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Why The Earthquake Near San Francisco Is Just The Start Of The Shaking In California

Tectonic Plates - WikipediaIf you thought that the earthquake that struck northern California on Sunday was something, just wait until you see what is coming in the years ahead.  As you will read about below, we live at a time when earthquake activity is dramatically increasing.  This is especially true of the “Ring of Fire” which runs roughly along the outer perimeter of the Pacific Ocean.  Approximately 81 percent of all big earthquakes occur along the Ring of Fire, and the entire west coast of the United States falls within the danger zone.  Over the past few years, we have seen huge earthquake after huge earthquake strike various areas along the Ring of Fire, but up until now the California coastline has mostly been spared.  However, there are indications that this may be about to change in a big way.

Early on Sunday, a 6.1 magnitude earthquake struck the heart of wine country.  It was the largest earthquake to hit northern California in 25 years.  More than 120 people were injured, scores of buildings were damaged and Governor Jerry Brown declared a state of emergency.

It is being projected that the economic loss from this earthquake will exceed a billion dollars.  Since the initial quake, there have been more than 60 aftershocks, and residents are very much hoping that the worst is over.  The following is how the damage caused by the earthquake was described by CNN

“Everything and everyone in Napa was affected by the quake. My house, along with everybody else’s, is a disaster. It looks like somebody broke in and ravaged the place, room by room.” said CNN iReporter Malissa Koven, who was awakened by the shaking at about 3:20 a.m.

“Anything and everything that could fall, did,” she said.

The damage in Napa is “fairly significant,” said Glenn Pomeroy, the CEO of the California Earthquake Authority, who surveyed the area Sunday afternoon.

“The downtown area is hardest hit, probably because of the age of construction down there,” Pomeroy said. In the residential areas, he is “seeing a lot of chimneys that’ve come crashing down.”

That sounds pretty bad, right?

But remember, this was only a 6.1 magnitude earthquake.  As Wikipedia explains, a 7.0 magnitude earthquake would be many times more powerful…

The Richter magnitude scale (also Richter scale) assigns a magnitude number to quantify the energy released by an earthquake. The Richter scale is a base-10 logarithmic scale, which defines magnitude as the logarithm of the ratio of the amplitude of the seismic waves to an arbitrary, minor amplitude.

As measured with a seismometer, an earthquake that registers 5.0 on the Richter scale has a shaking amplitude 10 times greater than that of an earthquake that registered 4.0, and thus corresponds to a release of energy 31.6 times greater than that released by the lesser earthquake.

And the earthquake that happened on Sunday would not even be worth comparing to an 8.0 or a 9.0 quake.  In fact, one study concluded that a 9.0 magnitude earthquake along the Cascadia fault could potentially produce a giant tsunami that would “wash away coastal towns”…

If a 9.0 earthquake were to strike along California’s sparsely populated North Coast, it would have a catastrophic ripple effect.

A giant tsunami created by the quake would wash away coastal towns, destroy U.S. 101 and cause $70 billion in damage over a large swath of the Pacific coast. More than 100 bridges would be lost, power lines toppled and coastal towns isolated. Residents would have as few as 15 minutes notice to flee to higher ground, and as many as 10,000 would perish.

Scientists last year published this grim scenario for a massive rupture along the Cascadia fault system, which runs 700 miles off shore from Northern California to Vancouver Island.

And when we think about “the Big One” hitting California, most of the time we think about southern California.  The most famous fault line in southern California is the San Andreas fault, but the truth is that many experts are far more concerned about the Puente Hills fault line.  According to one seismologist, that is the fault that would be most likely to “eat L.A.” and cause hundreds of billions of dollars in economic damage…

Video simulations of a rupture on the Puente Hills fault system show how energy from a quake could erupt and be funneled toward L.A.’s densest neighborhoods, with the strongest waves rippling to the west and south across the Los Angeles Basin.

According to estimates by the USGS and Southern California Earthquake Center, a massive quake on the Puente Hills fault could kill from 3,000 to 18,000 people and cause up to $250 billion in damage. Under this worst-case scenario, people in as many as three-quarters of a million households would be left homeless.

So don’t get too excited about what happened on Sunday.  Scientists assure us that it is only a matter of time before “the Big One” hits California.

In fact, the 6.1 magnitude earthquake that hit northern California on Sunday was not even the largest earthquake along the Ring of Fire this weekend.  According to the U.S. Geological Survey, a 6.4 magnitude earthquake shook the area around Valparaiso, Chile on Saturday and a 6.9 magnitude earthquake struck Peru on Sunday.

As I mentioned above, we have moved into a time when seismic activity is steadily rising.  It has gotten to the point where even the mainstream media cannot ignore it anymore.  For example, just check out the following excerpt from a recent CBS News report…

The average rate of big earthquakes — those larger than magnitude 7 — has been 10 per year since 1979, the study reports. That rate rose to 12.5 per year starting in 1992, and then jumped to 16.7 per year starting in 2010 — a 65 percent increase compared to the rate since 1979. This increase accelerated in the first three months of 2014 to more than double the average since 1979, the researchers report.

Something is happening that scientists don’t understand, and that is a little scary.

As I wrote about the other day, earthquake activity seems to particularly be increasing in the United States.  While the west has been relatively quiet, the number of earthquakes in the central and eastern portions of the nation has quintupled over the past 30 years…

According to the USGS, the frequency of earthquakes in the central and eastern U.S. has quintupled, to an average of 100 a year during the 2011-2013 period, up from only 20 per year during the 30-year period to 2000.

Most of these quakes were minor, but research published by the USGS earlier this year demonstrated that a relatively minor magnitude 5.0 quake caused by wastewater injection after conventional oil drilling triggered a much bigger, 5.7 magnitude quake in Prague, Okla.

“We know the hazard has increased for small and moderate size earthquakes. We don’t know as well how much the hazard has increased for large earthquakes. Our suspicion is it has but we are working on understanding this,” said William Ellsworth, a scientist with the USGS.

What in the world could be causing this to happen?

Oklahoma, which used to rarely ever have significant earthquakes, has experienced over 2,300 earthquakes so far in 2014.

That is absolutely staggering.

And of course volcanic activity has been rising all over the planet as well.  In 2013, the number of eruptions around the globe set a new all-time high, and right now persistent rumbling under Iceland’s Bardarbunga volcano has much of Europe on alert

For more than a week the earth has been rumbling beneath Iceland’s looming Bardarbunga volcano. The almost continuous small earthquakes led the government to activate its National Crisis Coordination Centre this week and block off access to the largely uninhabited region around the Bardarbunga caldera.

Major airlines are making contingency plans for a potential eruption that could throw dust into the atmosphere and disrupt flight paths between North America and Europe.

Some scientists are saying that if that volcano erupts, it “could trigger Britain’s coldest winter ever“.

Clearly something is happening.

All over the world seismic activity is on the rise.

