Denial Is Not Just A River In Egypt: 10 Hilarious Examples Of How Clueless Our Leaders Are About The Economy

Barack Obama And Ben BernankeThey didn’t see it coming last time either.  Back in 2007, President Bush, Federal Reserve Chairman Ben Bernanke and just about every prominent voice in the financial world were all predicting that we would experience tremendous economic prosperity well into the future.  In fact, as late as January 2008 Bernanke boldly declared that “the Federal Reserve is not currently forecasting a recession.”  At the time, only the “doom and gloomers” were warning that everything was about to fall apart.  And of course we all know what happened.  But just a few short years later, history seems to be repeating itself.  Barack Obama, Federal Reserve Chairman Ben Bernanke and almost every prominent voice in the financial world are all promising that the U.S. “economic recovery” is going to continue even though Europe is coming apart like a 20 dollar suit.  But the economic fundamentals tell a different story.  Our national debt is more than $6,000,000,000,000 larger than it was back in 2008, the number of Americans on food stamps just hit another brand new all-time record, and the bankers up on Wall Street are selling gigantic mountains of the exact same kind of toxic derivatives that caused so much trouble the last time around.  But all of our “leaders” swear that everything is going to be okay.  You can believe them if you want, but denial is not just a river in Egypt, and another crash is inevitably coming.

Sadly, many Americans are not even going to see the crash coming because they still have faith in the “experts”.  They haven’t figured out that the “experts” really do not know what they are doing.

The blind are leading the blind, and in the end the results are going to be absolutely tragic.

The following are 10 hilarious examples of how clueless our leaders are about the economy…

#1 When I first came across the following chart the other day, it made me chuckle.  It is a chart that supposedly tells us the “probability” of a recession, and it was taken from the website of the Federal Reserve Bank of St. Louis.  According to the chart, right now there is a 0.16% chance of a recession…

Smoothed U.S. Recession Probabilities

#2 Federal Reserve Chairman Ben Bernanke has also been proclaiming his belief that the U.S. economy will continue to grow.  The following is an excerpt from his recent remarks to Congress

The pause in real GDP growth last quarter does not appear to reflect a stalling-out of the recovery. Rather, economic activity was temporarily restrained by weather-related disruptions and by transitory declines in a few volatile categories of spending, even as demand by U.S. households and businesses continued to expand. Available information suggests that economic growth has picked up again this year.

And Bernanke also insists that the labor market is “improving”…

Consistent with the moderate pace of economic growth, conditions in the labor market have been improving gradually.

Of course the labor market is not actually improving.  I showed this using the Fed’s own numbers the other day.

And you can put stock in Bernanke’s forecasting ability if you like, but considering his track record of failure in the past, that might not be too wise.  Just check out what he was saying before the last financial crisis: “30 Ben Bernanke Quotes That Are So Stupid That You Won’t Know Whether To Laugh Or Cry“.

#3 Although Bernanke has such a nightmarish track record of failure, Warren Buffett still has faith in him.  In fact, Buffett loves all of the money printing that Bernanke has been doing…

The U.S. economy might be “dead in the water” without the stimulus provided by the Federal Reserve under Chairman Ben Bernanke, according to Warren Buffett, CEO of Berkshire Hathaway.

“I think very cheap money makes things happen, it makes asset values higher. When asset values are higher, people do have a greater propensity to spend,” Buffett told CNBC.

“I think Bernanke has sort of carried the load himself during this period.”

If Buffett thinks the wild money printing that the Fed has been doing is so wonderful, then he probably would have absolutely loved living in the Weimar Republic.

#4 Barack Obama continues to insist that we do not have a debt crisis, but that we will not be able to balance the budget any time in the foreseeable future either.

Even though the national debt has grown by more than 6 trillion dollars under his leadership and our debt to GDP ratio is now well over 100%, Obama does not believe that it is a significant problem

“We don’t have an immediate crisis in terms of debt”

And Obama certainly does not plan to even come close to balancing the budget during his second term.  In fact, he openly admits that we won’t see a balanced budget at any point within the next decade

“We’re not gonna balance the budget in 10 years”

Sadly, the truth is that the U.S. will never have a balanced budget ever again under our current system, but most of our politicians are not willing to go that far and admit that sad fact to the American people just yet.

#5 But of course it would certainly help if the U.S. government would stop wasting so much money.  For example, did you know that the federal government is helping dead people get free cell phones?  The following is from a recent article in the New York Post

Dead people don’t need cell phones.

That’s the message Rep. Tim Griffin of Arkansas wants to send Congress, after he says a controversial government-backed program that helps provide phones to low-income Americans ended up sending mobiles to the dead relatives of his constituents. Griffin has introduced a bill that targets the phone hand-out program, which has ballooned into a fiscal headache for the government.

And of course a lot of living people are abusing the free cell phone program as well.  Rep. Griffin says that he has heard of some people getting as many as 10 free cell phones from the government…

“I’ve also gotten calls from people who say their employees were bragging about having 10 phones.”

#6 Meanwhile, the most prominent economic journalist in the United States, Paul Krugman of the New York Times, continues to insist that it is a good thing for the government to be running up so much debt…

First of all… that trillion-dollar deficit is overwhelmingly the result of a depressed economy. And when the economy’s depressed it’s good to run a deficit. You don’t want the government to try and balance its budget right now.

Krugman is also operating under the delusion that the federal government “can’t run out of cash”, that it can just print money whenever it wants and that printing giant piles of money would not hurt anything.

The United States is a country that has its own currency–can’t run out of cash because we print the money. If you even try to think what would happen–suppose that investors get down on the United States. Even so, that would weaken the dollar, not send interest rates soaring, and that would be good. That would help our exports

It is frightening that the top economic journalist in America has such little understanding of how our system actually works.  I would encourage Krugman to read a couple of my previous articles so that he won’t be so ignorant in the future…

-“Where Does Money Come From? The Giant Federal Reserve Scam That Most Americans Do Not Understand

-“10 Things That Every American Should Know About The Federal Reserve

#7 Many Americans have wondered why the federal government never seems to go after the big Wall Street banks.  Well, now we know why.  The other day, the Attorney General of the United States admitted that the federal government is very hesitant to prosecute anyone from the big banks because of what it might do to the global economy…

“I am concerned that the size of some of these institutions becomes so large that it does become difficult for us to prosecute them when we are hit with indications that if you do prosecute, if you do bring a criminal charge, it will have a negative impact on the national economy, perhaps even the world economy”

So I guess we now live in a world where there is a different set of rules for the big banks, eh?

Most of us already knew that this was the case, but it is quite chilling to hear the Attorney General of the United States publicly admit this.

#8 Many of the big Wall Street banks are absolutely giddy that the Dow keeps setting new all-time highs, and many of them are projecting wonderful things ahead for the U.S. economy.  For example, here is one forecast from Morgan Stanley’s Vincent Reinhart

“In the Morgan Stanley forecast for the US, the trajectory of economic activity marks an inflection point midway through 2013. The severe financial crisis of 2008-09 necessitated significant downward adjustments by the private sector to the levels of aggregate demand and efficient supply. As the event recedes further into history, however, the drag on growth from these ongoing level adjustments plays out.

In our forecast, the expansion of real GDP steps up to around 2-3/4 percent in the second half of this year and beyond.”

