not focused on personally accumulating more for more’s sake, or we’re all doomed.

    • tis wise to glam and vamp…..

      I give you the glam and vamp seal of approval on this one, I couldn’t agree with you more…..

  • JAH666

    “According to the World Bank, U.S. GDP accounted for 31.8 percent of all global economic activity in 2001. That number dropped to 21.6 percent in 2011. That is not just a decline – that is a nightmarish freefall.”

    A ten percent decline as a total of global economic activity in ten years! Once ANY nation begins a decline in GDP of that speed, with relation to world economic activity, there is no stopping it because the fundamentals that control the dynamics underlying such change are shattered beyond repair.
    Charles Hugh Smith wrote another nice summation of this recently. His article contends that due to the corruption and destruction of the fundamentals of capitalism during the last hundred years that we are now in the “terminal phase” of the current global financial/economic model. Michaels’ word freefall is therefore very apt. Prepare and be vigilant.

  • Wally

    It is amazing to me the lack of concern or even the hint of caring among most of the people in this country. I talk to people at church and they are clueless as to what is coming. I try to warn and I am being seen as an extremist out of touch with reality. There will be so many who are unprepared when the bubble finally bursts that most cities will turn into war zones as people turn against each other. The military has been doing ops in every major city. They are preparing for Marshall Law or even more extreme measures. Make plans now before you are blindsided.

    • hillbillyhustle

      I think most people have to come to their on conclusions on their own terms. honestly if you told me what you just wrote i would think your an extremist too. For the people i care about….I drop little hints about things in our economy. for example…my mom said the cost of bread went up then I would say something like,” The Fed said the inflation rate did not include commodities” and I would leave it at that. You have to plant a seed to see something grow. hope that helps.

    • jsmith

      Don’t feel bad Wally, my family also thinks I’m a chicken little that reads too many conspiracy and doomsday articles! Just worry about yourself and your family and buy silver and gold. A good analogy is that nobody paid attention to Noah. Not that I believe in the Noah of the bible. You know what I mean!

  • The chance to begin fixing the spending problem was missed last November. Obama’s return solidifies America’s demise.

  • “There has been class warfare going on,” Buffett, 81, said in a Sept. 30 interview with Charlie Rose on PBS. It’s just that my class is winning. And my class isn’t just winning, I mean we’re killing them.”

    “While the poor and middle class fight for us in Afghanistan, and while most Americans struggle to make ends meet, we mega-rich continue to get our extraordinary tax breaks,” Buffett wrote in a Sunday New York Times Op-ed.

    “One reason companies are so profitable is that they’re paying employees less than they ever have as a share of GDP. And that, in turn, is one reason the economy is so weak: Those “wages” are other companies’ revenue.

    In short, our current system and philosophy is creating a country of a few million overlords and 300+ million serfs.” Blodget

    • 2Gary2

      Tax the rich hard and spread the wealth

  • “If you want to see the economic collapse, just open up your eyes and look around you.” – who wants to see it really???

  • uhf

    Could this be “Show This to Anyone _Who_ Believes…” It just comes off better when we refer to people as people and use the personal pronoun… Okay, scolding over for the day, but consider, perhaps the more gracious way….

  • JIM

    Removing of guns,……Obamma Care ,pushing for the RFID chip be injected into us,…Yes they are google it, or look at the videos on you tube ,Bible calls it Mark of the Beast, If not familliar with the bible its time to get familliar.Also I believe The bible talks about this mark and a common world currency coming into effect soon before or at the end of days

    Everything seems to be coming true as stated in the bible

  • BillybonesIII

    Too may words! People are fed up with long discourses on any subject.
    The orchestra played on as the Titannic sank!

    • MichaelfromTheEconomicCollapse

      I will try to make my articles a little shorter. I got carried away with this one. 🙂


  • Beth

    woah, you should see this article on yahoo about the deficit….there is a poll at the end, an interactive one, and 78% have voted that SS is CRUCIAL to their retirement. It really makes me sad and fearful for those who will be so dependant upon this system in 2030; where it is projected that—around 50%–of our population will be needing and eligible for SS. Ironically, doing research for a Sociology assignment was how I found this blog–an article from Michael had some really good stats on such.

    • 2Gary2

      becausethe scum corporate sold the stupid public on the 401k as opposed to the defined benefit plans.