That means that the shaking in California (and in much of the rest of the world) may soon get a whole lot worse.

So what do you think is causing all of this?  Please share what you think by posting a comment below…

12 Signs That Something Big Is Happening To The Earth’s Crust Under North And South America

Earthquake Damage - Cracks In The Earth - Photo by Martin LuffWhy are fault lines and volcanoes all over North and South America suddenly waking up?  Are we moving into a time when major earthquakes and volcanic eruptions will become much more common?  For the past several decades, we have been extremely fortunate to have experienced a period of extremely low seismic activity along the west coast of the United States.  You see, the west coast lies right along the infamous Ring of Fire.  Approximately 75 percent of all the volcanoes in the world are on the Ring of Fire, and approximately 90 percent of all global earthquakes occur along the Ring of Fire.  Scientists tell us that it is inevitable that “the Big One” will hit California someday, but people have gotten very apathetic about this because things have been so quiet out there for so many years.  Well, now it appears that things are changing in a big way – and not just along the California coast.  The following are 12 signs that something big is happening to the earth’s crust under North and South America…

#1 The 5.1 earthquake that shook Los Angeles on Friday was the worst earthquake that the city had seen in many years.

#2 Following that earthquake, there were more than 100 aftershocks.

#3 A 4.1 earthquake shook Los Angeles on Saturday.  Scientists are hoping that this earthquake swarm in southern California will end soon.

#4 Earlier this month, a 4.4 earthquake rattled Los Angeles so badly that it caused news anchors to dive under their desks.

#5 A 6.9 earthquake just off the coast of northern California in early March was the largest earthquake to hit the west coast of the United States since 2010.

#6 Up in Oregon, Mt. Hood recently experienced more than 100 earthquakes over the course of just a few days.

#7 During the past month, there have also been some other very unusual geologic events that have been happening up in Oregon

  • Two large landslides – one in the Columbia River Gorge dumped about 2,000 cubic yards of rock and debris on highway I84 just 3 miles west of the Hood River, and another blocked US30 near Portland.
  • Loud booms and ground shaking reported by people from Lincoln to Tillamook Counties; some reported hearing a rumble, as well (No earthquakes recorded by the USGS in the area at the time.)
  • A 20 ft. deep sinkhole swallowed a woman and her dog in her Portland backyard.

#8 A 4.8 earthquake rattled Yellowstone National Park on Sunday, and there have been at least 25 earthquakes at Yellowstone since Thursday.

#9 Scientists recently discovered that the Yellowstone supervolcano is now releasing far more helium gas than they had anticipated.

#10 Over the past month, there have been more than 130 earthquakes in the state of Oklahoma.  This is highly unusual.

#11 There have been several dozen earthquakes in Peru over the past month, including a 6.3 earthquake that made headlines all over the globe.

#12 Earlier this month, the northern coast of Chile was hit by more than 300 earthquakes in a seven day stretch.  41 of those earthquakes were stronger than magnitude 4.5.

Fortunately, the quake that hit Los Angeles on Friday did not cause too much lasting injury.  But it sure did shake people up.  The following is how the Los Angeles Times described the damage…

The quake, centered near La Habra, caused furniture to tumble, pictures to fall off walls and glass to break. Merchandise fell off store shelves, and there were reports of plate glass windows shattered.

In Brea, several people suffered minor injuries during a rock slide that overturned their car. Fullerton reported seven water main breaks. Carbon Canyon Road was closed.

Residents across Orange and Los Angeles counties and the Inland Empire reported swinging chandeliers, fireplaces dislodging from walls and lots of rattled nerves. The shake caused a rock slide in Carbon Canyon, causing a car to overturn, according to the Brea Police Department.

Why this particular earthquake is of such concern is because it occurred along the Puente Hills fault line.  According to one seismologist, this is the fault line that would be most likely to “eat L.A.”

Experts said that the earthquakes occurred on the Puente Hills thrust fault, which stretches from the San Gabriel Valley to downtown Los Angeles.

Last night’s quake was shallow, which ‘means the shaking is very concentrated in a small area,’ said Caltech seismologist Egill Hauksson.

Hauksson revealed that the earthquake was unusual because the 5.1 quake was preceded by the weaker foreshock.

Scientists such as Hauksson are very concerned about the Puente Hills fault because it runs directly under downtown Los Angeles.

This is the fault that could eat L.A.,’ seismologist Sue Hough told The LA Times in 2003.

The fact that this fault appears to be waking up is really bad news.

According to seismologists, a major earthquake along this fault line could cause hundreds of billions of dollars of damage

Video simulations of a rupture on the Puente Hills fault system show how energy from a quake could erupt and be funneled toward L.A.’s densest neighborhoods, with the strongest waves rippling to the west and south across the Los Angeles Basin.

According to estimates by the USGS and Southern California Earthquake Center, a massive quake on the Puente Hills fault could kill from 3,000 to 18,000 people and cause up to $250 billion in damage. Under this worst-case scenario, people in as many as three-quarters of a million households would be left homeless.

For years, we have watched as the rest of the Ring of Fire has been absolutely ravaged by major seismic events.

We all remember the earthquakes that caused the Indonesian tsunami of 2004 and the Japanese tsunami of 2011.

And the world mourned when major earthquakes devastated New Zealand, Chile, Peru, Japan and the Philippines.

Scientists assured us that it was only a matter of time before the west coast started to become seismically active again, and now it is happening.

If you live on the west coast, I hope that you will consider these things very carefully.

Just because the earth under your feet has been relatively quiet for a very long time does not mean that it will always be that way.

Something big appears to be happening to the earth’s crust, and you won’t want to be in the “danger zone” when things finally break loose.

31 Percent Of All Food In America Is Wasted – And Why That Is About To End

Burger And Fries - Photo by Ewan MunroAccording to a stunning new report from the U.S. Department of Agriculture, nearly a third of all food produced in the United States gets wasted.  We are probably the most wasteful society in the history of the planet, and we are also one of the most gluttonous.  More than 35 percent of all Americans are considered to be officially “obese” by the Centers for Disease Control and Prevention.  Unfortunately, this era of gluttony and taking food for granted will soon be coming to an end.  Thanks to crippling drought in key growing areas and other extremely bizarre weather patterns, a massive food crisis is beginning to emerge all over the planet.  If you don’t think that this is going to affect you, then you simply are not paying attention.  Approximately half of all produce grown in the United States comes from the state of California, and right now California is suffering through the worst stretch of drought on record.  Food prices are going to start soaring, and that is going to affect the household budget of every family in America.

Needless to say, a time is coming when Americans will not waste food so recklessly.  But for the moment, we still have a tremendous amount of disrespect for the value of food.  According to the U.S. Department of Agriculture, we waste a staggering 133 billion pounds of food each year

Nearly a third of the 430 billion pounds of food produced for Americans to eat is wasted, a potential catastrophe for landfills and a wake-up call to officials scrambling to feed the hungry, according to a stunning new report from the Department of Agriculture.

