The American Dream Is Getting Smaller, And The Reason Why Is Painfully Obvious…

Over the past decade, an unprecedented stock market boom has created thousands upon thousands of new millionaires, and yet the middle class in America has continued to shrink.  How is that even possible?  At one time the United States had the largest and most vibrant middle class in the history of the planet, but now the gap between the wealthy and the poor is the largest that it has been since the 1920s.  Our economy has been creating lots of new millionaires, but at the exact same time we have seen homelessness spiral out of control in our major cities.  Today, being part of the middle class is like playing a really bizarre game of musical chairs.  Each month when the music stops playing, those of us still in the middle class desperately hope that we are not among the ones that slip out of the middle class and into poverty.  Well over 100 million Americans receive money or benefits from the federal government each month, and that includes approximately 40 percent of all families with children.  We are losing our ability to take care of ourselves, and that has frightening implications for the future of our society.

One of the primary reasons why our system doesn’t work for everyone is because virtually everything has been financialized.  In other words, from the cradle to the grave the entire system has been designed to get you into debt so that the fruits of your labor can be funneled to the top of the pyramid and make somebody else wealthier.  The following comes from an excellent Marketwatch article entitled “The American Dream is getting smaller”

More worrying, perhaps: 33% of those surveyed said they think that dream is disappearing. Why? They have too much debt. “Americans believe financial security is at the core of the American Dream, but it is alarming that so many think it is beyond their reach,” said Mike Fanning, head of MassMutual U.S.

Almost everyone that will read this article will have debt.  In America today, we are trained to go into debt for just about everything.

If you want a college education, you go into debt.

If you want a vehicle, you go into debt.

If you want a home, you go into debt.

If you want that nice new pair of shoes, you don’t have to wait for it.  Just go into more debt.

As a result, most Americans are currently up to their necks in red ink

Some 64% of those surveyed said they have a mortgage, 56% said they had credit-card debt and 26% said they have student-loan debt. Many surveyed said they don’t feel financially secure. More than a quarter said they wish they had better control of their finances.

You would have thought that we would have learned from the very hard lessons that the crisis of 2008 taught us.

But instead, we have been on the greatest debt binge in American history in recent years.  Here is more from the Marketwatch article

It makes sense that debt is on Americans’ minds. Collectively, Americans have more than $1 trillion in credit-card debt, according to the Federal Reserve. They have another $1.5 trillion in student loans, up from $1.1 trillion in 2013. Motor vehicle loans are now topping $1.1 trillion, up from $878.5 billion in 2013. And they have another nearly $15 trillion in mortgage debt outstanding.

That is one huge pile of debt.

We criticize the federal government for running up 21 trillion dollars in debt, and rightly so, but American consumers have been almost as irresponsible on an individual basis.

As long as you are drowning in debt, you will never become wealthy.  In order to build wealth, you have got to spend less than you earn, but most Americans never learn basic fundamentals such as this in our rapidly failing system of public education.

Many Americans long to become financially independent, but they don’t understand that our system is rigged against them.  The entire game is all about keeping consumers on that debt wheel endlessly chasing that piece of proverbial cheese until it is too late.

Getting out of debt is one of the biggest steps that you can take to give yourself more freedom, and hopefully this article will inspire many to do just that.

To end this article today, I would like to share 14 facts about how the middle class in America is shrinking that I shared in a previous article

#1 78 million Americans are participating in the “gig economy” because full-time jobs just don’t pay enough to make ends meet these days.

#2 In 2011, the average home price was 3.56 times the average yearly salary in the United States.  But by the time 2017 was finished, the average home price was 4.73 times the average yearly salary in the United States.

#3 In 1980, the average American worker’s debt was 1.96 times larger than his or her monthly salary.  Today, that number has ballooned to 5.00.

#4 In the United States today, 66 percent of all jobs pay less than 20 dollars an hour.

#5 102 million working age Americans do not have a job right now.  That number is higher than it was at any point during the last recession.

#6 Earnings for low-skill jobs have stayed very flat for the last 40 years.

#7 Americans have been spending more money than they make for 28 months in a row.