#9 Vice-President Joe Biden is pushing economic optimism to ridiculous levels.  Apparently he believes that most Americans are “no longer worried” that a major economic crisis is coming…

But all kidding aside, I think the American people have moved — Democrats, Republicans, independents.  They know that the possibilities for this country are immense.  They’re no longer traumatized by what was a traumatizing event, the great collapse in 2008.  They’re no longer worried, I think, about our economy being overwhelmed either by Europe writ large, the EU, or China somehow swallowing up every bit of innovation that exists in the world.  They’re no longer, I think, worried about our economy being overwhelmed beyond our shores.

And I don’t think they’re any more — there’s no — there’s very little doubt in any circles out there about America’s ability to be in position to lead the world in the 21st century, not only in terms of our foreign policy, our incredible defense establishment, but economically.

#10 Right now, many in the financial world are projecting that this will be a year to remember for the stock market.  During a recent interview with Fox Business, Wharton School of Business Finance Professor Jeremy Siegel declared that the Dow will cross the 16,000 mark by the end of this year…

“I think by the end of this year, we’ll be in the 16,000 to 17,000 range.”

Of course it is true that other analysts have a much different view of things.  Many of them are absolutely amazed that the U.S. economy has become so disconnected from economic reality.  For example, just check out what Steve Russell and Hamish Baillie, fund managers at the Ruffer Investment Company, recently had to say…

“If this was explained to a recently arrived Martian he would no doubt be puzzled – US unemployment has almost doubled since 2007, GDP [gross domestic product] growth is a third lower and debt as a percentage of GDP is within a whisker of doubling. The market is forward looking but this is extreme”

So who is right and who is wrong?

Time will tell.

Fortunately, it appears that the American people are getting fed up with the constant stream of lies that they have been told.

According to a new Pew Research survey, just 26 percent of all Americans trust the government to do the right thing.

So what about you?

Do you trust what the government and the “experts” are telling you?

Do you trust them to do the right thing?

Feel free to post a comment with your thoughts below…

LOLCat - Photo by Koruko

15 Signs That You Better Get Prepared For The Obama Recession Of 2013

15 Signs That You Better Get Prepared For The Obama Recession Of 2013 - Photo by DjembayzYou better get ready, because there are a whole host of signs that economic trouble is on the horizon.  U.S. economic growth slipped into negative territory during the fourth quarter of 2012.  That was the first time that has happened in more than three years.  Several important measures of manufacturing activity have also contracted in recent weeks, and consumer confidence is way down.  There is a tremendous amount of economic pessimism in the air right now, and Americans are pulling enormous amounts of money out of our banks and they are buying up precious metals at unprecedented rates.  Meanwhile, our “leaders” seem very confused about what is happening.  For example, Senate Majority Leader Harry Reid continues to insist that we are “in a recovery“, and some other Democrats are calling the latest GDP numbers “the best-looking contraction in U.S. GDP you’ll ever see“.  On the other hand, the Federal Reserve says that economic growth has “paused” in recent months, and therefore a continuation of their latest quantitative easing scheme is necessary.  Well, no matter how hard any of them try to spin the numbers, there is no way that they are going to get them to look good.  Despite four years of outrageous “stimulus” spending by the federal government, despite four years of record low interest rates, and despite four years of unprecedented money printing by the Federal Reserve, the U.S. economy continues to perform miserably.  Later this year the federal government will probably finally acknowledge that we have entered another recession, even though the truth is that if the federal government used honest numbers they would indicate that we are already in one.  In any event, nobody should have ever expected that our debt-fueled prosperity would last forever.  When the debt bubble that we have been living in completely bursts, a “recession” will be the least of our worries.

Hopefully this little stretch of false economic hope that we have been living in will last for a little while longer.  I don’t think that too many people are very eager to repeat the horrible economic pain that we experienced back in 2008 and 2009.  Unfortunately, we never fully recovered from that last downturn and now the incredibly foolish decisions that our “leaders” continue to make have made another major economic downturn inevitable.

Personally, I would very much prefer for 2013 to be a year of peace and prosperity for America.  But at this point there appears to be a great deal of downward momentum for the economy.

The following are 15 signs that you better get prepared for the Obama recession of 2013…

#1 The mainstream media was absolutely shocked when it was announced that U.S. GDP actually contracted at an annual rate of 0.1 percent during the fourth quarter of 2012.  This was the first contraction that the official numbers have shown in more than three years.  But of course the truth is that the official numbers always make things appear better than they really are.  According to John Williams of shadowstats.com, U.S. GDP growth has actually been continuously negative all the way back to 2005 once you account “for distortions in government inflation usage and methodological changes that have resulted in a built-in upside bias to official reporting.”

#2 For the entire year of 2012, official U.S. GDP growth was only about 1.5%.  According to Art Cashin, every time economic growth has fallen that low (below 2 percent annually) the U.S. economy has always ended up going into a recession.

#3 According to the Conference Board, consumer confidence in the United States has hit its lowest level in more than a year.

#4 For the week ending January 26th, initial claims for unemployment rose to 368,000.  In future weeks, watch to see if it goes above 400,000.  If we hit that level, that will be a sign of real trouble for the economy.

#5 During the first full week of January, an astounding $114 billion was pulled out of U.S. banks.  That is the largest amount that we have seen moved out of U.S. banks in one week since 2001.

#6 The U.S. Mint was on pace to sell more silver eagles during the first month of 2013 than it did during the entire year of 2007.  Why is so much silver being sold all of a sudden?

#7 The payroll tax hike that went into effect in January has reduced the paychecks of average American workers by about $100 a month.

#8 Several important measures of manufacturing activity along the east coast missed expectations by a huge margin in January.  The following summary is from a recent Zero Hedge article

So much for the latest “recovery.” While everyone continued to forget that in the New Normal markets do not reflect the underlying economy in the least, and that the all time highs in the Russell 2000 should indicate that the US economy has never been better, things in reality took a deep dive for the worse, at least according to the Empire State Fed, the Philly Fed, and now the Richmond Fed, all of which missed expectations by a huge margin, and are now deep in contraction territory. Moments ago, the Richmond Fed reported that the Manufacturing Index imploded from a 9 in November, 5 in December and missed expectations of a 5 print at -12: this was the biggest miss to expectations since September 2009.

#9 An astounding 33 percent of all “subprime student loans” are at least 90 days past due.  Back in 2007, that number was only at 24 percent.  Could this be evidence that the student loan debt bubble is beginning to burst?

#10 Time Inc. has just announced that it will be eliminating hundreds of jobs.

#11 Blockbuster recently announced that they are closing hundreds of stores and eliminating about 3,000 jobs.

#12 Toy maker Hasbro has announced that the size of their workforce will be reduced by about 10 percent.

#13 According to a new Pew Research study that was just released, one out of every seven adults in the United States is financially supporting their kids and their parents at the same time.  Pew Research is calling it “the Sandwich Generation”.

#14 According to one recent Gallup poll, 65 percent of all Americans believe that 2013 will be a year of “economic difficulty“, and 50 percent of all Americans believe that the “best days” of America are now behind us.

#15 According to a different Gallup poll, Americans are now more pessimistic about where the U.S. economy will be five years from now than Gallup has ever recorded before.

So what is Barack Obama doing about all of this?

Not much.

Actually, he is shutting down his much ballyhooed “Council on Jobs and Competitiveness”.  It last convened more than a year ago on Jan. 17th, 2012, and apparently Obama does not feel that it is needed any longer.

Of course we all know that it was just a political stunt to begin with.