      • Beth

        we are somewhat avid gardeners, have a 4 year old mini orchard going, and planning a couple more trees (nut, fruit) this Spring. I told my husband last night I have more faith in our orchard than in SS!

  • Rose Garden

    That graph reminds me of the global warming hockey stick except this one is not a fraud.

  • Oh my, are you saying the Pelosi and our Dear Leader are wrong? Say it isn’t so, please.

  • Conan

    Rejoice in the Lord always and again I say rejoice!

  • Wake up LIVs

    It is that low information voter (LIV) that everyone talks about who just believes what little information is told to them. They voted for the free health care, well at least they thought it would be free. The train wreck is happening all around them and all they can tell you is what happened on last night’s reality show.

  • __

    having received 45 “^”‘s, I am the clear statesman for this truly excellent blog. they don’t call me underscore, underscore for nutin’

  • 2Gary2

    I’ve said it before and I’ll keep on saying it: anyone who isn’t part of
    the 1% yet chooses to vote for a republican/teabagger politician is a
    fool. End of story.

    • __

      you are obviously a piece of communist garbage. BYE

      • 2Gary2

        I am thankful for your feedback. Everyone needs to read it and they will understand exactly why us progressives will keep on winning elections as the low information call everything you do not understand a communist republicans are untethered to reality.

        • __

          you understand communism as you are one, lmao at trash like you

          • 2Gary2

            you keep making my point. thanks. PS did you take the confederate flag off the back of your government scooter?

        • __

          you actually believe in obama, lolololololololol

  • Mark

    A few weeks ago it was reported that GDP contracted by 0.1% last quarter, a few days later the dow hit 14,000 which is back in 2007. There is a definite disconnect, do I need to say more?

  • tony

    i will bless the nation that bless my people, you will dive down because of you are now treating these people.

  • AS55423

    The economic collapse is here but the sheeple won’t get pissed about it until their TV goes black and their local McDonald’s is up in flames.

  • 2Gary2

    More free market capitalism rip-off:

    In recent years, the federal government has privatized an enormous portion
    of public projects to government contractors. Over the past decade, the
    federal government’s staffing has held steady, while the number of
    federal contractors has increased by millions.
    This outsourcing has resulted in much higher costs for the government
    than would be incurred by simply doing the work in-house. On average,
    contractors are paid nearly double what a comparable federal employee would receive for the same job, according to the Project On Government Oversight.

    We need to start to De-privatize Government Contract Work.

  • 2Gary2

    businesses do this all the time. Again I said a co-worker was doing this not me.

  • 2Gary2

    I do not think my co-worker thinks he is any less of a man and looses no sleep about stiffing the banks who stiff us all the time.

  • We are screwed.

  • 2Gary2

    The problem with moving from CA to Texas to avoid higher taxes is that you end up living in Texas, not CA.

    Any rich person who would move to Texas … the ugly, contaminated,
    third world s..thole of the nation just to save a few bucks deserves to
    have the dumbest governor, the worst schools (creationism anyone?), the
    most ignorant populace and the complete absence of any regard for the
    environment. Bye bye, and close the door on your way out!

    • __

      you are clearly a racist. BYE

    • fedupMan

      You have the perfect right to stay in CA and pay all those high taxes.
      BUT methinks you are a loafer who loves all the free goodies someone else is paying for.

      • 2Gary2

        I do not live in either. My mother lives in southern Ca and this is her thoughts.

    • __

      please commit suicide today

  • Jaded

    I appreciate your posts and the quotes you include. Thanks

  • __

    gary is a low information commie

  • MLC

    Michael……..I get the sneaky feeling that you are also 2Gary2……..this way you can really get the conversation going…….
    Love your site and keep prepping

  • It seems to me that you are right, provided that the law continues to recognize the legitimacy of the debt. On the other hand, there are reasons for thinking that the debt isn’t legitimate and that a judge should declare it void.

    For one thing, most debt in the United States is the direct result of a usury scam run by the Federal Reserve since 1914. The US Supreme Court “could” recognize that the dollar-debt is a scam and that the Fed banksters are racketeers who should not profit by their evil schemes. I see no more reason for why a court could not nullify the public debt of the United States than exists for any other debt.

    Beyond that, what is a debt if there is no one alive to collect on it? Surely a few dead bankers (and their heirs, if they don’t get the hint) is better than many generations of Americans at a starvation level of poverty. Perhaps shooting our way out of debt is what we should do.