#8 In the United States today, the average young adult with student loan debt has a negative net worth.

#9 At this point, the average American household is nearly $140,000 in debt.

#10 Poverty rates in U.S. suburbs “have increased by 50 percent since 1990”.

#11 Almost 51 million U.S. households “can’t afford basics like rent and food”.

#12 The bottom 40 percent of all U.S. households bring home just 11.4 percent of all income.

#13 According to the Federal Reserve, 4 out of 10 Americans do not have enough money to cover an unexpected $400 expense without borrowing the money or selling something they own.

#14 22 percent of all Americans cannot pay all of their bills in a typical month.

This article originally appeared on The Economic Collapse Blog.  About the author: Michael Snyder is a nationally syndicated writer, media personality and political activist. He is publisher of The Most Important News and the author of four books including The Beginning Of The End and Living A Life That Really Matters.

The Number Of Americans Living In Their Vehicles “Explodes” As The Middle Class Continues To Disappear

If the U.S. economy is really doing so well, then why is homelessness rising so rapidly?  As the gap between the rich and the poor continues to increase, the middle class is steadily eroding.  In fact, I recently gave my readers 15 signs that the middle class in America is being systematically destroyed.  More Americans are falling out of the middle class and into poverty with each passing day, and this is one of the big reasons why the number of homeless is surging.  For example, the number of people living on the street in L.A. has shot up 75 percent over the last 6 years.  But of course L.A. is far from alone.  Other major cities on the west coast are facing similar problems, and that includes Seattle.  It turns out that the Emerald City has seen a 46 percent rise in the number of people sleeping in their vehicles in just the past year

The number of people who live in their vehicles because they can’t find affordable housing is on the rise, even though the practice is illegal in many U.S. cities.

The number of people residing in campers and other vehicles surged 46 percent over the past year, a recent homeless census in Seattle’s King County, Washington found. The problem is “exploding” in cities with expensive housing markets, including Los Angeles, Portland and San Francisco, according to Governing magazine.

Amazon, Microsoft and other big tech companies are in the Seattle area.  It is a region that is supposedly “prospering”, and yet this is going on.

Sadly, it isn’t just major urban areas that are seeing more people sleeping in their vehicles.  Over in Sioux Falls, South Dakota, many of the homeless sleep in their vehicles even in the middle of winter

Stephanie Monroe, managing director of Children Youth & Family Services at Volunteers of America, Dakotas, tells a similar story. At least 25 percent of the non-profit’s Sioux Falls clients have lived in their vehicles at some point, even during winter’s sub-freezing temperatures.

“Many of our communities don’t have formal shelter services,” she said in an interview. “It can lead to individuals resorting to living in their cars or other vehicles.”

It is time to admit that we have a problem.  The number of homeless in this country is surging, and we need to start coming up with some better solutions.

But instead, many communities are simply passing laws that make it illegal for people to sleep in their vehicles…

A recent survey by the National Law Center on Homelessness and Poverty (NLCHP), which tracks policies in 187 cities, found the number of prohibitions against vehicle residency has more than doubled during the last decade.

Those laws aren’t going to solve anything.

At best, they will just encourage some of the homeless to go somewhere else.

And if our homelessness crisis is escalating this dramatically while the economy is supposedly “growing”, how bad are things going to be once the next recession officially begins?

We live at a time when the cost of living is soaring but our paychecks are not.  As a result, middle class families are being squeezed like never before.

A recent Marketwatch article highlighted the plight of California history teacher Matt Barry and his wife Nicole…

Barry’s wife, Nicole, teaches as well — they each earn $69,000, a combined salary that not long ago was enough to afford a comfortable family life. But due to the astronomical costs in his area, including real estate — a 1,500-square-foot “starter home” costs $680,000 — driving for Uber was a necessity.

“Teachers are killing themselves,” Barry says in Alissa Quart’s new book, “Squeezed: Why Our Families Can’t Afford America” (Ecco), out Tuesday. “I shouldn’t be having to drive Uber at eight o’clock at night on a weekday. I just shut down from the mental toll: grading papers between rides, thinking of what I could be doing instead of driving — like creating a curriculum.”