Sadly, the truth is that both parties have been leading us down a road toward economic oblivion.  The past four years under Obama have been absolutely nightmarish, and even though the Republicans have been in control of the House for the last couple of years they have done very little to even slow him down.

For much more on the decline of the economy over the past four years, please see this article: “37 Statistics Which Show How Four Years Of Obama Have Wrecked The U.S. Economy“.

Yes, I tend to criticize Obama’s economic policies a lot, and rightfully so, but neither political party is willing to tell the American people the truth.

40 years ago, the total amount of debt in the U.S. economic system 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.

It hasn’t mattered which party has occupied the White House or which party has been in control of Congress.  The debt bubble that we have been living in has just continued to grow.

And all bubbles eventually pop.

The mainstream media is endlessly obsessed with the little fights that the Republicans and the Democrats are having, but they never talk about the bigger picture.

The prosperity that we are enjoying today is the result of the biggest debt binge in the history of the world.

We have stolen a giant mountain of money from our children and our grandchildren and we have destroyed their futures.

People can debate about whether the next “recession” has already started or not, but the truth is that what we are experiencing now is nothing compared to what is coming.

In the end, we will pay a great price for our decades of foolishness.

The U.S. economy is going to completely collapse, and the last few years have only been the very beginning of that process.

United States Supreme Court Chief Justice John Roberts administers the oath of office to President Barack Obama in the Blue Room of the White House on Inauguration Day

Social Decay + Illegal Immigration + Poverty = Open War On The Streets Of America

Open War On The Streets Of America - Photo by Javier RamirezWhat did you think was going to happen?  Moral standards have been falling for decades, we have allowed massive hordes of criminals, gang members and drug dealers to enter this country illegally, and thanks to our declining economy our inner cities are being absolutely ravaged by poverty.  Was such a combination really going to produce peace and prosperity?  Should we be so shocked that we now have open war on the streets of America?  In the United States today, there are millions upon millions of young people that can’t find jobs, that are living in poverty, that have no hope for a better future, and that have been raised without any moral standards.  These young people are becoming increasingly desperate, and desperate people do desperate things.  As I wrote about the other day, for those under the age of 18 living in the city of Detroit the poverty rate is 60 percent.  Should we be surprised that Detroit police are now telling people to “enter Detroit at your own risk“.  At this point, the FBI says that there are approximately 1.4 million gang members living in our cities.  That number has risen by an astounding 40 percent just since 2009.  Did we somehow delude ourselves into thinking that there would not be severe consequences for allowing that to happen?  Today,  Mexican drug cartels are active in more than 1,000 U.S. cities.  Are they selling drugs and committing crimes in the area where you live?  Well, don’t be so shocked.  The federal government has left our border with Mexico wide open for decades even though the most violent drug war on the planet has been raging just across that border.  Stupid decisions produce stupid results.  Sadly, this is just the beginning.  When our economy fully crashes the open warfare on the streets of America is going to get much, much worse.

Let’s take a closer look at what is currently happening in a few of our largest cities…

Los Angeles

Did you know that Latino gangs are systematically pushing black families out of some areas of Los Angeles?

For example, once upon a time Compton was a predominantly African-American area.  But now it is 65 percent Latino, and there is a relentless campaign of intimidation against many of the African-American families that remain.

One of these incidents was recently profiled in the Los Angeles Times.  A black family moved into Compton near the end of December, and since that time they have been the victims of endless harassment by Latino gangs.  When a 19-year-old African-American friend came to visit the family one day, four thugs told him that blacks were barred from the neighborhood and they started beating him with metal pipes.  A story in the Los Angeles Times described what happened next…

The 19-year-old family friend managed to break free that first day and run into the house, where the children were the only ones at home.

The attackers left, but a half-hour later a crowd of as many as 20 people stood on the lawn yelling threats and epithets. A beer bottle crashed through the living room window as the youngsters watched in horror.

“They were scared if they called the sheriff they’d be killed,” Westin said. “So they called their mom, who called the Sheriff’s Department.”

The gang members were gone by the time deputies arrived, but they kept coming back, almost daily, driving by slowly until they got someone’s attention, then yelling racial insults and telling them to leave. The mother sent the children to live with relatives and is now packing up to leave herself.

As horrifying as that sounds, the truth is that it is not an isolated incident.

According to the Los Angeles Times, similar attacks “have taken place in Harbor Gateway, Highland Park, Pacoima, San Bernardino, Canoga Park and Wilmington, among other places.”

Oakland

Up the coast in Oakland, a horribly violent gang war has gotten so out of hand that city officials are holding press conferences about it.

Violent crime in the city of Oakland increased by 23 percent in 2012, and police say that gang members were responsible for most of the approximately 2,000 robberies and 65 homicides that took place in the second half of the year.

As the San Francisco Chronicle recently explained, the violence continues to escalate and city officials don’t know how to solve it…

Nearly all the violent crimes in Oakland in the last few months, including two killings over the weekend, have been committed as part of a “war” between rival groups that was sparked by the slaying of a girl last summer, Police Chief Howard Jordan said Monday.

Jordan said “about 90 percent” of the killings, robberies, shootings and other “senseless acts of violence” in the city since mid-2012 can be directly tied to the killing of a girlfriend of one of the combatants.

Over time, the warring factions have become increasingly violent and have grown in number, sometimes by merging with other groups, Jordan said at a news conference called in response to an outbreak of gunfire over the weekend.

Chicago

Savage murders happen so regularly in Chicago at this point that very few people are even shocked by the headlines any longer.  The murder rate in the city increased by about 17 percent in 2012, and 2013 has already started with quite a bang.

Just check out what happened on Saturday.  7 people were murdered and six others were left wounded.  The following is how the Chicago Tribune described one of the crime scenes…

On West Van Buren Street, a body could be seen lying in the roadway, near the curb and a bus stop.

A man who only identified himself as the teen victim’s uncle said the boy, whose family lived nearby, had simply gone to run an errand.

“He was just going to the store,” the man said. “They just killed him just like that.”

Later, the man paced back and forth on the sidewalk, shaking his head in disbelief.

So why has Chicago become such a violent city?

It is because of the gangs.

Today, approximately 80 percent of all murders that happen in the city of Chicago are gang-related.  And as I have written about previously, there are only about 200 police officers assigned to Chicago’s Gang Enforcement Unit to handle the estimated 100,000 gang members living in the city.

Perhaps Chicago could do more to handle all the crime if they had more money, but at this point they are flat broke and so is the entire state of Illinois.  In fact, the state of Illinois just had its credit rating downgraded once again.

I picked out three examples to discuss above, but similar things could really be said about hundreds of U.S. cities from coast to coast.

Once upon a time, gang activity was fairly limited to certain pockets of the country.  But now, it is more widespread than ever.

According to the Justice Department’s National Drug Intelligence Center,  Mexican drug cartels were actively operating in 50 different U.S. cities in 2006.

By 2010, that number had skyrocketed to 1,286.

Are you starting to get the picture?

So why doesn’t the federal government secure the border and make sure that everyone that is coming into this country is doing so legally?

That is a very good question.  For some reason, every single president that we have had in recent decades has chosen to leave the U.S. border with Mexico virtually wide open.

And so millions of criminals, gang members, drug dealers and welfare parasites continue to pour into the country.  The following is what one local police chief down in Texas is saying about what he is seeing along the border…

The problem is not going away.

“Most of them have people here or they’re just trying to make it over here so they can start making a better living for themselves,” La Joya Police Chief Julian Gutierrez told Action 4 News.