  • 2Gary2

    Michael–until the corporate welfare is eliminated you should not even discuss welfare for the poor as it is so small in compassion:

    The phenomenon of corporate welfare — that is, the hundreds of billions
    of dollars regularly doled out to just about every large, profitable
    company in the United States — should have been challenged by the conservatives. There are hundreds of programs in existence that directly or
    indirectly provide billions of dollars of taxpayer money to
    corporations. One might expect that a serious public discussion about
    curtailing excess “welfare spending” would focus on cutting these
    enormous handouts to rich corporations, not the small-by-comparison
    safety net for the poor. Yet somehow, many purveyors of the
    “stand-on-your-own-two-feet responsibility” ideology do not apply the
    same standard to corporations on the dole. Tea publicans and conservatives are such scum hypocrites.

    Take these scum corporations off the dole and make them pay their fair share.

    • __

      sure punkpussy, you know everything, LMAO

    • “Tea publicans” .. “conservatives” are scum hypocrites. You allowing them to use you as a :”labelist” .(see I can make up labels too).
      The Democrats aren’t protecting anyone either. The far left progressive labels can be used to show how continued taxes and bailouts to banks and corporations (corporate welfare) as well.

      They both suck, with the exception of a few on each side who aren’t bought and paid for. What’s really destroying America, is these divisive diversions to distract everyone. If they can divvy us all up, as a people, into battling factions, they will continue to plunder and tax/spend this nation into total ruin.

  • Mondobeyondo

    As Ronald Reagan famously said… “It’s mourning in America”…

  • Mondobeyondo

    Anyone who really believes things are getting better is either severely delusional, has overdosed on Prozac, or is madly in love with Diane Sawyer.
    Sure, for a few lucky people out there, things are turning around. The Dow is rising (which is a false illusion). But for the vast majority of us, things out there are NOT getting better, in spite of the happy talk. I see it every day. I LIVE it every day.
    I’m going to do a version of the drinking game during the State of the Union speech tonight. Every time I hear President Obama say one of these three phrases —
    — “The economy is improving!”
    — “Americans are going back to work!”
    — “The recession is over!”
    — I’m going to have a shot. Heck, why not half the bottle?!

    • K

      Mondo, let me tell you the method I use. when someone tells me everything is getting better, in person. I ask them if everything is so bright 1 Why does DHS order, now over 1.6 billion bullets in a year? 2..Why does DHS keep ordering full military level weapons, ( latest order 700 A4 carbines) for self defense purposes? 3.Why does DHS need drones for use over American soil, that can be armed? 4.Why in America can you now be identified as a terrorist, and be target to be killed. No due process. If after that the person wants to know more, bring them up to date. If you get the usual deer in the headlights look, walk away, it is just not worth the aggravation.

  • Strangewalk

    The biggest winners in the shameful, unprecedented in world history outsourcing debacle have been US corporate executives whose wealth has increased exponentially. But In fact there are many other Americans who feel really good about shifting US jobs to China. They think the American middle class has had it too good for too long, and the mostly heretofore poverty-stricken peoples of China and other third world countries are being helped by our sacrifices. Fortunately (for them), these compassionate few Americans are comfortably insulated from sharing in that sacrifice. They also don’t realize that most of the third world countries the US has outsourced its wealth to are governed by corrupt kleptocracies whose elites have siphoned off most of the benefits and do not possess the will, competence or integrity to work for a broad-based rise in living standards themselves. Unfortunately (also for them), the loss of America’s industrial base which has transformed the US into a debt-riddled basket case in rapid decline means that when the final fall does come, the same compassionate few will fall farthest of all.

  • Anne

    I just wonder why American people still accept the existence of Fed Reserve? Why no one stands up to overturn that agency.

    • Cause the Fed and Congress are a team of crooks, printing money with out taxes to pay for their spending. The Fed gets the interest and the Congressmen get the power from giving away money for projects (yes, wars are projects too) The same banksters own, yes own, the media… Reuters and AP outright. They tell you what they want to lead you down the primrose path. So who is going to overturn this totally controlled corrupt scam?

      • Humans are the true collateral for a fiat monetary system. It’s the only chattel they have to collateralize debt.

  • Darin

    ….”It is the largest debt in the history of the world, and it has gotten more than 23 times larger since Jimmy Carter first entered the White House.”
    I’m curious as to why Carter was mentioned here. Looking at your chart just below this statement it is overwhelmingly clear that the debt didn’t really take off until Reagan became President.
    I guess mentioning Carter, then Obama kinda makes it seem this is a Democrat problem, huh? Your chart illustrates that the debt nearly flatlined under Clinton, then skyrocketed under Bush.