Home prices are completely out of control, but that bubble should soon burst.

However, other elements of our cost of living are only going to become even more painful.  Health care costs rise much faster than the rate of inflation every year, food prices are becoming incredibly ridiculous, and the cost of a college education is off the charts.  According to author Alissa Quart, living a middle class life is “30% more expensive” than it was two decades ago…

“Middle-class life is now 30% more expensive than it was 20 years ago,” Quart writes, citing the costs of housing, education, health care and child care in particular. “In some cases the cost of daily life over the last 20 years has doubled.”

And thanks to the trade war, prices are going to start going up more rapidly than we have seen in a very long time.

On Tuesday, we learned that diaper and toilet paper prices are rising again

Procter & Gamble said on Tuesday that it was in the process of raising Pampers’ prices in North America by 4%. P&G also began notifying retailers this week that it would increase the average prices of Bounty, Charmin, and Puffs by 5%.

P&G is raising prices because commodity and transportation cost pressures are intensifying. The hikes to Bounty and Charmin will go into effect in late October, and Puffs will become more expensive beginning early next year.

I wish that I had better news for you, but I don’t.  We are all going to have to work harder, smarter and more efficiently.  And we are definitely going to have to tighten our belts.

Many middle class families are relying on debt to get them from month to month, and consumer debt in the United States has surged to an all-time high.  But eventually a day of reckoning comes, and we all understand that.

The U.S. economy is not going to be getting any better than it is right now.  So it is time to be a lean, mean saving machine, because it will be important to have a financial cushion for the hard times that are ahead of us.

Michael Snyder is a nationally syndicated writer, media personality and political activist. He is publisher of The Most Important News and the author of four books including The Beginning Of The End and Living A Life That Really Matters.

Police Union President Laments That Portland Has Become A “Cesspool” As West Coast Cities Struggle With An Unprecedented Surge In Homelessness

Even though it has always been kind of crazy, at one time Portland, Oregon was quite an attractive place to live, but now those days are long gone.  Today, the city streets are strewn with garbage, drug paraphernalia and human feces.  Mentally ill homeless people and drug addicts wander about like zombies, and there are certain areas of the city that you absolutely do not want to visit at night.  In essence, the city is slowly becoming a post-apocalyptic version of its former self, and those that love the city are seething with frustration.  Of course Portland is simply experiencing the same surge in homelessness that so many other west coast cities are struggling to deal with.  As housing prices have risen dramatically, many on the lower end of the income scale have been priced out of the market entirely, and an increasing number of people are being forced to sleep in vehicles, in shelters or on the streets.

The president of the police union in Portland has had enough.  His officers are overwhelmed by the needs of the homeless on a nightly basis, and he is calling on the mayor to finally do something to resolve this crisis.  The following is the first paragraph from a statement that PPA President Daryl Turner just released

Our City has become a cesspool. Livability that once made Portland a unique and vibrant city is now replaced with human feces in businesses doorways, in our parks, and on our streets. Aggressive panhandlers block the sidewalks, storefronts, and landmarks like Pioneer Square, discouraging people from enjoying our City. Garbage-filled RVs and vehicles are strewn throughout our neighborhoods. Used needles, drug paraphernalia, and trash are common sights lining the streets and sidewalks of the downtown core area, under our bridges, and freeway overpasses. That’s not what our families, business owners, and tourists deserve.

If that sounds familiar, that is because many other west coast cities are dealing with the exact same issues right now.

For example, new San Francisco Mayor London Breed recently admitted that there “is more feces on the sidewalks than I’ve ever seen”

There is more feces on the sidewalks than I’ve ever seen growing up here,” Breed told KNTV. “That is a huge problem and we are not just talking about from dogs — we’re talking about from humans.”

The streets of San Francisco are littered with a “dangerous mix of drug needles, garbage, and feces”, KNTV’s investigative team reported in February after surveying the city’s streets.

And a lot of other San Francisco residents have noticed the exact same thing.  In fact, during one recent seven day period 16,000 complaints were submitted to the city about human feces.