No matter how many miles of border fence is erected—it seems nothing will stop the thousands of immigrants, crossing our border illegally, from continuing their journey.

“A lot of times we talk to them and ask them why they’re coming here,” Gutierrez explained. “They say they’re coming for the ‘American Dream.’ I always tell them that they’re here illegally—how do they expect to find work? They always say it’s a lot better than their country.”

So what is the Obama administration doing about this?

They don’t consider it to be a problem.

In fact, one of our stations along the border with Mexico will no longer be manned with real people at all.  The following is from a recent ABC News report

Get ready for the very first “unmanned” border station on the U.S.-Mexico border. Slated to open at the end of this month, the Big Bend National Park in Texas will be staffed by, you guessed it, computers.

But what the Obama administration does seem to be concerned about is giving immigrants lots of “benefits” once they get here.

For example, did you know that the federal government actually has a website that teaches immigrants how to sign up for welfare programs once they arrive in the United States?

Meanwhile, we can’t even come close to taking care of our own citizens.  According to the U.S. Census Bureau, there are more than 146 million Americans that are considered to be either “poor” or “low income” at this point.

Poverty is absolutely exploding in this country, and the middle class gets smaller with each passing day.  When the next major economic downturn strikes, the unemployment numbers are going to start spiking again and millions of families are going to lose all hope that things will ever turn around for them.

Meanwhile, the very foundations of our society continue to rot and decay right in front of our eyes.  At this point, approximately one out of every three children in the U.S. lives in a home without a father.  The U.S. has the highest divorce rate in the world, the highest rate of teen pregnancy in the world, and there are 19 million new STD infections in the United States every single year.

Our nation is a complete and total mess, and many of our major cities are being transformed into gang-infested war zones that are on the verge of total meltdown.

Is it any wonder that millions of American families have chosen to become preppers?

Nothing is going to stop the societal meltdown that is coming.  That is especially true with Barack Obama running things.

Sadly, most Americans still have their heads in the sand and are pretending that everything will be okay somehow.

Sadly, most Americans still have a tremendous amount of faith in the system.

But anyone with a brain should be able to see the storm clouds that are coming.

So get prepared while you still can.

Time is running out.

1.4 Millions Gang Members And More Pour Into The United States Every Single Day

65 Percent Of Americans Believe That 2013 Will Be A Year Of Economic Difficulty

65 Percent Of Americans Believe That 2013 Will Be A Year Of Economic Difficulty - Photo by Larali21Do you believe that economic trouble is coming in 2013?  If so, you have a lot of company.  According to a brand new Gallup poll that was just released, 65 percent of Americans believe that 2013 will be a year of “economic difficulty” while only 33 percent of Americans believe that 2013 will be a year of “economic prosperity”.  Gallup has been asking this question for a lot of years, and the percentage of Americans that are anticipating economic difficulty in the year ahead has not been this high since the early 1980s.  And without a doubt, there are a whole lot of reasons to be deeply concerned about the economy as we head into the new year.  But it isn’t just 2013 that Americans are pessimistic about.  According to the new Gallup poll, 50 percent of all Americans believe that the best days of America are behind us, and only 47 percent of all Americans believe that the best days of America are ahead of us.  Those are very sobering numbers.  Half the country believes that it is only downhill from here for the United States.  Unfortunately, they are exactly right.  Things are rapidly going to get worse for our economy and for our nation as a whole.  We are going to start reaping the consequences of decades of very foolish decisions, and the pain is going to be immense.

Gallup asked some other very interesting questions as well.  The following are some of the other results from the poll

-68 percent of Americans believe that 2013 will be a year of rising crime rates.

-57 percent of Americans believe that 2013 will be a year in which American power will decline in the world.

-82 percent of Americans believe that 2013 will be a year in which taxes in the United States will rise.

So why are so many people so pessimistic as we enter 2013?

That is a good question.  I think that a lot of people are starting to wake up and are realizing the gigantic problems that are staring the U.S. right in the face.

Even our friends over in Europe can see what is happening to us.  We are like a former athletic champion that is now clearly on the wrong side of “middle age” and is exhibiting obvious signs of decline.  We still like to think of ourselves as “the champ”, but the truth is that we are fat, lazy, broken down and bankrupt.  The following is a brief excerpt from an article that appeared in a major UK news source the other day…

The rest of the world — dangerously reliant on a buoyant U.S. — should note one thing above all: the fundamentals of America’s economy are, frankly, terrible, and its international dominance is not nearly as assured as it once was.

Its economic culture has started to change since President Obama entered the White House four years ago this month.

America more closely resembles Europe in living beyond its means and in the President’s determination to build a massive welfare state.

The mainstream media and most of our politicians endlessly proclaim that things are about to turn around and that a “recovery” is on the way, but that is not even close to the truth.

Fortunately, a few of our politicians realize what is really happening and are willing to talk about it.  Unfortunately, not enough people are listening to them.

For example, Ron Paul has a really good grasp on how destructive the U.S. national debt is and how we are literally destroying the bright future that our children and our grandchildren should have had.  The following is what he posted on his Facebook page the other day about the “fiscal cliff deal” that just got pushed through Congress…

We Are Already Over the Fiscal Cliff

2 January 2013

Despite claims that the Administration and Congress saved America from the fiscal cliff with an early morning vote today, the fact is that government spending has already pushed Americans over the cliff. Only serious reductions in federal spending will stop the cliff dive from ending in a crash landing, yet the events of this past month show that most elected officials remain committed to expanding the welfare-warfare state.

While there was much hand-wringing over the “draconian” cuts that would be imposed by sequestration, in fact sequestration does not cut spending at all. Under the sequestration plan, government spending will increase by 1.6 trillion over the next eight years. Congress calls this a cut because without sequestration spending will increase by 1.7 trillion over the same time frame. Either way it is an increase in spending.

Yet even these minuscule cuts in the “projected rate of spending” were too much for Washington politicians to bear. The last minute “deal” was the worst of both worlds: higher taxes on nearly all Americans now and a promise to revisit these modest reductions in spending growth two months down the road. We were here before, when in 2011 Republicans demanded these automatic modest decreases in government growth down the road in exchange for a massive increase in the debt ceiling. As the time drew closer, both parties clamored to avoid even these modest moves.

Make no mistake: the spending addiction is a bipartisan problem. It is generally believed that one party refuses to accept any reductions in military spending while the other party refuses to accept any serious reductions in domestic welfare programs. In fact, both parties support increases in both military and domestic welfare spending. The two parties may disagree on some details of what kind of military or domestic welfare spending they favor, but they do agree that they both need to increase. This is what is called “bipartisanship” in Washington.

While the media played up the drama of the down-to-the-wire negotiations, there was never any real chance that a deal would not be worked out. It was just drama. That is how Washington operates. As it happened, a small handful of Congressional and Administration leaders gathered in the dark of the night behind closed doors to hammer out a deal that would be shoved down the throats of Members whose constituents had been told repeatedly that the world would end if this miniscule decrease in the rate of government spending was allowed to go through.

While many on both sides express satisfaction that this deal only increases taxes on the “rich,” most Americans will see more of their paycheck going to Washington because of the deal. The Tax Policy Center has estimated that 77 percent of Americans would see higher taxes because of the elimination of the payroll tax cut.