The just-issued report revealed that in 2010, 31 percent, or 133 billion pounds, of food produced for Americans to eat was wasted, either molded or improperly cooked, suffered “natural shrinkage” due to moisture loss, or because people became disinterested in what they purchased.

Not that we need to stuff any more food into our mouths.  As I mentioned above, we have an epidemic of obesity in this nation.  In fact, the CDC says that 35 percent of the entire population is “obese”…

Meanwhile, according to the Centers for Disease Control and Prevention, more than one-third of US adults (35.7 percent) are obese, which is perhaps the best argument that Americans can offset a large part of the food waste problem by simply eating less. The estimated annual medical cost of obesity in the US was $147 billion in 2008; the costs of providing medical assistance for individuals who are obese were $1,429 higher than those of normal weight, thereby placing an enormous strain on healthcare costs.

Since we are such gluttons and we are so incredibly wasteful, we should have plenty of food to share with those in need, right?

Unfortunately, we are also extremely greedy and greatly lacking in compassion.

As I have written about previously, feeding the homeless has been banned in cities all over the nation, and other cities have passed regulations that greatly discourage the feeding of the homeless

Feeding the homeless is about to get harder as a new policy is set to begin this Saturday, Feb. 15, in Columbia, SC. Charities and non-profits will be required to pay a fee and obtain a permit 15 days in advance in order to feed the homeless in parks.

One impacted charity that was interviewed by the Free Times, Food Not Bombs, has been serving food to the homeless in Finlay Park every Sunday for 12 years. The group’s organizer, Judith Turnipseed, noted that the group has an impeccable track record and always tidies up after the meal. But with the new crackdown, Food Not Bombs will have to pay at least $120 per week for the right to feed the homeless.

Since the Columbia City Council approved its exile plan in August, the city has been trying to herd its homeless people to a shelter on the outskirts of town and keep them away from downtown. If charities continue to provide food in downtown parks, the thinking goes, it will allow homeless people to continue to live downtown, rather than being forced to leave.

What is wrong with us?

While we stuff our faces with more french fries and chicken wings, we have an appalling lack of compassion for those that are not able to take care of themselves.

Perhaps we deserve what is coming.

The horrible drought that never seems to end is rapidly turning much of the western half of the country into a barren wasteland.

You can see some incredible before and after photos of the drought in California right here.

If a miracle does not happen, the upcoming growing season is going to be absolutely disastrous.  As I have written about previously, California farmers have already decided to allow half a million acres of farmland to sit idle this year because of the extremely dry conditions.

And it certainly does not help that the government has decided to cut off water supplies to many of the farmers.  The following is an excerpt from a recent article by Holly Deyo

Government has lost its mind. It is no more evident than their decision last week to cut off water to America’s food basket. Squeezed by the worst-ever drought in the state’s history, California is dying of thirst. Crushing news was delivered to farmer’s that no water would be coming from the Federal government. This dreaded decision was compounded by the Sierra Mountains getting just 25% of normal snowpack. There is no water to replenish already dangerously low reservoirs, so no water for farmers.

Needless to say, there are a lot of farmers that are going to be absolutely crippled by this.  The following is from Fox News

A federal agency’s recent announcement that the California’s Central Valley will get zero percent water allocation this year was devastating for farmers already dealing with the worst drought seen in decades.

One of the world’s most productive agricultural regions, the enormous valley is reeling after the driest year in more than a century. But last week, the Department of Interior’s Bureau of Reclamation, which supplies water to a third of the irrigated farmland in California through a 500-mile network of canals and tunnel, said it won’t be able to deliver any of the water sought by farmers.

“It goes beyond devastation, you’re going to see farms that have been in business 30 and 40 years, they do not have any water, they are out of business,” said Dennis Falaschi, general manager of the Panoche Water District.

If California produces much less food than it normally does, that means that food prices are going to start skyrocketing.  Here is more from Holly Deyo

As one Millennium-Ark reader pointed out in an email last week, after the jump in beef prices, people will look to chicken, pork, fish and turkey. Chicken is already up though not as much as beef.  This will, in turn, drive up their costs and affect availability of these other meats. Keep in mind that California also produces all of these proteins plus lamb. Then consider this: Ag Specialists Warn of Higher Wheat Prices Due to Drought. It’s not just beef, weather is clobbering food from all angles.

And please keep in mind that the total size of the U.S. cattle herd has already been shrinking for seven years in a row, and that it is now the smallest that it has been since 1951.

But back in 1951, the size of the U.S. population was less than half of what it is today.

For much more on the emerging food crisis, please see this video.

Let us certainly hope and pray that the drought in California ends soon and that things get back to normal.

But I wouldn’t count on that.

According to National Geographic, the scientific experts that have studied these things tell us that it has been quite common throughout history for that region of North America to suffer through extended droughts that last for a decade or more.

One drought even lasted for about 200 years.

So the current drought in California might end next year.

Or it might last for the rest of our lifetimes.

We simply do not know.

But what does seem clear is that the days of taking our food for granted will soon be coming to an end.

In-N-Out_triple_cheeseburger_fries -  Photo by Christian Razukas

15 Reasons Why Your Food Bill Is Going To Start SOARING

U.S. Drought Monitor California February 11 2014Did you know that the U.S. state that produces the most vegetables is going through the worst drought it has ever experienced and that the size of the total U.S. cattle herd is now the smallest that it has been since 1951?  Just the other day, a CBS News article boldly declared that “food prices soar as incomes stand still“, but the truth is that this is only just the beginning.  If the drought that has been devastating farmers and ranchers out west continues, we are going to see prices for meat, fruits and vegetables soar into the stratosphere.  Already, the federal government has declared portions of 11 states to be “disaster areas”, and California farmers are going to leave half a million acres sitting idle this year because of the extremely dry conditions.  Sadly, experts are telling us that things are probably going to get worse before they get better (if they ever do).  As you will read about below, one expert recently told National Geographic that throughout history it has been quite common for that region of North America to experience severe droughts that last for decades.  In fact, one drought actually lasted for about 200 years.  So there is the possibility that the drought that has begun in the state of California may not end during your entire lifetime.

This drought has gotten so bad that it is starting to get national attention.  Barack Obama visited the Fresno region on Friday, and he declared that “this is going to be a very challenging situation this year, and frankly, the trend lines are such where it’s going to be a challenging situation for some time to come.”

According to NBC News, businesses across the region are shutting down, large numbers of workers are leaving to search for other work, and things are already so bad that it “calls to mind the Dust Bowl of the 1930s“…

In the state’s Central Valley — where nearly 40 percent of all jobs are tied to agriculture production and related processing — the pain has already trickled down. Businesses across a wide swath of the region have shuttered, casting countless workers adrift in a downturn that calls to mind the Dust Bowl of the 1930s.