Sounds like a great place to live, right?

It is important to keep in mind that San Francisco supposedly has a “booming economy” and some of the highest real estate prices in the entire nation.

If this is happening in a “prosperous area”, what are things like in major cities where things are not so prosperous?

Down in L.A., there was a nearly 26 percent increase in homelessness in 2017, and overall homelessness in L.A. has risen 75 percent over the past 6 years.

Let that sink in for a moment.

During this supposed “economy recovery”, our second largest city has seen homelessness go up 75 percent.

Sadly, it is estimated that 25 percent of the nation’s entire homeless population now lives in California…

While it’s tough to say precisely how many Californians are experiencing homelessness, the federal Housing and Urban Development Department estimates the number statewide at 130,000 on a given night. That’s 25 percent of the entire nation’s homeless population. Since 2016, California experienced a larger increase in homelessness than any other state.

At one time, L.A.’s “skid row” was limited to a single street, but now it goes on mile after mile.  I just have to share with you the following excerpt from an excellent article about what life is like for those living on this famous stretch of real estate

Most of its 2,000 residents sleep in tents or under tarps. Those with more status occupy the sides of streets shaded by trees. Location, location, location. The lowest caste sleep on cardboard or nothing. Some people rent tents for a few bucks a night.

There are no liquor stores so businessmen buy alcohol from shops a few miles away and sell it at a steep mark-up. Loan sharks collect debts by taking control of the debit cards issued to homeless people by government agencies.

A guy sits at a table on the sidewalk selling cigarettes and joints. The city has installed sidewalk restrooms. Ruffin pointed to one and figured people inside were shooting up or smoking. Meth, heroin and crack are the scourges of choice. Needles litter the gutter, as does a dead rat. On another block, homeless entrepreneurs chop and assemble bicycles for sale.

And let us not forget about Seattle.  Homeless encampments have become so pervasive in “the Emerald City” that authorities started building “tiny house villages” for the homeless out of desperation.  But these “tiny house villages” are a lot more depressing than they sound

In the nearby neighborhood of Wallingford, a newly erected outpost of small wooden shacks offer shelter for 22 of Seattle’s homeless residents. This is a “tiny house village,” sanctioned by the city as a kind of middle ground between living at a street address and on the street. The buildings sit in the corner of a parking lot across from a seafood restaurant, shielded from view by a metal fence. Each shack, painted with one of the bold colors of a Crayola starter pack, offers electricity and a roof sturdier than the tents in Seattle’s increasingly common homeless encampments. Every resident is issued a window fan for the occasional hot day, and the people here hope to receive heaters before winter. But the small collections of potted petunias and pothos that sit in front of their temporary homes are unlikely to survive the city’s harshest months.

Unfortunately, this is probably only just the beginning of this crisis.  Homelessness always explodes during a recession, and many believe that we are rapidly approaching another one.  West coast cities are really struggling to deal with this crisis right now, and it is hard to imagine how they will deal with the tsunami of human suffering that is coming their way once economic conditions begin to sour.

Michael Snyder is a nationally syndicated writer, media personality and political activist. He is publisher of The Most Important News and the author of four books including The Beginning Of The End and Living A Life That Really Matters.

15 Signs That The Middle Class In The United States Is Being Systematically Destroyed

If your family is really struggling right now, you are far from alone.  I have been publishing The Economic Collapse Blog for more than eight years, and all throughout that time I have seen the middle class in America get smaller and smaller and smaller.  It is almost as if we are all playing a really bizarre game of musical chairs and every month someone pulls a few more chairs from the game.  Yes, there are some people that have gotten exceedingly wealthy over the past eight years, and most of that wealth is concentrated in places such as New York, Washington D.C. and San Francisco.  But meanwhile, most of the rest of the country has been steadily getting poorer.  Just take a look at Detroit – at one time it had the highest per capita income in the entire nation and now it is a rotting, decaying war zone.  Of course dozens of other formerly great manufacturing cities all over the nation have suffered a similar fate.  Since 2001, we have lost more than 70,000 manufacturing facilities and millions of good paying manufacturing jobs.  Those good paying jobs have been replaced by lower paying “service jobs”, and you can’t support a middle class lifestyle on those types of jobs.