The arguments against the automatic “cuts” in military spending were particularly dishonest. Hawks on both sides warned of doom and gloom if, as the plan called for, the defense budget would have returned to 2007 levels of spending! Does anybody really believe that our defense spending was woefully inadequate just five years ago? And since 2007 we have been told that the wars in Iraq and Afghanistan are winding down. According to the Congressional Budget Office, over the next eight years military spending would increase 20 percent without the sequester and would increase 18 percent with the sequester. And this is what is called a dangerous reduction in defense spending?

Ironically, some of the members who are most vocal against tax increases and in favor of cuts to domestic spending are the biggest opponents of cutting a penny from the Pentagon budget. Over and over we were told of the hundreds of thousands of jobs that would be lost should military spending be returned to 2007 levels. Is it really healthy to think of our defense budget as a jobs program? Many of these allegedly free-market members sound more Keynesian than Paul Krugman when they praise the economic “stimulus” created by militarism.

As Chris Preble of the Cato Institute wrote recently, “It’s easy to focus exclusively on the companies and individuals hurt by the cuts and forget that the taxed wealth that funded them is being employed elsewhere.”

While Congress ultimately bears responsibility for deficit spending, we must never forget that the Federal Reserve is the chief enabler of deficit spending. Without a central bank eager to monetize the debt, Congress would be unable to fund the welfare-warfare state without imposing unacceptable levels of taxation on the American people. Of course, the Federal Reserve’s policies do impose an “inflation” tax on the American people; however, since this tax is hidden Congress does not fear the same public backlash it would experience if it directly raised income taxes.

I have little hope that a majority of Congress and the President will change their ways and support real spending reductions unless forced to by an economic crisis or by a change in people’s attitudes toward government. Fortunately, increasing numbers of Americans are awakening to the dangers posed by the growth of the welfare-warfare state. Hopefully this movement will continue to grow and force the politicians to reverse course before government spending, taxing, and inflation destroys our economy entirely.

It was good that Ron Paul placed blame on both political parties and on the Federal Reserve for our debt problems.

The Federal Reserve is not often talked about much when it comes to assigning blame for the debt, but it truly is one of the primary reasons why our debt is so enormous today.  The Federal Reserve system was designed to be a perpetual government debt machine, and it has accomplished that task very well.

When the Federal Reserve was first created, the total U.S. national debt was less than 3 billion dollars.

That is about as much as we add to the U.S. national debt every single day at this point.

And since Ben Bernanke took the reigns at the Fed, our debt problems have greatly accelerated.

The U.S. national debt has more than doubled from a little over $8 trillion to more than $16.4 trillion since Ben Bernanke became chairman of the Federal Reserve in 2006.

But disaster has not struck yet, so most Americans think that everything must be okay.

Well, if you want to ignore all of the evidence of our impending economic demise, go ahead and do that.  Go on lots of expensive vacations, run up your credit cards, buy a new boat and party like its 1999.  Enjoy every minute of our debt-fueled prosperity while you still can.  You only live once, right?

But if you are wise, you will try to understand what is coming and you will make preparations so that you and your family will be able to withstand the storm that is coming.  Here are some basic steps that I suggest…

-Use this time of relative prosperity to work hard and make money while you still can.  You want to store up your finances during the good times to help you get through the lean times.

-Get out of debt.  You don’t want massive amounts of debt weighing you down when things get really hard.

-Get more independent of the world system.  Start a side business in the evenings and the weekends.  Learn how to grow your own food.  Get your house off of the grid if possible.  Anything you can do to become more independent and more self-sufficient is good.

-Store food and other essential supplies.  Right now we take for granted that the supermarkets and the big box stores will always be packed with mountains of quality goods at affordable prices.  That may not always be the case.  You want to be prepared for whatever may happen.

For even more tips, please see my previous article entitled “How To Prepare For The Difficult Years Ahead“.

All bubbles eventually burst.

Our national debt bubble will eventually burst.

The derivatives bubble will eventually burst.

The consumer debt bubble will eventually burst.

When those bubbles burst, will you be ready?

I hope and pray that you will.

2013 - Time Is Running Out

50 Predictions For 2013

50 Predictions For 2013Are you ready for a wild 2013?  It should be a very interesting year.  When the calendar flips over each January, lots of people make lots of lists.  They make lists of “resolutions”, but most people never follow through on them.  They make lists of “predictions”, but most of those predictions always seem to end up failing.  Well, I have decided to put out my own list of predictions for 2013.  I openly admit that I won’t get all of these predictions right, and that is okay.  Hopefully I will at least be more accurate than most of the other armchair prognosticators out there.  It is important to look ahead and try to get a handle on what is coming, because I believe that the rest of this decade is going to be extraordinarily chaotic for the U.S. economy.  The false bubble of debt-fueled prosperity that we are enjoying right now is not going to last much longer.  When it comes to an end, the “adjustment” is going to be extremely painful.  Those that understand what is happening and have prepared for it will have the best chance of surviving what is about to hit us.  I honestly don’t know what everybody else is going to do.  Many of the people that don’t see the coming collapse approaching will be totally blindsided by it and will totally give in to despair when they realize what has happened.  But there is no excuse for not seeing what is coming – the signs are everywhere.

So with that being said, the following are 50 bold predictions for 2013…

#1 There will be a major fight between the Republicans and the Democrats over raising the debt ceiling.  This will be one of the stories that dominates news headlines in the months of February and March.

#2 Most of the new “revenue” that will be raised by tax increases in 2013 will come out of the pockets of the middle class.

#3 No matter what “fiscal deals” the Democrats and the Republicans make in 2013, the federal budget deficit will still end up being greater than a trillion dollars for the fifth consecutive year.

#4 The credit rating of the U.S. government will be downgraded again in 2013.

#5 The Federal Reserve, along with major central banks all over the globe, will continue to wildly print money.

#6 There will be more criticism of the Federal Reserve in 2013 than at any other time since it was created back in 1913.

#7 The term “currency war” will be used by the media more in 2013 than it was in 2012.

#8 The movement away from the U.S. dollar as the primary reserve currency of the world will pick up momentum.  This will especially be true in Asia.

#9 The economic depressions in Greece and Spain will get even worse and unemployment in the eurozone will go even higher in 2013.

#10 A financial crisis in Europe will cause officials to grasp for “radical solutions” that will surprise many analysts.

#11 The unemployment rate in the United States will be higher by the end of 2013 than it is now.

#12 The percentage of working age Americans with a job will fall below 58 percent by the end of the year.

#13 At least one “too big to fail” bank will fail in the United States by the end of 2013.

#14 By the end of the year, more people than ever will understand what “derivatives” are, and that will be because they have caused major problems in the financial world.

#15 We will see the beginnings of another major housing crisis before the end of 2013 and foreclosure activity will start rising once again.

#16 We will see another new wave of “tent cities” start to go up in communities around the nation before the end of the year.

#17 There will be another major drought in the United States this upcoming summer and there will be widespread crop failures once again.

#18 The massive dust storms that we have seen roll through cities like Phoenix in recent years will become even larger and even more intense.

#19 Traffic along the Mississippi River will be significantly interrupted at some point during 2013.  This will be a very negative thing for the economy.

#20 Food prices will soar in 2013.  This will especially be true for meat products.

#21 In some of the poorer areas of the globe, major food riots will break out.  Governments will have trouble containing the civil unrest.

#22 There will be more genetically-modified foods in our supermarkets than ever before, and more Americans than ever will reject them and will seek out alternatives.