If you will recall, there have been warnings that Dust Bowl conditions were going to return to the western half of the country for quite some time.

Now the mainstream media is finally starting to catch up.

And of course these extremely dry conditions are going to severely affect food prices.  The following are 15 reasons why your food bill is going to start soaring…

#1 2013 was the driest year on record for the state of California, and 2014 has been exceptionally dry so far as well.

#2 According to the U.S. Drought Monitor, 91.6 percent of the entire state of California is experiencing “severe to exceptional drought” even as you read this article.

#3 According to CNBC, it is being projected that California farmers are going to let half a million acres of farmland sit idle this year because of the crippling drought.

#4 Celeste Cantu, the general manager for the Santa Ana Watershed Project Authority, says that this drought could have a “cataclysmic” impact on food prices…

Given that California is one of the largest agricultural regions in the world, the effects of any drought, never mind one that could last for centuries, are huge. About 80 percent of California’s freshwater supply is used for agriculture. The cost of fruits and vegetables could soar, says Cantu. “There will be cataclysmic impacts.”

#5 Mike Wade, the executive director of the California Farm Water Coalition, recently explained which crops he believes will be hit the hardest…

Hardest hit would be such annual row crops as tomatoes, broccoli, lettuce, cantaloupes, garlic, peppers and corn. Wade said consumers can also expect higher prices and reduced selection at grocery stores, particularly for products such as almonds, raisins, walnuts and olives.

#6 As I discussed in a previous article, the rest of the nation is extremely dependent on the fruits and vegetables grown in California.  Just consider the following statistics regarding what percentage of our produce is grown in the state…

-99 percent of the artichokes

-44 percent of asparagus

-two-thirds of carrots

-half of bell peppers

-89 percent of cauliflower

-94 percent of broccoli

-95 percent of celery

-90 percent of the leaf lettuce

-83 percent of Romaine lettuce

-83 percent of fresh spinach

-a third of the fresh tomatoes

-86 percent of lemons

-90 percent of avocados

-84 percent of peaches

-88 percent of fresh strawberries

-97 percent of fresh plums

#7 Of course it isn’t just agriculture which will be affected by this drought.  Just consider this chilling statement by Tim Quinn, the executive director of the Association of California Water Agencies…

“There are places in California that if we don’t do something about it, tens of thousands of people could turn on their water faucets and nothing would come out.”

#8 The Sierra Nevada snowpack is only about 15 percent of what it normally is.  As the New York Times recently explained, this is going to be absolutely devastating for Californians when the warmer months arrive…

Experts offer dire warnings. The current drought has already eclipsed previous water crises, like the one in 1977, which a meteorologist friend, translating into language we understand as historians, likened to the “Great Depression” of droughts. Most Californians depend on the Sierra Nevada for their water supply, but the snowpack there was just 15 percent of normal in early February.

#9 The underground aquifers that so many California farmers depend upon are being drained at a staggering rate

Pumping from aquifers is so intense that the ground in parts of the valley is sinking about a foot a year. Once aquifers compress, they can never fill with water again. It’s no surprise Tom Willey wakes every morning with a lump in his throat. When we ask which farmers will survive the summer, he responds quite simply: those who dig the deepest and pump the hardest.

#10 According to an expert interviewed by National Geographic, the current drought in the state of California could potentially last for 200 years or more as some mega-droughts in the region have done in the past…

California is experiencing its worst drought since record-keeping began in the mid 19th century, and scientists say this may be just the beginning. B. Lynn Ingram, a paleoclimatologist at the University of California at Berkeley, thinks that California needs to brace itself for a megadrought—one that could last for 200 years or more.

#11 Much of the western U.S. has been exceedingly dry for an extended period of time, and this is hurting huge numbers of farmers and ranchers all the way from Texas to the west coast…

“Ranchers in the West are selling off their livestock,” Patzert said. “Farmers all over the Southwest, from Texas to Oregon, are fallowing in their fields because of a lack of water. For farmers and ranchers, this is a painful drought.”

#12 The size of the U.S. cattle herd has been shrinking for seven years in a row, and it is now the smallest that it has been since 1951.  But our population has more than doubled since then.

#13 Extremely unusual weather patterns are playing havoc with crops all over the planet right now.  The following is an excerpt from a recent article by Lizzie Bennett

Peru, Venezuela, and Bolivia have experienced rainfall heavy enough to flood fields and rot crops where they stand. Volcanic eruptions in Ecuador are also creating problems due to cattle ingesting ash with their feed leading to a slow and painful death.

Parts of Australia have been in drought for years affecting cattle and agricultural production.

Rice production in China has been affected by record low temperatures.

Large parts of the UK are underwater, and much of that water is sea water which is poisoning the soil. So wet is the UK that groundwater is so high it is actually coming out of the ground and adding to the water from rivers and the sea. With the official assessment being that groundwater flooding will continue until MAY, and that’s if it doesn’t rain again between now and then. The River Thames is 65 feet higher than normal in some areas, flooding town after town as it heads to the sea.

#14 As food prices rise, our incomes are staying about the same.  The following is from a CBS News article entitled “Food prices soar as incomes stand still“…

While the government says prices are up 6.4 percent since 2011, chicken is up 18.4 percent, ground beef is up 16.8 percent and bacon has skyrocketed up 22.8 percent, making it a holiday when it’s on sale.

#15 As I have written about previously, median household income has fallen for five years in a row.  So average Americans are going to have to make their food budgets stretch more than they ever have before as this drought drags on.

If the drought does continue to get worse, small agricultural towns all over California are going to die off.

For instance, consider what is already happening to the little town of Mendota

The farms in and around Mendota are dying of thirst. The signs are everywhere. Orchards with trees lying on their sides, as if shot. Former farm fields given over to tumbleweeds. Land and cattle for sale, cheap.

Large numbers of agricultural workers continue to hang on, hoping that somehow there will be enough work for them.  But as Evelyn Nieves recently observed, panic is starting to set in…

Off-season, by mid-February, idled workers are clearly anxious. Farmworkers and everyone else who waits out the winter for work (truckers, diesel providers, packing suppliers and the like) are nearing the end of the savings they squirrel away during the season. The season starts again in March, April at the latest, but no one knows who will get work when the season begins, or how much.

People are scared, panicked even.

I did not write this article so that you would panic.

Yes, incredibly hard times are coming.  If you will recall, the 1930s were also a time when the United States experienced extraordinarily dry weather conditions and a tremendous amount of financial turmoil.  We could very well be entering a similar time period.

Worrying about this drought is not going to change anything.  Instead of worrying, we should all be doing what we can to store some things up while food is still relatively cheap.  Our grandparents and our great-grandparents that lived during the days of the Great Depression knew the wisdom of having a well-stocked food pantry, and it would be wise to follow their examples.

Please share this article with as many people as you can.  The United States has never faced anything like this during most of our lifetimes.  We need to shake people out of their “normalcy bias” and get them to understand that big changes are coming.