In order to have a thriving middle class, you need middle class jobs, and our country is in desperate need of more of those jobs.  At this point most American families are living on the edge, and more are falling into poverty with each passing month.  The following are 15 signs that the middle class in the United States is being systematically destroyed…

#1 78 million Americans are participating in the “gig economy” because full-time jobs just don’t pay enough to make ends meet these days.

#2 In 2011, the average home price was 3.56 times the average yearly salary in the United States.  But by the time 2017 was finished, the average home price was 4.73 times the average yearly salary in the United States.

#3 In 1980, the average American worker’s debt was 1.96 times larger than his or her monthly salary.  Today, that number has ballooned to 5.00.

#4 In the United States today, 66 percent of all jobs pay less than 20 dollars an hour.

#5 102 million working age Americans do not have a job right now.  That number is higher than it was at any point during the last recession.

#6 Earnings for low-skill jobs have stayed very flat for the last 40 years.

#7 Americans have been spending more money than they make for 28 months in a row.

#8 In the United States today, the average young adult with student loan debt has a negative net worth.

#9 At this point, the average American household is nearly $140,000 in debt.

#10 Poverty rates in U.S. suburbs “have increased by 50 percent since 1990”.

#11 Almost 51 million U.S. households “can’t afford basics like rent and food”.

#12 The bottom 40 percent of all U.S. households bring home just 11.4 percent of all income.

#13 According to the Federal Reserve, 4 out of 10 Americans do not have enough money to cover an unexpected $400 expense without borrowing the money or selling something they own.

#14 22 percent of all Americans cannot pay all of their bills in a typical month.

#15 Today, U.S. households are collectively 13.15 trillion dollars in debt.  That is a new all-time record.

When you think of “poverty in America”, you probably think of our blighted inner cities, but that is not where poverty is growing the fastest.

According to author Scott Allard, it is actually our suburbs where poverty is growing more rapidly than anywhere else…

According to a May report from the Pew Research Center, since 2000, suburban counties have experienced sharper increases in poverty than urban or rural counties.

This is consistent with research across the U.S. over the past decade – as well as my own book, “Places in Need.”

This is why tens of millions of square feet of retail space is being closed down and why formerly great shopping malls all over America now resemble ghost towns.

When I was growing up, the shopping mall was the place to be for average middle class kids.  My family was middle class and virtually everyone that I knew was middle class.  In fact, I don’t remember any really wealthy or really poor kids in my school at all.

But today most families have little to no financial cushion and are deep in debt.  As a result, discretionary income has really dried up and that means less shopping.

So we are on pace for the worst year for store closings in American history, and yet the mainstream media keeps telling us that the economy is in “good shape”.

That is a load of nonsense.  The numbers don’t lie, and the U.S. economy is never going to be in “good shape” until the middle class starts growing again.

Is there a solution?

Well, the mayor of Stockton, California seems convinced that the solution is just to give people free money.  The following comes from Reuters

Michael Tubbs, the 27-year-old mayor of Stockton, California, has a radical plan to combat poverty in his cash-strapped city: a “no strings” guaranteed basic income of $500 a month for its residents.

Starting in early 2019, Tubbs plans to provide the monthly stipend to a select group of residents as part of a privately funded 18-month experiment to assess how people use the money.

Wouldn’t it be wonderful if we all just started getting big, fat checks from the government every month?

Why didn’t somebody think about this before?

Of course the truth is that we simply cannot afford to do that.  State and local government debt levels have surged to record highs, and the federal government is now 21 trillion dollars in debt.  We are on a path that leads to national suicide, and we desperately need to start living within our means.

We have been consuming far more wealth than we have been producing for a very long time, but we have been doing it for so long that many of us now think that this is “normal”.  Meanwhile, our long-term debt problems continue to escalate and our once thriving middle class continues to shrink.