#23 The average price of a gallon of gasoline in 2012 was about $3.60.  The average price of a gallon of gasoline in 2013 will be lower than that.  Yes, you read that correctly.

#24 The number of vehicle miles driven in the United States will continue to decline in 2013.

#25 The Dow will end 2013 significantly lower than it is right now.

#26 When the final statistics for 2013 are compiled, U.S. share of global GDP will be less than 20 percent for the first time in modern history.  Back in the year 2001, our share of global GDP was 31.8 percent.

#27 The U.S. Postal Service will continue to experience massive financial difficulties and will lay off personnel.

#28 As violence in our public schools becomes increasingly worse, more Americans families than ever will decide to home school their children.

#29 The Obama administration and Democrats in Congress will make an all-out attempt to pass gun control measures in 2013.  When their efforts on the legislative front are stalled somewhat by Republicans in the House, Obama will use his executive powers to further his gun control agenda.

#30 One of the cities with the strongest gun laws in the nation, Chicago, had 532 murders in 2012 and it is now considered to be one of the most dangerous cities on the planet.  By the end of 2013, the murder total in Chicago will be above 600.

#31 There will be an increasing amount of tension between state governments and the federal government.  The issue of “states rights” will move front and center at various points in 2013.

#32 CNN will continue to sink to horrifying new lows.  Piers Morgan will end up leaving the network before the end of the year.

#33 The number of Americans on food stamps will surpass 50 million for the first time ever at some point during 2013.

#34 The U.S. trade deficit with China in 2013 will be well over 300 billion dollars.

#35 The phrase “made in China” will increasingly be viewed as a reason not to buy a product as Americans become more educated about the millions of good jobs that we have lost to China over the past decade.

#36 We will see increasing cooperation between the governments of the United States, Canada and Mexico and border restrictions will be loosened.

#37 There will continue to be a mass exodus of families and businesses out of the state of California.  The favorite destination will continue to be Texas, but Texas residents will become increasingly resentful of all of these new transplants.

#38 There will be some truly jaw-dropping examples of violence by parents against their own children in 2013.  Many of these stories will make headlines all over the nation.

#39 The percentage of Americans that are obese will continue to rise and will set another new all-time record in 2013.

#40 There will be more war in the Middle East in 2013.  But it will only set the stage for even more war in the Middle East in 2014 and 2015.

#41 U.S. troops will be deployed in more countries than ever before in 2013.

#42 Volcanic eruptions and major earthquakes along the Ring of Fire will make headlines all over the globe in 2013.

#43 Giant sinkholes will continue to appear all over the United States and all over the globe, and scientists will continue to struggle to find an explanation for why it is happening.

#44 The peak of the solar cycle in 2013 will cause significant problems for satellite communications.

#45 The U.S. government will put more resources into the surveillance of the American people than ever before, but most Americans won’t mind all of this surveillance because they have become convinced that it is important to give up some of our liberties for more “security”.

#46 Our infrastructure (roads, bridges, tunnels, airports, sewers, electrical grids, etc.) will be in worse shape by the end of 2013 than it is now.

#47 The percentage of “two parent households” in the United States will continue to decline.

#48Political correctness” will reach ridiculous new heights during 2013, and more Americans than ever will start to rebel against it.

#49 There will be more anger at the wealthy in 2013 than at any other time in modern history.

#50 There will be some shocking political scandals in Washington D.C. in 2013.  We will see some high profile resignations by the end of the year.

Once again, please keep in mind that I do not expect to be 100% correct about all of these things.  I am just trying to put all of the pieces of the puzzle together just like everyone else is.

But I do hope to have a better track record than most of the other people putting out lists of predictions at the beginning of this year.  So save this list and let’s revisit it at the end of the year.

Do you have any bold predictions of your own for 2013?  Please feel free to share them by posting a comment below…

Earth From Space

Say Goodbye To The Good Life

Say Goodbye To The Good Life - The U.S. Capitol With A Babylonian Holiday Tree In The ForegroundWill this be the last normal holiday season that Americans ever experience?  To many Americans, such a notion would be absolutely inconceivable.  After all, in the affluent areas of the country restaurants and malls are absolutely packed.  Beautiful holiday decorations are seemingly everywhere this time of the year and children all over the United States are breathlessly awaiting the arrival of Santa Claus.  Even though poverty is exploding to unprecedented levels, most families will still have mountains of presents under their Christmas trees.  Of course a whole lot of those presents were purchased with credit cards, but people don’t like to talk about that.  It kind of spoils the illusion.  Sadly, the truth is that our entire economy is a giant illusion.  The extreme prosperity that we have been enjoying has been fueled by debt, and any future prosperity that we will experience is completely dependent on our ability to go into even more debt.  The total amount of debt in our economy is almost 10 times larger than it was just 30 years ago, but we don’t like to think about that too much.  Most Americans are way too busy living the good life to be bothered with “doom and gloom”.  Well, get ready to say goodbye to normal.  As history has shown us, no financial bubble lasts forever, and time is rapidly running out for us.

You know that the hour is late when even mainstream news sources start publishing articles with titles such as this: “Will 2013 Mark the Beginning of American Decline?

That article appeared on Bloomberg.com the other day, and it was written by Simon Johnson, a former chief economist at the International Monetary Fund.  He is convinced that a day of reckoning is coming for U.S. government finances, and he seems resigned to the fact that we will not be ready when that day arrives…

“Sooner or later, it will be America’s turn to fall out of favor with investors and to see its own interest rates rise. It is hard to know when that day will come, or precisely what pressures the country will face.

Let me only venture one forecast: We will not be ready.”

Other analysts are far more pessimistic.  For example, the following is what Gerald Celente said about the “bond bubble” during a recent interview with King World News

Eric King: “Gerald, I wanted to take a look at this upcoming issue you have coming out. (In here it says,) ‘Bonds Away! The bond bomb is ready to explode … threatening to make the real estate and dot-com bubbles, and even the Great Recession, look like market corrections.’ Can you talk about that?”

Celente: “Yes. This piece is being penned by Dr. Paul Craig Roberts, the former Assistant Treasury Secretary under Ronald Reagan. And he is convinced that the bond bubble is about to burst. This cannot continue to go on the way it is. Everyone knows that the whole game is rigged, and so is this….”

“The whole game is rigged. It’s ready to go down, and Dr. Paul Craig Roberts believes it’s ‘Bonds Away’ in 2013 as the bond bubble explodes and brings about a financial disaster even worse than the Great Depression.”

Eric King: “He’s saying here it’s a road to financial collapse that we are going to head down when this thing bursts.”

Celente: “It is. Because the whole world is being propped up by these phony bonds and it’s going to collapse. It has to happen. Interest rates are going to start going up, and when they do the bond bubble explodes. You cannot keep interest rates at zero for this amount of time and expect anything other than disaster to follow.”

For much more on all this, you can listen to another excellent interview with Gerald Celente right here.

Our politicians just assume that we will be able to borrow trillions upon trillions of dollars far into the future at super low interest rates, but that is a very dangerous assumption.

As I noted the other day, the average rate of interest on U.S. government debt was 2.534 percent at the end of November.  If that number just rose to where it was about a decade earlier we would be in a massive amount of trouble.

Back in the year 2000, the average rate of interest on U.S. government debt was 6.638 percent.  If we were at that level today, the U.S. government would be paying out more than a trillion dollars a year just in interest on the national debt.

But our politicians just keep borrowing and spending as if we could do this forever.