U.S. Drought Monitor California February 11 2014

U.S. Cattle Herd Is At A 61 Year Low And Organic Food Shortages Are Being Reported All Over America

Drought 2014If the extreme drought in the western half of the country keeps going, the food supply problems that we are experiencing right now are only going to be the tip of the iceberg.  As you will see below, the size of the U.S. cattle herd has dropped to a 61 year low, and organic food shortages are being reported all over the nation.  Surprisingly cold weather and increasing demand for organic food have both been a factor, but the biggest threat to the U.S. food supply is the extraordinary drought which has had a relentless grip on the western half of the country.  If you check out the U.S. Drought Monitor, you can see that drought conditions currently stretch from California all the way to the heart of Texas.  In fact, the worst drought in the history of the state of California is happening right now.  And considering the fact that the rest of the nation is extremely dependent on produce grown in California and cattle raised in the western half of the U.S., this should be of great concern to all of us.

A local Fox News report that was featured on the Drudge Report entitled “Organic food shortage hits US” has gotten quite a bit of attention. The following is an excerpt from that article…

Since Christmas, cucumbers supplies from Florida have almost ground to a halt and the Mexican supply is coming but it’s just not ready yet.

And as the basic theory of economics goes, less supply drives up prices.

Take organic berries for example:

There was a strawberry shortage a couple weeks back and prices spiked.

Experts say the primary reasons for the shortages are weather and demand.

And without a doubt, demand for organic food has grown sharply in recent years.  More Americans than ever have become aware of how the modern American diet is slowly killing all of us, and they are seeking out alternatives.

Due to the tightness in supply and the increasing demand, prices for organic produce just continue to go up.  Just consider the following example

A quick check on the organic tree fruit market shows that the average price per carton for organic apples was $38 per carton in mid-January this year, up from an average of just $31 per carton last year at the same time. At least for apple marketers, the organic market is heating up.

Personally, I went to a local supermarket the other day and I started to reach for a package of organic strawberries but I stopped when I saw that they were priced at $6.99.  I couldn’t justify paying 7 bucks for one package.  I still remember getting them on sale for $2.99 last year.

Unfortunately, this may only be just the beginning of the price increases.  California Governor Jerry Brown has just declared a water emergency, and reservoirs throughout the state have dropped to dangerously low levels.

Unless a miracle happens, there is simply not going to be enough water to go around for the entire agriculture industry.  The following is an excerpt from an email from an industry insider that researcher Ray Gano recently shared on his website

Harris farms has released a statement saying they will leave about 40,000 acres fallow this year because the FEDS have decided to only deliver 10% of the water allocation for 2014. Lettuce is predicted to reach around $5.00 a head (if you can find it). Understand the farmers in the Salinas valley are considering the same action. So much for salad this summer unless you grow it yourself.

The reason why the agriculture industry in California is so important is because it literally feeds the rest of the nation.  I shared the following statistics yesterday, but they are so critical that they bear repeating.  As you can see, without the fruits and vegetables that California grows, we would be in for a world of hurt

The state produces 99 percent of the artichokes grown in the US, 44 percent of asparagus, a fifth of cabbage, two-thirds of carrots, half of bell peppers, 89 percent of cauliflower, 94 percent of broccoli, and 95 percent of celery. Leafy greens? California’s got the market cornered: 90 percent of the leaf lettuce we consume, along with and 83 percent of Romaine lettuce and 83 percent of fresh spinach, come from the big state on the left side of the map. Cali also cranks a third of total fresh tomatoes consumed in the U.S.—and 95 percent of ones destined for cans and other processing purposes.

As for fruit, I get that 86 percent of lemons and a quarter of oranges come from there; its sunny climate makes it perfect for citrus, and lemons store relatively well. Ninety percent of avocados? Fine. But 84 percent of peaches, 88 percent of fresh strawberries, and 97 percent of fresh plums?

Come on. Surely the other 49 states can do better.

Are you starting to understand how much trouble we could be in if this drought does not end?

About now I can hear some people out there saying that they will just eat meat because they don’t like vegetables anyway.

Well, unfortunately we are rapidly approaching a beef shortage as well.

On January 1st, the U.S. cattle herd hit a 61-year low of 89.3 million head of cattle.

The biggest reason for this is the 5 year drought that has absolutely crippled the cattle industry out west…

Back in the late fall 2013 there was a freak snowstorm that killed close to 300,000+ cattle. This is a major hit to the cattle market.

I know in Texas where they still have a 5 year drought they are dealing with, they are having to ship grass bails in from Colorado, Utah and other parts of the country just to feed the cattle. Ranchers are sending their female cattle to the slaughter houses becasue they can not afford to feed them anymore. It is the females that help re-stock the herd. SO if you are slaughtering your females, your herd does not grow. It is expected that the US will not see cattle herd growth returning until 2017, maybe even later.

This is a problem which is not going away any time soon.

According to the Washington Post, the U.S. cattle herd has gotten smaller for six years in a row, and the amount of beef produced is expected to drop to a 20 year low in 2014…

The U.S. cattle herd contracted for six straight years to the smallest since 1952, government data show. A record drought in 2011 destroyed pastures in Texas, the top producing state, followed the next year by a surge in feed-grain prices during the worst Midwest dry spell since the 1930s. Fewer cattle will mean production in the $85 billion beef industry drops to a 20- year low in 2014, the U.S. Department of Agriculture said.

It would be hard to overstate how devastating this ongoing drought has been for many ranchers out west.  For example, one 64-year-old rancher who lives in Texas says that his herd is 90 percent smaller than it was back in 2005 because of the drought

Texas rancher Looney, who is 64 and has been in the cattle business his whole life, said his herd is still about 90 percent below its size from 2005 because of the prolonged dry weather. It will take years for the pastures to come back, even if there is normal rainfall, he said. About 44 percent of Texas was in still in drought in the week ended Jan. 7, according to the U.S. Drought Monitor.

And it isn’t just the U.S. that is dealing with this kind of drought.  The largest freshwater lake in China that was once about twice the size of London, England has almost entirely dried up because of the ongoing drought over there.

Meanwhile, global demand for food just continues to rise.

If this drought ends and the western half of the nation starts getting lots of rain, this could just be a temporary crisis.

However, the truth is that scientific research has shown that the 20th century was the wettest century in the western half of the country in 1000 years, and that we should expect things to return to “normal” at some point.

So is that happening now?

Over the past couple of years, I have warned that Dust Bowl conditions are starting to return to the western half of the United States.  Just see this article, this article and this article.

Now the state of California is experiencing the worst drought that it has ever gone through and “apocalyptic” dust storms are being reported in Colorado and Nevada.

Just because things seem like they have always been a certain way does not mean that they will always stay that way.

Things out west are rapidly changing, and in the end it is going to affect the lives of every man, woman and child in the United States.