If we continue to do the same things, we will continue to get the same results, and right now we are in the process of absolutely destroying the greatest economic machine that the world has ever seen.

Michael Snyder is a nationally syndicated writer, media personality and political activist. He is the author of four books including The Beginning Of The End and Living A Life That Really Matters.

16 Reasons Why You Shouldn’t Live In California

San Francisco Skyline - Public DomainIt has been said that “as California goes, so goes the nation”.  That is why it is such a shame what is happening to that once great state.  At one time, California seemed to be the epicenter of the American Dream.  Featuring some of the most beautiful natural landscapes in the entire world, the gorgeous weather and booming economy of the state inspired people from all over the world to move to the state.  But now people are moving out of the state by the millions, because life in California has literally become a nightmare for so many people.

I certainly don’t have anything against the state personally.  My brother and sister were both born there, and I spent a number of my childhood years in stunning northern California.  When I was younger I would sometimes dream of getting a place on the coast eventually, but for reasons I will discuss below I no longer think that would be advisable.

In fact, if I was living in California today I would be immediately looking for a way to move out of the state unless I specifically felt called to stay.  The following are 16 reasons why you shouldn’t live in California…

#1 The entire California coastline is part of the “Ring of Fire” seismic zone that roughly encircles the Pacific Ocean.  The San Andreas Fault has been described as a “time bomb“, and at some point there will be a catastrophic earthquake that absolutely devastates the entire region.  In fact, a study that was just released says that a “major earthquake” on the San Andreas Fault “is way overdue”

A recently published study reveals new evidence that a major earthquake is way overdue on a 100 mile stretch of the San Andreas Fault from the Antelope Valley to the Tejon Pass and beyond.

Researchers with the U.S. Geological Survey released the results of the years-long study warning a major earthquake could strike soon.

#2 Out of all 50 states, the state of California has been ranked as the worst state for business for 12 years in a row

In what is sounding like a broken record, California once again ranked dead last in Chief Executive magazine’s annual Best and Worst States for Business survey of CEOs – as it has all 12 years the survey has been conducted. Texas, meanwhile, earned the top spot for the 12th straight year.

Among the survey’s subcategories, the 513 CEOs from across the nation ranked California 50th in taxation and regulation, 35th in workforce quality and 26th in living environment, which includes cost of living, the education system and state and local attitudes toward business. Notably, California placed worst among the nine states in the Western region in all three categories.

#3 California has the highest state income tax rates in the entire nation.  For many Americans, the difference between what you would have to pay if you lived in California and what you would have to pay if you lived in Texas could literally buy a car every single year.

#4 The state government in Sacramento seems to go a little bit more insane with each passing session.  This time around, they are talking about going to a single-payer healthcare system for the entire state that would cost California taxpayers 40 billion dollars a year

On Friday, State Senator Ricardo Lara introduced legislation that would transition California’s healthcare into a single-payer system. (RELATED: Read what a retired colonel said about the real purpose of Obamacare). The system would be very similar to the healthcare system currently in place in Canada and would cost California taxpayers roughly $40 billion for the first year alone. Given the poor economic climate California has already created for itself, this will no doubt be just one more burden on the people of California, and one step closer towards total bankruptcy.

Micah Weinberg, the president of the Economic Institute at the Bay Area Council, raised concerns over the financial consequences of the proposed legislation. “Where are they going to come up with the $40 billion?” he asked. He went on to suggest that adopting a state level single-payer system is “just not feasible to do as a state.”

#5 The traffic in the major cities just keeps getting worse and worse.  According to USA Today, Los Angeles now has the worst traffic in the entire world, and San Francisco is not far behind.

#6 A lot of money is being made in Silicon Valley these days (at least for now), but poverty is also exploding in the state.  In desperation, homeless people are banding together to create large tent cities all over the state, and the L.A. City Council recently asked Governor Jerry Brown “to declare homelessness a statewide emergency“.

#7 Thanks to unchecked illegal immigration, crime is on the rise in many California cities.  The drug war that has been raging for years in Mexico is increasingly spilling over the border, and many families have moved out of the state for this reason alone.