From the time that George Washington was inaugurated (1789) to the time that George W. Bush was inaugurated (2001), the U.S. government accumulated about 5.7 trillion dollars of debt.

During the first four years of the Obama administration, the U.S. government accumulated about 5.7 trillion dollars of debt.

How can anyone support this kind of insanity?

You can see an excellent video demonstrating the vastness of our national debt right here.  In the end, all of this debt will absolutely destroy the U.S. dollar, our economic system and the bright futures that our children and our grandchildren were supposed to have.

As if all of that was not enough to be concerned about, there is also the threat that Wall Street could implode at any time.  Most Americans have no idea that Wall Street has been transformed into the largest casino in the history of the world.  The “too big to fail” banks are the ringleaders, and the derivatives bubble hangs over our financial system like a “sword of Damocles” that could fall at virtually any moment.

Everything will remain fine as long as the spiral of derivatives that our bankers have constructed remains perfectly balanced.  But if something happens and it becomes unbalanced and starts to collapse, the consequences could be unlike anything we have ever seen before.

A recent Zero Hedge article entitled “1000x Systemic Leverage: $600 Trillion In Gross Derivatives ‘Backed’ By $600 Billion In Collateral” detailed how there is barely any collateral backing up the hundreds of trillions of dollars of derivatives that are out there…

But a bigger question is what is the actual collateral backing this gargantuan market which is about 10 times greater than the world’s combined GDP, because as the “derivative” name implies all this exposure is backed on some dedicated, real assets, somewhere. Luckily, the IMF recently released a discussion note titled “Shadow Banking: Economics and Policy” where quietly hidden in one of the appendices it answers precisely this critical question. The bottom line: $600 trillion in gross notional derivatives backed by a tiny $600 billion in real assets: a whopping 0.1% margin requirement! Surely nothing can possibly go wrong with this amount of unprecedented 1000x systemic leverage.

Our entire economy has become a giant pyramid of debt, risk and leverage.  At some point there is going to be a giant crash.  When that happens, people are going to become very desperate.

When people become very desperate, they often accept “solutions” that they were not willing to consider previously.

We need to learn some lessons from history.  This is exactly the kind of thing that happened back in the 1930s.

For example, an elderly woman named Kitty Werthmann is telling audiences what life was like in Austria back in the late 1930s…

“In 1938, Austria was in deep Depression. Nearly one-third of our workforce was unemployed. We had 25 percent inflation and 25 percent bank loan interest rates.”

“Farmers and business people were declaring bankruptcy daily. Young people were going from house to house begging for food. Not that they didn’t want to work; there simply weren’t any jobs.”

The Austrian people were really hurting and they were desperate for answers.  When Hitler came to them with “solutions”, they were ready to embrace him with open arms…

“We looked to our neighbor on the north, Germany, where Hitler had been in power since 1933.” she recalls. “We had been told that they didn’t have unemployment or crime, and they had a high standard of living.”

“Nothing was ever said about persecution of any group – Jewish or otherwise. We were led to believe that everyone in Germany was happy. We wanted the same way of life in Austria. We were promised that a vote for Hitler would mean the end of unemployment and help for the family. Hitler also said that businesses would be assisted, and farmers would get their farms back.””Ninety-eight percent of the population voted to annex Austria to Germany and have Hitler for our ruler.”

“We were overjoyed,” remembers Kitty, “and for three days we danced in the streets and had candlelight parades. The new government opened up big field kitchens and everyone was fed.”

Sadly, America is already starting to go down the same path in many ways.  If you doubt this, you can read the rest of her account right here.

Right now, things are still relatively good in America.  Yes, there are a whole host of economic numbers that look really bad, but what we are experiencing right now is nothing compared to the horrific economic pain that is coming.

When our economy finally crashes, nobody is going to be able to press a button and restore things to how they were previously.  We will be told that we have to “adjust” and consider “new solutions” to our “new challenges”.  Someday we will look back on the good life that we were enjoying in 2010, 2011 and 2012 and wish that we could go back to those days.

So enjoy the relative peacefulness and prosperity of these times while you still can.  A horrific economic collapse is on the way, and once it strikes none of our lives will ever be the same.

Santa Claus - A Symbol Of Our Materialism

75 Economic Numbers From 2012 That Are Almost Too Crazy To Believe

75 Economic Numbers From 2012 That Are Almost Too Crazy To BelieveWhat a year 2012 has been!  The mainstream media continues to tell us what a “great job” the Obama administration and the Federal Reserve are doing of managing the economy, but meanwhile things just continue to get even worse for the poor and the middle class.  It is imperative that we educate the American people about the true condition of our economy and about why all of this is happening.  If nothing is done, our debt problems will continue to get worse, millions of jobs will continue to leave the country, small businesses will continue to be suffocated, the middle class will continue to collapse, and poverty in the United States will continue to explode.  Just “tweaking” things slightly is not going to fix our economy.  We need a fundamental change in direction.  Right now we are living in a bubble of debt-fueled false prosperity that allows us to continue to consume far more wealth than we produce, but when that bubble bursts we are going to experience the most painful economic “adjustment” that America has ever gone through.  We need to be able to explain to our fellow Americans what is coming, why it is coming and what needs to be done.  Hopefully the crazy economic numbers that I have included in this article will be shocking enough to wake some people up.

The end of the year is a time when people tend to gather with family and friends more than they do during the rest of the year.  Hopefully many of you will use the list below as a tool to help start some conversations about the coming economic collapse with your loved ones.  Sadly, most Americans still tend to doubt that we are heading into economic oblivion.  So if you have someone among your family and friends that believes that everything is going to be “just fine”, just show them these numbers.  They are a good summary of the problems that the U.S. economy is currently facing.

The following are 50 economic numbers from 2012 that are almost too crazy to believe…

#1 In December 2008, 31.6 million Americans were on food stamps.  Today, a new all-time record of 47.7 million Americans are on food stamps.  That number has increased by more than 50 percent over the past four years, and yet the mainstream media still has the gall to insist that “things are getting better”.

#2 Back in the 1970s, about one out of every 50 Americans was on food stamps.  Today, about one out of every 6.5 Americans is on food stamps.

#3 According to one calculation, the number of Americans on food stamps now exceeds the combined populations of “Alaska, Arkansas, Connecticut, Delaware, District of Columbia, Hawaii, Idaho, Iowa, Kansas, Maine, Mississippi, Montana, Nebraska, Nevada, New Hampshire, New Mexico, North Dakota, Oklahoma, Oregon, Rhode Island, South Dakota, Utah, Vermont, West Virginia, and Wyoming.”

#4 According to one recent survey, 55 percent of all Americans have received money from a safety net program run by the federal government at some point in their lives.

#5 For the first time ever, more than a million public school students in the United States are homeless.  That number has risen by 57 percent since the 2006-2007 school year.

#6 Median household income in the U.S. has fallen for four consecutive years.  Overall, it has declined by over $4000 during that time span.

#7 Families that have a head of household under the age of 30 have a poverty rate of 37 percent.

#8 The percentage of working age Americans with a job has been under 59 percent for 39 months in a row.

#9 In September 2009, during the depths of the last economic crisis, 58.7 percent of all working age Americans were employed.  In November 2012, 58.7 percent of all working age Americans were employed.  It is more then 3 years later, and we are in the exact same place.

#10 When you total up all working age Americans that do not have a job in America today, it comes to more than 100 million.