Society Is Crumbling Right In Front Of Our Eyes And Banning Guns Won’t Help

What in the world is happening to America?  I have written many articles about how society is crumbling right in front of our eyes, but now it is getting to the point where people are going to be afraid to go to school or go shopping at the mall.  Just consider what has happened over the past week.  Adam Lanza savagely murdered 20 children and 6 adults at Sandy Hook Elementary School in Newtown, Connecticut.  42-year-old Marcus Gurrola threatened to shoot innocent shoppers and fired off more than 50 rounds in the parking lot of Fashion Island Mall in Newport Beach, California.  After police apprehended him, he told them that he “was unhappy with life”.  Earlier in the week, a crazy man wearing a hockey mask and armed with a semi-automatic rifle opened fire on the second floor of a mall in Happy Valley, Oregon.  He killed two people and injured a third.  On Saturday morning, a lone gunman walked into a hospital in Alabama and opened fire.  He killed one police officer and two hospital employees before being gunned down by another police officer.  So have we now reached the point where every school, every mall and every hospital is going to need armed security?  How will society function efficiently if everyone is constantly worried about mass murderers?

In response to the horrible tragedy in Connecticut, many in the mainstream media are suggesting that much stricter gun laws are the obvious solution.

After all, if we get rid of all the guns these crazy people won’t be able to commit these kinds of crimes, right?

Unfortunately, that is not how it works.  The criminals don’t obey gun control laws.  Banning guns will just take them out of the hands of law-abiding American citizens that just want to protect their own families.

Adam Lanza didn’t let the strict gun control laws up in Connecticut stop him from what he wanted to do.  Connecticut already has some of the strictest gun laws in the nation, and Adam Lanza broke at least three of them.

However, if there had been some armed security officers or some armed teachers at that school, they may have had a chance to protect those dear little children from being brutally gunned down.

If gun control was really the solution to our problems, then cities that have implemented strict gun control laws should be some of the safest in the entire country.

But sadly, just the opposite is true.

For example, Chicago has very strict gun laws.  But 10 people were shot in the city of Chicago on Friday alone.  Chicago is now considered to be “the deadliest global city“, and the murder rate in Chicago is about 25 percent higher than it was last year.

So has gun control turned Chicago into a utopia?

Of course not.

And it won’t solve our problems on a national level either.

You can find more statistics about the futility of gun control right here.

Well, how would things be if we did just the opposite and everyone had a gun?

Would gun crime go through the roof?

That is what liberals were warning of when the city of Kennesaw, Georgia passed a law requiring every home to have a gun.  But instead of disaster, the results turned out to be very impressive

In March 1982, 25 years ago, the small town of Kennesaw – responding to a handgun ban in Morton Grove, Ill. – unanimously passed an ordinance requiring each head of household to own and maintain a gun. Since then, despite dire predictions of “Wild West” showdowns and increased violence and accidents, not a single resident has been involved in a fatal shooting – as a victim, attacker or defender.

The crime rate initially plummeted for several years after the passage of the ordinance, with the 2005 per capita crime rate actually significantly lower than it was in 1981, the year before passage of the law.

Prior to enactment of the law, Kennesaw had a population of just 5,242 but a crime rate significantly higher (4,332 per 100,000) than the national average (3,899 per 100,000). The latest statistics available – for the year 2005 – show the rate at 2,027 per 100,000. Meanwhile, the population has skyrocketed to 28,189.

When criminals know that everyone has guns, they are much less likely to try something.  And often armed citizens are able to prevent potential mass murderers from doing more damage.  You can find several examples of this right here.

But of course most of our politicians are not interested in common sense.  Instead, they are obsessed with the idea that gun control will make our country “safe” again.

Senator Diane Feinstein says that she is ready to introduce a strict gun control bill in January that will “ban the sale, the transfer, the importation and the possession” of many types of firearms.

Will such a law keep the criminals from getting guns?

No way.  Just look at what is happening with the cartels down in Mexico.  The criminals are always able to get guns.

If our “leaders” were really interested in stopping these mass murders, they would take a look at the role that mind-altering pharmaceutical drugs play in these incidents.  If you look at the mass murders that have occurred over the past several decades, in the vast majority of them the murderer had been using mind-altering pharmaceutical drugs

The Institute for Safe Medication Practices (ISMP) has raised concerns about severe acts of violence as side effects of anti-psychotic and antidepressant drugs not only on individuals but on society as well.

Just a month ago PRWeb described drug induced violence as “medicine’s best kept secret.” 

And the Citizens Commission on Human Rights International (CCHRI) is calling for a federal investigation on its web page which links no less than 14 mass killings to the use of psychiatric drugs such as Prozac and Paxil.

And guess what?

According to the Washington Post, one neighbor says that Adam Lanza was “on medication”.

But will our politicians ever consider a law against such drugs?

Of course not.  The big corporations that produce those drugs give mountains of money to the campaign funds of our politicians.

So the focus of the debate will remain on guns.

And a lot of liberals would have us believe that our society could be transformed into some type of “utopia” if we could just get rid of all the guns.

Unfortunately, that is simply not true.  Our society is in an advanced state of moral decay, and this moral decay is manifesting in our society in thousands of different ways.  The corruption runs from the highest levels of society all the way down to the lowest.

For those that believe that gun control would somehow “fix America”, I have some questions for you…

Down in Texas, one set of parents kept their 10-year-old son locked in a bedroom and only fed him bread and water for months.  Eventually he died of starvation and they dumped his body in a creek.

Would banning guns have kept that from happening?

A pastor in north Texas was recently assaulted by an enraged man who beat him to death with an electric guitar.

Would banning guns have kept that from happening?

Police up in New Jersey say that a man kept his girlfriend padlocked in a bedroom for most of the last 10 years.

Would banning guns have kept that from happening?

A 31-year-old man up in Canada was found guilty of raping an 8-year-old girl, breaking 16 of her bones and smashing her in the face with a hammer.

Would banning guns have kept that from happening?

According to the FBI, a New York City police officer is being accused of “planning the kidnap, rape, torture and cannibilization of a number of women”.

Would banning guns have kept that from happening?

A Secret Service officer that had been assigned to protect Joe Biden’s residence has been charged with sexually assaulting a 14-year-old girl.

Would banning guns have kept that from happening?

Over in Texas, a very sick 29-year-old man stabbed his girlfriend to death and then burned his one-year-old baby alive because she had gone to court and filed for child support.

Would banning guns have kept that from happening?

Over in Utah, a 21-year-old man is accused of stabbing his grandmother 111 times and then removing her organs with a knife.

Would banning guns have kept that from happening?

There are more than 3 million reports of child abuse in the United States every single year.

Would banning guns keep that from happening?

An average of five children die as a result of child abuse in the United States every single day.

Would banning guns keep that from happening?

The United States has the highest child abuse death rate on the entire globe.

Would banning guns keep that from happening?

It is estimated that 500,000 Americans that will be born this year will be sexually abused before they turn 18.