#8 California is one of the most litigious states in the entire nation.  According to the U.S. Chamber Institute for Legal Reform, the “lawsuit climate” in California is ranked 47th out of all 50 states.

#9 Every year wildfires and mudslides wreak havoc in the state.  Erosion is particularly bad along the coast, and I have previously written about how some portions of the California coastline are literally falling into the ocean.

#10 California has some of the most ridiculous housing prices in the entire country.  Due to a lack of affordable housing rents have soared to wild extremes in San Francisco, where one poor engineer was actually paying $1,400 a month to live in a closet.

#11 All over the state, key infrastructure is literally falling to pieces.  Governor Jerry Brown recently issued a list of key projects that needed to be done as soon as possible, and the total price tag for that list was 100 billion dollars.  Of course that list didn’t even include the Oroville Dam, and we all saw what happened there.

#12 Radiation from the ongoing Fukushima nuclear disaster continues to cross the ocean and wash up along the California coastline.  The impact of this crisis on the health of those living along the west coast could potentially be felt for generations.

#13 Illegal drug use in the state is on the rise again, and emergency rooms are being flooded by heroin overdose victims.

#14 On top of everything else, it is being reported that Russia is “quietly ‘seeding’ the U.S. shoreline with nuclear ‘mole’ missiles”.  The following comes from retired colonel and former Russian defense ministry spokesman Viktor Baranetz

“What are these mysterious ‘asymmetrical responses’ that our politicians and generals speak about so often? Maybe it’s a myth or a pretty turn of phrase? No! Our asymmetrical response is nuclear warheads that can modify their course and height so that no computer can calculate their trajectory. Or, for example, the Americans are deploying their tanks, airplanes and special forces battalions along the Russian border. And we are quietly ‘seeding’ the U.S. shoreline with nuclear ‘mole’ missiles (they dig themselves in and ‘sleep’ until they are given the command)[…]

“Oh, it seems I’ve said too much. I should hold my tongue.”

Hopefully what Baranetz is claiming is not accurate, because if it is even partly true the implications are absolutely staggering.

#15 North Korea is a major nuclear threat as well.  It is being reported that the North Koreans are developing an ICBM that could potentially reach the west coast of the United States…

Defense officials have warned that North Korea is on the brink of producing an ICBM that could target the United States. North Korean leader Kim Jong Un announced in January during his New Year’s address that Pyongyang had “entered the final stage of preparations to test-launch” an ICBM that could reach parts of the United States.

#16 Someday a very large earthquake will produce a major tsunami on the west coast.  According to the Los Angeles Times, one study found that a magnitude 9.0 earthquake along the Cascadia fault could potentially produce a massive 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.

Over the past decade, approximately five million people have moved away from California.

After reading this article, perhaps you have a better understanding why so many people are getting out while they still can.

To me, one of the greatest concerns is the rise in seismic activity that we are seeing all over the world.  In my latest book I express my belief that the United States will be greatly affected by this increase in seismic activity, and California is going to get hit harder than just about anywhere else.

Once again, I don’t have anything against California or the people that live there.  It is such a beautiful place, and it once held so much promise.

Unfortunately that promise has been shattered, and there is a mass exodus out of the state as families flee the horrific nightmare that California is in the process of becoming.

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…

21 Ways To End The Phrase ‘Americans Are So Broke…’

Coins - Public DomainDid you know that 77 million Americans have unpaid debts that are “in collections” and that Congress is actually thinking about letting post offices offer payday loans?  We live in a country where almost everyone is drowning in debt and where most people are either flat broke or very close to flat broke.  Years ago, “your Mama is so broke” jokes were all the rage, and at the rate we are going they could make a big comeback.  Some of my favorites were “your Mama is so broke she went to McDonald’s and put a milkshake on layaway” and “your Mama is so broke your family ate cereal with a fork to save milk”.  Unfortunately, the facts that I am about to share with you are not funny at all.  In fact, they are quite sobering.  Yes, things are going fairly well for the elitists that live in the good areas of New York City, Washington D.C. and San Francisco right now, but most of the country is deeply struggling as our economic fundamentals continue to crumble.  Please share these numbers with as many people as you can, because we need people to understand that there has not been an “economic recovery” for most of America.  In fact, in many ways things just continue to get even worse.  The following are 21 ways to end the phrase “Americans are so broke”…

1. Americans are so broke that about a third of them have debt collectors on their heels.  One recent study discovered that more than one out of every three adults in the United States has an unpaid debt that is “in collections“.  That is a total of 77 million people.  In other words, the debt collection business in America is absolutely booming.