#11 According to one recent survey, 55 percent of all small business owners in America “say they would not start a business today given what they know now and in the current environment.”

#12 The number of jobs at new small businesses continues to decline.  According to economist Tim Kane, the following is how the decline in the number of startup jobs per 1000 Americans breaks down by presidential administration

Bush Sr.: 11.3

Clinton: 11.2

Bush Jr.: 10.8

Obama: 7.8

#13 The U.S. share of global GDP has fallen from 31.8 percent in 2001 to 21.6 percent in 2011.

#14 The United States has fallen in the global economic competitiveness rankings compiled by the World Economic Forum for four years in a row.

#15 There are four major U.S. banks that each have more than 40 trillion dollars of exposure to derivatives.

#16 In 2000, there were more than 17 million Americans working in manufacturing, but now there are less than 12 million.

#17 According to the Pew Research Center, 61 percent of all Americans were “middle income” back in 1971.  Today, only 51 percent of all Americans are.

#18 The Pew Research Center has also found that 85 percent of all middle class Americans say that it is harder to maintain a middle class standard of living today than it was 10 years ago.

#19 62 percent of all middle class Americans say that they have had to reduce household spending over the past year.

#20 Right now, approximately 48 percent of all Americans are either considered to be “low income” or are living in poverty.

#21 Approximately 57 percent of all children in the United States are living in homes that are either considered to be either “low income” or impoverished.

#22 According to one survey, 77 percent of all Americans are now living paycheck to paycheck at least part of the time.

#23 Back in 1950, more than 80 percent of all men in the United States had jobs.  Today, less than 65 percent of all men in the United States have jobs.

#24 The average amount of time that an unemployed worker stays out of work in the United States is 40 weeks.

#25 If you can believe it, approximately one out of every four American workers makes 10 dollars an hour or less.

#26 According to the U.S. Census Bureau, an all-time record 49 percent of all Americans live in a home where at least one person receives financial assistance from the federal government.  Back in 1983, that number was less than 30 percent.

#27 Right now, more than 100 million Americans are enrolled in at least one welfare program run by the federal government.  And that does not even count Social Security or Medicare.  Overall, there are almost 80 different “means-tested welfare programs” that the federal government is currently running.

#28 When you account for all government transfer payments and all forms of government employment, more than half of all Americans are now at least partially financially dependent on the government.

#29 Barack Obama has been president for less than four years, and during that time the number of Americans “not in the labor force” has increased by nearly 8.5 million.  Something seems really “off” about that number, because during the entire decade of the 1980s the number of Americans “not in the labor force” only rose by about 2.5 million.

#30 Electricity bills in the United States have risen faster than the overall rate of inflation for five years in a row.

#31 According to USA Today, many Americans have actually seen their water bills triple over the past 12 years.

#32 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.

#33 Right now, approximately 25 million American adults are living with their parents.

#34 As the economy has slowed down, so has the number of marriages.  According to a Pew Research Center analysis, only 51 percent of all Americans that are at least 18 years old are currently married.  Back in 1960, 72 percent of all U.S. adults were married.

#35 At this point, only 24.6 percent of all jobs in the United States are good jobs.

#36 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.

#37 Recently it was announced that total student loan debt in the United States has passed the one trillion dollar mark.

#38 If you can believe it, one out of every seven Americans has at least 10 credit cards.

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

#40 In the city of Detroit today, more than 50 percent of all children are living in poverty, and close to 50 percent of all adults are functionally illiterate.

#41 It is being projected that half of all American children will be on food stamps at least once before they turn 18 years of age.

#42 More than three times as many new homes were sold in the United States in 2005 as will be sold in 2012.

#43 If you can believe it, 53 percent of all Americans with a bachelor’s degree under the age of 25 were either unemployed or underemployed last year.

#44 The U.S. economy continues to trade good paying jobs for low paying jobs.  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.

#45 Our trade deficit with China in 2011 was $295.5 billion.  That was the largest trade deficit that one country has had with another country in the history of the planet.

#46 The United States has lost an average of approximately 50,000 manufacturing jobs a month since China joined the World Trade Organization in 2001.

#47 According to the Economic Policy Institute, America is losing half a million jobs to China every single year.

#48 The U.S. tax code is now more than 3.8 million words long.  If you took all of William Shakespeare’s works and collected them together, the entire collection would only be about 900,000 words long.

#49 According to the IMF, the global elite are holding a total of 18 trillion dollars in offshore banking havens such as the Cayman Islands.

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

#51 2012 was the third year in a row that the yield for corn has declined in the United States.

#52 Experts are telling us that global food reserves have reached their lowest level in almost 40 years.

#53 One recent survey discovered that 40 percent of all Americans have $500 or less in savings.

#54 If you can believe it, one recent survey found that 28 percent of all Americans do not have a single penny saved for emergencies.

#55 Medical costs related to obesity in the United States are estimated to be approximately $147 billion a year.

#56 Corporate profits as a percentage of GDP are at an all-time high.  Meanwhile, wages as a percentage of GDP are near an all-time low.

#57 Today, the wealthiest 1 percent of all Americans own more wealth than the bottom 95 percent combined.

#58 The wealthiest 400 families in the United States have about as much wealth as the bottom 50 percent of all Americans combined.

#59 The six heirs of Wal-Mart founder Sam Walton have a net worth that is roughly equal to the bottom 30 percent of all Americans combined.

#60 At this point, the poorest 50 percent of all Americans collectively own just 2.5% of all the wealth in the United States.

#61 Nearly 500,000 federal employees now make at least $100,000 a year.

#62 In 2006, only 12 percent of all federal workers made $100,000 or more per year.  Now, approximately 22 percent of all federal workers do.

#63 If you can believe it, there are 77,000 federal workers that make more than the governors of their own states do.

#64 Nearly 15,000 retired federal workers are collecting federal pensions for life worth at least $100,000 annually.  The list includes such names as Newt Gingrich, Bob Dole, Trent Lott, Dick Gephardt and Dick Cheney.

#65 U.S. taxpayers spend more than 20 times as much on the Obamas as British taxpayers spend on the royal family.

#66 Family homelessness in the Washington D.C. region (one of the wealthiest regions in the entire country) has risen 23 percent since the last recession began.

#67 If Bill Gates gave every single penny of his fortune to the U.S. government, it would only cover the U.S. budget deficit for about 15 days.

#68 During fiscal year 2012, 62 percent of the federal budget was spent on entitlements.

#69 Back in 1965, only one out of every 50 Americans was on Medicaid.  Today, approximately one out of every 6 Americans is on Medicaid.

#70 It is being projected that Obamacare will add 16 million more Americans to the Medicaid rolls.

#71 Medicare is also growing by leaps and bounds.  As I wrote about 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.

#72 Thanks to our foolish politicians (including Obama), Medicare is facing unfunded liabilities of more than 38 trillion dollars over the next 75 years.  That comes to approximately $328,404 for each and every household in the United States.

#73 Amazingly, the U.S. national debt is now up to 16.3 trillion dollars.  When Barack Obama first took office the national debt was just 10.6 trillion dollars.

#74 During the first four years of the Obama administration, the U.S. government accumulated about as much debt as it did from the time that George Washington took office to the time that George W. Bush took office.

#75 Today, the U.S. national debt is more than 5000 times larger than it was when the Federal Reserve was originally created back in 1913.

Please share this article with as many people as you can.  Time is running out, and we need to wake up as many people as possible.

75