Would banning guns keep that from happening?

In the United States today, it is estimated that one out of every four girls is sexually abused before they become adults.

Would banning guns keep that from happening?

If there was a way to take all of the guns away from all of the criminals, I would be all in favor of it.  Unfortunately, no government on the planet has been able to do that.

Instead, we have seen that criminals thrive whenever gun bans are instituted and the guns are taken away from law-abiding citizens.

But the bottom line is that our social decay will not be solved either by more guns or less guns.

Our social decay is the result of decades of bad decisions.  We have pushed morality out of our schools, out of government and out of almost every aspect of public life.  Now we are experiencing the bitter fruit of those decisions.

And this is not a problem that our government is going to be able to fix.  Violent crime increased by 18 percent in 2011, and this is just the beginning.

As our economy gets even worse, the rot and decay that have been eating away the foundations of America are going to become even more evident.  The number of Americans living in poverty grows with each passing day, and millions upon millions of people are becoming very desperate.

Desperate people do desperate things, and crime, rioting and looting are going to become commonplace in the United States in the years ahead.

So you can pretend that the government is going to be able to keep our society from crumbling all you want, but that is not going to help you when a gang of desperate criminals has invaded your home and is attacking your family.

We definitely should mourn for the victims in Connecticut.  It was a horrible national tragedy.

But this is just the beginning.  The fabric of our society is coming apart at the seams.  The feeling of safety and security that we all used to take for granted has been shattered, and the streets of America are going to steadily become much more dangerous.

I hope that you are ready.

55 Reasons Why California Is The Worst State In America

Why in the world would anyone want to live in the state of California at this point?  The entire state is rapidly becoming a bright, shining example of everything that is wrong with America.  It is so sad to watch our most populated state implode right in front of our eyes.  Like millions of Americans, I was quite enamored with the state of California when I was younger.  The warm weather, the beaches, the great natural beauty of the state and the mystique of Hollywood all really appealed to me.  At one point I even thought that I wanted to move there.  But today, hordes of Californians are racing to get out of the state because it has become a total nightmare.  It is the worst state in the country in which to do business, taxes were just raised even higher, unemployment is more than 20 percent higher than the national average and the state government is drowning in debt.  Meanwhile, poverty, gang activity and crime just seem to get worse with each passing year.  On top of everything else, the insane politicians in Sacramento just keep on passing more laws that make the problems that the state is facing even worse.  Unfortunately, what is happening in California may be a preview of what is coming to the entire nation.  The old adage, “as California goes, so goes the nation”, has been proven to be true way too many times.

In dozens of different ways, the state of California is showing the rest of us what not to do.  Will we learn from their mistakes, or will we follow them into oblivion?  Please share the list below with as many people as you can.  In addition to a large amount of new research, this list also pulled heavily from one of my previous articles and from outstanding research done by Richard Rider.  The following are 55 reasons why California is the worst state in America…

1. One survey of business executives has ranked California as the worst state in America to do business for 8 years in a row.

2. In 2011, the state of California ranked 50th out of all 50 states in new business creation.

3. According to one recent study, California is the worst-governed state in the entire country.

4. Thanks to Proposition 30, California now boasts the highest state income tax rate in the nation.

5. Even though California just raised taxes dramatically on the wealthy, state revenues are falling like a rock.  State revenue for November 2012 was 10.8 percent below projections.

6. California has the highest sales tax rate in the United States.

7. California has the 8th highest corporate income tax rate in the country.

8. California has the highest “minimum corporate tax” in the country.  Each corporation must pay at least $800 to the state even if a corporation does not make a single dollar of profit.

9. California is tied with New York for the highest gasoline tax rate in the country.

10. California is the only state in America that taxes carbon emissions.

11. The state of California issues some of the most expensive traffic tickets in the nation.  This is another form of taxation.

12. As of October, only Nevada and Rhode Island had higher unemployment rates than California.

13. The unemployment rate in California is more than 20 percent higher than the overall unemployment rate for the rest of the nation.

14. The state of California requires licenses for 177 different occupations (the most in the nation).  The national average is only 92.

15. California teachers are the highest paid in the nation, but California students rank 48th in math and 49th in reading.

16. California accounts for 12 percent of the U.S. population, but a whopping 33 percent of Americans that receive TANF (Temporary Assistance for Needy Families) live there.

17. Only the state of Illinois has a lower bond rating than the state of California does.

18. Including unfunded pension liabilities, the state of California has more than twice as much debt as any other state does.

19. Average pay for California state workers has risen by more than 100 percent since 2005.  That is good news for those state employees, but it is bad news for the taxpayers that have to pay their salaries.

20. More than 5,000 California state troopers made more than $100,000 last year.

21. One highway patrol officer ended up bringing home almost $484,000 in 2011.

22. One state psychiatrist in California was paid $822,000 in 2011.

23. Since 2007, the number of children living in poverty in the state of California has increased by 30 percent.

24. Sadly, an astounding 60 percent of all students attending California public schools now qualify for free or reduced-price school lunches.

25. The American Tort Reform Association has ranked the state of California as the worst “judicial hellhole” in America.

26. Businesses all over the state of California are being absolutely suffocated to death by ridiculous regulations.

27. According to the Milken Institute, operating costs for California businesses are 23 percent higher than the national average.

28. According to CNN, the state of California had the worst “small business failure rate” in America in 2010.  It was 69 percent higher than the national average.

29. The number of people unemployed in the state of California is roughly equivalent to the populations of Nevada, New Hampshire and Vermont combined.

30. Residential customers in California pay about 29 percent more for electricity than the national average.

31. So many poor people and illegal aliens have taken advantage of the “free” healthcare at emergency rooms that many of them have been forced to shut down in California.  As a result, the state of California now ranks dead last out of all 50 states in the number of emergency rooms per million people.

32. Political correctness is totally out of control in California.

33. One California town is actually considering making it illegal to smoke in your own backyard.

34. The traffic around the big cities is horrific.

35. Los Angeles

36. San Francisco

37. Oakland

38. Stockton

39. Sacramento

40. The rampant gang activity in the state gets even worse with each passing year.

41. Crime continues to rise all over the state.

42. Just recently, the city attorney of San Bernardino, California told citizens to “lock their doors and load their guns” because there is not enough money to pay for adequate police protection any longer.

43. The murder rate in San Bernardino is up 50 percent this year.

44. In Oakland, burglaries are up 43 percent so far this year.

45. Today, Oakland is considered the 5th most violent city in the United States.

46. There have been more than 250 gold chain robberies in Stockton, California just since the month of April.

47. In Stockton, the police budget cuts got so bad that the police union put up a billboard at one point with the following message: “Welcome to the 2nd most dangerous city in California. Stop laying off cops.”