2. Americans are so broke that Congress is now actually considering allowing post offices to provide payday loans and check cashing services.

3. Americans are so broke that they are keeping their vehicles longer than ever.  The average age of vehicles on America’s roads recently set a new all-time high of 11.4 years.

4. Americans are so broke that car dealers are having to go to extreme lengths to get new customers.  Last year, one out of every four auto loans in the United States was made to someone with subprime credit.

5. Americans are so broke that 52 percent of them cannot even afford the homes that they are living in right now.

6. Americans are so broke that they are falling farther behind on their student loans than ever.  The total amount of student loan debt in the U.S. has now reached a whopping 1.2 trillion dollars, and approximately seven million Americans are in default on their student loans at this point.

7. Young Americans are so broke that half of all college graduates are still relying on their parents financially when they are two years out of school.

8. Young Americans are so broke that only 36 percent of American adults under the age of 35 currently own a home.  That is the lowest level that has ever been recorded.

9. Americans are so broke that many of them can’t even afford to shop at Wal-Mart and dollar stores anymore

Discount stores are slowly dying.

Yesterday, Dollar Tree announced it would buy Family Dollar, a chain that is in the process of closing hundreds of stores and firing workers.

Other discount stores have been struggling as well, writes Heidi Moore at The Guardian. Fashion discounter Loehmann’s filed for bankruptcy, while Wal-Mart’s sales have declined for the past five quarters.

“There’s just not enough money deployed by American families to keep all the discount chains in business,” Moore writes.

10. Americans are so broke that they are running up record levels of debt.  Overall, U.S. households are 11.68 trillion dollars in debt right now.

11. Americans are so broke that the wealth of the “typical American household” has fallen by 36 percent over the past decade.

12. Americans are so broke that one out of every four part-time workers in America is living below the poverty line.

13. Americans are so broke that more than 37 million Americans are now being served by food pantries and soup kitchens.

14. Americans are so broke that there are 49 million Americans that are dealing with food insecurity.

15. Americans are so broke that the number of people on food stamps has increased by about 14 million while Obama has been in the White House.  Ten years ago, the number of women in the U.S. that had jobs outnumbered the number of women in the U.S. on food stamps by more than a 2 to 1 margin.  But now the number of women in the U.S. on food stamps actually exceeds the number of women that have jobs.

16. Americans are so broke that the U.S. government has had to spend an astounding 3.7 trillion dollars on welfare programs over the past five years.

17. Americans are so broke that more than 20 percent of all children in the U.S. are living in poverty.

18. Americans are so broke that we have a record number of kids sleeping in the streets.  In fact, we have more than a million public school children that are homeless at this point.

19. Americans are so broke that 76 percent of all Americans are living paycheck to paycheck.

20. Americans are so broke that 26 percent of Americans have absolutely no emergency savings whatsoever.

21. Americans are so broke that approximately two-thirds of all Americans do not have enough money saved up to cover six months of expenses if an emergency arose.

If things are this bad now, during the so-called “economic recovery”, how bad will things get during the next major economic downturn?

Unfortunately, most Americans have been lulled into a false sense of security.  The financial crisis of 2008 seems like ancient history to most of them now, and most people appear to believe that our leaders have “fixed” whatever was wrong the last time.

Of course that is not the case at all.  In fact, our long-term problems have just continued to grow since then.

The truth is that what we are experiencing right now is about as good as things are going to get for the U.S. economy.  When the next crisis arrives, all of the numbers in the list above are going to rapidly get a lot worse.

So enjoy the rest of this “bubble” while you still can.  It certainly will not last for too much longer.