  • Lops

    What does the Federal Reserve, every war that has transpired since its creation and Jesus have in common?

    Hint: A group of people who have been hated since history’s beginnings. Ever wonder why that’s been?

    Did you know that it is a sin to lend money at interest? Also known as Usury. And who pushes Usury?

    Look up who sponsored the Federal Reserve, and every key figure who promoted decadence and debt in the United States. They all have one thing in common.

    It’s time to wake up and learn what the Germans knew in the 1930’s, before we waged total war to bring them back under the NWO’s heel. We CAN rebuild and prevent it from happening again.

  • greg

    well i would like to thank you very much for the very informative article that contains some very staggering realities…i will pass it on to some of the flocks of sheeple…it wont be easy as you know the matrix is powerful even to the so called educated self deceiving mass…baaaaaaaaaaaaa

  • bwoboe1

    Apple made $41,000,000,000 in net income for FY2012. If 20% of corporate net income was mandated to be paid to employees, each employee would get a 2012 bonus of over $248,000.00. Apple would have $33,000,000,000 in net income left over after the bonus payout. For 2012 -just 1 year. Billions are being kept by corporations off the backs of worker productivity.

  • Ayn Rand

    Michael, it appears that when you are angry, your writing skills become even better. I am always amazed at the great facts you have and how well written these things are. Thanks for the info on the economy. I trust this site far more than the news…

  • Time for a debt jubilee.

  • Also the FDIC is insuring banks that are involved in very risky derivatives. The potential loss is well over 60 trillion dollars. I see that as the biggest and most immediate threat.

  • royals85

    The vast majority of people are not going to ever realize the economic situation is dire until a collapse happens. There will be a major war prior to any collapse and people other than our FedGov are going to be blamed.
    The way out of our current economic situation is to get rid of as many of the elderly as possible and war will accomplish this goal.
    Get ready for a wild ride in 2013.

  • editec

    Do you believe that the dollar is fiat? If so then guess what? So too is the freaking debt that’s measured in fiat dollars.

  • Williep24

    I predict nothing will be done about any of these things.

  • Williep24

    Our wealth didn’t disappear. It went into someone elses pocket.

  • danh

    You are right that there is going to be collapse, but you are very wrong on one of your arguments.

    Both parties benefit from free trade, nobody’s job was lost, had the buyer been forced to purchase from an American seller, he would have simply lost money and not been able to buy as much.

    You should focus on improving American productivity and getting the crippling parasitic government out of the way – not attacking the mutually beneficial exchange of goods with your neighbors.

  • Chris

    Good article. Very sobering stuff…

  • GroverMax

    Past the point of partisan bickering, Time to focus on your own, micro vs macro, economy! Starting your own business on the internet and leverag social commerce it’s a great way to fund your prepping needs and securing your own finances. Big Gov isn’t going to be there when you really need them. I won’t post a link to any specific opportunity, but look for ones that allow you to earn from multiple countries and diversify your earnings… to offset problems that may arise in the one you live. Just say’n…

  • disqus_n3PE1LWaYs

    Thinking that “The Hunger Games” may become a reality in the near future. We as a nation haven’t been a democracy for decades. We are a textbook definition of a banana republic. The oligarchy is giving way to tyranny. Become educated about what is really going on. Stop watching Faux News! The real estate market is booming! Really? Unemployment is down! Really? Smoke and mirrors people. The masses believe any propaganda spoon fed to them. The majority are lazy, obese, debt slaves that have no minds of their own. And those of us that actually research and understand what is really going on are all unpatriotic conspiracy theorists. The blame is on many, but the intelligence to analyze the truth is lacking in our society. Things are only going to get worse from here.

    • We were never intended to be a democracy. A democracy is “two wolves and a sheep, deciding on what to have for dinner”.
      We are “a constitutional republic if we can keep it”
      We are in the throes of losing it. Time is short, people need to wake up.

  • aj876

    krugman is a failure. Peter Schiff is not.

  • AirDragon500

    I think, if the sequestor lasts long enough, the price of fuel will come down and limited products will be cheaper….unless THEY get the bright idea to ignite WWIII

  • SoulFire77

    What a poorly written article! Repeating the same question over and over again (followed by statistics obviously copied and pasted from other sources) is a smart-ass and childish approach. The person who gave you your journalism degree (if you even have one) deserves a good, hard slap.