48. Jerry Brown.

49. The absolutely insane California state legislature.

50. Wildfires.

51. Mudslides.

52. The state of California lies directly along the infamous “Ring of Fire“.  Approximately 90 percent of all the earthquakes in the entire world happen along the Ring of Fire and the “Big One” could hit the state at any moment.

53. According to the U.S. Census Bureau, approximately 100,000 more people moved out of the state of California in 2011 than moved into it.

54. During 2011, more than 58,000 people moved from California to the state of Texas.

55. Overall, the state of California has experienced a net loss of about four million residents to other states over the past 20 years.

17 Reasons Why Those Hoping For A Recession In 2012 Just Got Their Wish

If you were hoping for a recession in 2012, then you are going to be very happy with the numbers you are about to see.  The U.S. economy is heading downhill just in time for the 2012 election.  Retail sales have fallen for three months in a row for the first time since 2008, manufacturing activity is dropping like a rock, sales of new homes are declining again, consumer confidence has moved significantly lower and a depressingly small percentage of businesses anticipate hiring more workers in the coming months.  Even though the Federal Reserve has been wildly pumping money into the financial system and even though the federal government has been injecting gigantic piles of borrowed cash into the economy, we still haven’t seen an economic recovery.  In fact, we appear to be on the verge of yet another major downturn.  In California the other night, Barack Obama told supporters that “we tried our plan — and it worked“, but only those that are still drinking the Obama kool-aid would believe something so preposterous.  The truth is that the U.S. economy has been steadily declining for many years and now we have reached another very painful recession.

And don’t let the second quarter GDP number on Friday fool you.  Analysts are expecting to see GDP growth of about 1.4 percent for the second quarter, but the only reason for our very small amount of “economic growth” is because the economy has been flooded with new dollars.

Let me give you an example.  If I could go out overnight and magically double the bank accounts of every single American, would we all be twice as wealthy?

No, because there would be twice as many dollars now chasing the same amount of goods and services.  The price of those goods and services would soon rise dramatically to reflect this new reality.

With all of those new dollars spinning around in the economy it would look like “economic growth” was going through the roof, but in reality the amount of real economic activity would be about the same.

So whenever we talk about GDP, we need to properly adjust it for inflation.  That means using accurate inflation figures and not the highly manipulated inflation figures that the U.S. government is putting out these days.

And as I noted the other day, after properly adjusting for inflation the U.S. economy has been continually experiencing negative economic growth since about 2005.

So let’s not deceive ourselves.  The U.S. economy has been declining for a long time.

But soon even the GDP number that the government gives us will turn negative.  We will probably see a slightly positive number for the second quarter, and the number will likely go negative either in the third quarter or the fourth quarter.

Economists will debate when this new recession officially “began” just like they do with every recession, but it doesn’t take a genius to figure out what is happening to our economy right now.

The following are 17 reasons why those hoping for a recession in 2012 just got their wish….

1. U.S. retail sales have declined for three months in a row.  This is the first time this has happened since 2008.  Every other time this has happened in U.S. history (except for once) this has signaled that the U.S. economy was either already in a recession or was about to enter one.

2. The Philadelphia Fed index of manufacturing activity contracted for the third month in a row during July.  According to the Financial Post, this is a very bad sign….

Seven out of eight times when the average reading has been that low (-11.8) for that long the U.S. economy has tipped into recession.

3. Manufacturing activity in the mid-Atlantic region has also declined for three months in a row.  In fact, the only time in the past decade when manufacturing activity in the mid-Atlantic has fallen more dramatically was during the last recession.

4. A factory index calculated by the Institute for Supply Management has fallen to its lowest level since June 2009.

5. The Conference Board index of leading economic indicators has fallen for two of the past three months.

6. According to a recent survey conducted by the Conference Board, only 17 percent of CEOs had a positive view of the economy during the second quarter of 2012.  During the first quarter of 2012, 67 percent did.

7. Gallup’s U.S. Economic Confidence Index is now the lowest that it has been since January.

8. Optimism among small business owners has declined in three of the last four months and is now at its lowest level since last October.

9. Believe it or not, the amount of waste being carted around on trains in the United States has an 82 percent correlation with U.S. economic growth.  Unfortunately, right now the number of garbage carloads on trains is falling dramatically.

10. Sales of previously occupied homes dropped by 5.4 percent during June.

11. Sales of new homes declined by 8.4 percent during June.  At this point new home sales are less than a third of what they were during the boom years.

12. An increasing number of Americans are relying on high interest “payday loans” to pay the rent and put food on the table.

13. Far more companies are defaulting on their debts this year than last year.

14. According to the U.S. Labor Department, the unemployment rate fell in 11 states and Washington, D.C. last month, but it rose in 27 states.

15. The unemployment rate in New York City is now back up to 10 percent.  That equals the peak unemployment rate in New York City during the last recession.

16. The teen unemployment rate in Washington D.C. right now is 51.7 percent.

17. A recent survey conducted by the National Association for Business Economics found that only 23 percent of all U.S. companies plan to hire more workers over the next 6 months.  When the same question was asked a few months ago that number was at 39 percent.

All of those are very powerful pieces of evidence that a new recession has started.

But do you want to know one of my favorite indicators that the U.S. economy is sliding into recession?

In a previous article, I noted that Federal Reserve Chairman Ben Bernanke made the following statement to Congress recently: “At this point we don’t see a double dip recession. We see continued moderate growth.”

As I mentioned the other day, Bernanke has a track record of failure that is absolutely embarrassing.  Back on January 10, 2008 Bernanke made the following statement….

“The Federal Reserve is not currently forecasting a recession.”

That turned out to be a great call, didn’t it?

On June 10, 2008 he doubled down on his call that the U.S. economy was going to avoid a recession….

“The risk that the economy has entered a substantial downturn appears to have diminished over the past month or so.”

Just before Fannie Mae and Freddie Mac collapsed Bernanke made this statement….

“The GSEs are adequately capitalized. They are in no danger of failing.”

And there are dozens of other examples just like these.

This is the guy running our economic system.

I am very critical of the Federal Reserve, but there are very good reasons for this.

The Federal Reserve is running our economy into the ground, and we need to pound this into the heads of the American people so that they will wake up and demand change.

Perhaps this next recession will be painful enough to wake people up.

The Wall Street Journal is already even using the “D word” to describe what we are experiencing.  Just today, the Wall Street Journal ran an article that asked this question: “Do Two Recessions Equal One Depression?

Sadly, this is just the leading edge of what is coming.  By the time 2014 or 2015 rolls around, we are going to look back and long for the “good old days” of 2011 and 2012.

Over the next few years, the unemployment rate is going to skyrocket and poverty in the United States is going to get a whole lot worse.

Now is not the time to goof off.  Now is the time to work really hard to get yourself and your family into the best position that you can for the storm that is coming.

Nothing is going to stop the terrible economic crisis that is coming, but at least we can get prepared for it.

There is hope in being prepared.

Sadly, most people will never even see the next crisis coming until they get blindsided by it.

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