    • Never mind criticizing his writing style. What he’s saying is true. You just don’t like the reality of it. It makes you feel bad so you’re resorting to killing the messenger.

  • I like reading your article but there needs to be some proof reading done.

  • Joel Wood

    Too many FACTS for liberals….

  • Guest

    These numbers are terrible, to be sure. But here’s the problem….Give me a solution and stop painting this terrible bleak picture (all the while making money on doomsday gear and gold traders).

  • For over 40 years, I have been a conservative. My viewpoint in college was conservative. I remember a great economics teacher (back when you could still find one who was conservative) explaining to me the difference in the mindset of a liberal versus a conservative, when it came to economics – our ending agreement was the ‘tax-and-spend’ ideology was insane, because you’d never run your own house like that, if you were responsible.

    However, it has recently come to my extensive age and awareness, that we-conservatives have been wrong about something. We will NEVER be able to see the collapse coming, and here’s why: It’s play money to start with. Mayer Rothschild was correct, when he said ‘give me control of a nation’s money, and I care not who makes the laws’. So, too, are the engrained words of our final economic fate. One that few of us can actually see. I think I do, now.

    Were we dealing with debt promised, based on gold, assets, etc., then all the great concern about pending doom, imminent collapse, all that would be accurate – but ask yourself, what is our ‘money’ really based upon? If my money is based upon nothing but my ‘word’, and is not tied to any asset class at all, then what do I risk by making more of it, printing more of it, or being indebted by more of it? The answer is simple, and is the root of Tim Geitner’s famous request last year – to take us off the ‘House Budgeting Process’. He said ‘debts’ were antiquated and weren’t needed – to which proves, they know we have toy money that isn’t real, and are now trying to swing us over to $100, $200, $500-Trillion National Debts. Why? Because we can then spend what we want to, without actual burden to pay our way. This is the final end-game of the NWO, the Government, and the Mega-Bankers. They have the real money, the gold, the silver, the platinum – and you will never see it again, ever! They have title to the land, they have taxes on property – they have ALL WORLD OWNERSHIP, and we gave it to them in less than 100-years. We now play with their toy money – up until that minute when they say ‘it has all crashed, the money is worthless now!’ Oh, my, what will we all do.

    Ask yourself the one question – where will you be standing, when they declare the play money worthless? It is coming, and I assure you, you will never get a warning, even though they have the plan already.

    • By the way, if you think it won’t go down exactly like they want it to, just ask yourself this – if you are sitting at home, starving, and watching your family starve – and they came to you and offered you a black uniform to act as their ‘new gestapo’, even if that meant firing on your own countrymen, yet they would also give you room, board and food for you and your family – would you not take that job to keep your family safe, fed, and alive? There are millions that would – and that is exactly what they are counting on to continue providing them troops to prevent another ‘civil uprising’ from ever coming to America, or the world. They do own us – you just aren’t important enough for them to personally notify you of your bought-and-paid-for deed.

      Now, do you see how this will never change, but for the worse, and how it was always destined to end like this – since the creation of the Fed? We were warned by both Thomas Jefferson and Andrew Jackson, to never EVER let the bankers take away our Treasury – and yet we gave it to them in 1913, without a fight.

  • arminw

    For every debtor they must be a creditor. Who are all these creditors we owe all this money to? What will happen in the end is simply this: all of the debtors will collectively tell all the creditors to go and stuff their debt where the sun doesn’t shine. God instituted this resetting of all debt in Israel every 49 years to prevent a catastrophic economic collapse. We don’t have such a controlled demolition of debt and therefore it will be an uncontrolled collapse which will indeed have dire consequences. In the end though all debt will be reset and we will have a one world government with a one world economic system arising out of the ashes of the present national economies.

  • arminw

    How about corporate welfare, such as too big to fail? Corporate welfare, including subsidizing huge factory farms and other rich corporations costs way more.

  • jaskamiin

    I think the jews would have said “everything is just fine” before kristallnacht

  • Lor

    Thank you for writing this article and ‘The economic collapse Rissia and China :The Petro dollar” Very informative. You’re a great writer! Honestly.

  • Andrew Push

    yeah, umm… this guy knows nothing about economics. Do actual research and how an economy works.

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