The Beginning Of The End
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The U.S. Economy: Soul Crushing Total System Failure

No matter how often the pretty people on television tell us that the U.S. economy is getting better, it isn’t going to change the soul crushing agony that millions of American families are going through right now.  The stock market may have gotten back to where it was in 2008, but the job market sure hasn’t.  As I wrote about a few days ago, the percentage of working age Americans that are actually employed has stayed very flat since late 2009, and the average duration of unemployment is hovering near an all-time high.  Sadly, this is not just a temporary downturn.  The U.S. economy has been slowly declining for several decades and is nearing total system failure.  Right now, many poverty statistics are higher than they have ever been since the Great Depression.  Many measurements of government dependence are the highest that we have ever seen in all of U.S. history.  The emerging one world economic system (otherwise known as “free trade”) has cost the U.S. economy tens of thousands of businesses, millions of jobs and hundreds of billions of dollars of our national wealth.  The federal government is going into unprecedented amounts of debt in order to try to maintain our current standard of living, but there is no way that they will be able to sustain this kind of borrowing for too much longer.  So enjoy this bubble of false prosperity while you can, because things will soon get significantly worse.

As the U.S. economy experiences total system failure, it will be imperative for all of us not to wait around waiting for someone to rescue us.

And I am not just talking about the government.

Today, millions upon millions of Americans are waiting around hoping that someone out there will hire them.

Well, the truth is that our politicians have made it so complicated and so expensive to hire someone that many small businesses try to avoid hiring as much as possible.

Businesses generally only want to hire people if they can make a profit by doing so.  When our politicians keep piling on the taxes and the regulations and the paperwork, that creates a tremendous incentive not to hire workers.

Michael Fleischer, the President of Bogen Communications, once wrote an op-ed in the Wall Street Journal entitled “Why I’m Not Hiring”.  The following is how Paul Hollrah of Family Security Matters summarized the nightmarish taxes that are imposed on his company when Fleischer hires a new worker….

According to Fleischer, Sally grosses $59,000 a year, which shrinks to less than $44,000 after taxes and other payroll deductions. The $15,311 deducted from Sally’s gross pay is comprised of New Jersey state income tax: $1,893; Social Security taxes: $3,661; state unemployment insurance: $126; disability insurance: $149; Medicare insurance: $856; federal withholding tax: $6,250; and her share of medical and dental insurance: $2,376. Roughly 25.9 percent of Sally’s income is siphoned off by Washington and Trenton before she receives her paychecks.

But then there are the additional costs of employing Sally. In addition to her gross salary, her employer must pay the lion’s share of her healthcare insurance premiums: $9,561; life and other insurance premiums: $153; federal unemployment insurance: $56; disability insurance: $149; worker’s comp insurance: $300; New Jersey state unemployment insurance: $505; Medicare insurance: $856; and the employer’s share of Social Security taxes: $3,661.

Over and above her gross salary, Bogen Communications must pay an additional $15,241 in benefits and state and federal taxes, bringing the total cost of employing Sally to approximately $74,241 per year. Sally gets to keep $43,689, or just 58.8% of that total.

Are you starting to understand why so many businesses are hesitant to hire new workers?

The big corporations can handle all of the paperwork and regulations that come with hiring a new worker fairly well, but for small businesses hiring a new worker can be a massive undertaking. That new worker is going to have to almost be a miracle worker in order to justify all of the hassle and expense.

But the federal government just keeps piling more burdens on to the backs of employers.  That is one reason why there is such an uproar over Obamacare.  It is going to make hiring workers even less attractive.

These days, most small businesses are trying to get by with as few workers as possible, and many big businesses are trying to ship as many jobs as they can overseas.

Sadly, even if you do find a good job it can disappear at any moment.

The following is from a comment that a reader named Jeff recently left on one of my articles….

It’s sad what’s happening here in this country. So many lucky ones defend it. In America it’s not exactly about hard work anymore, it’s about who you know always. The ability to keep people stupid as well as in debt was established here well by corporations also. You cannot start a solid hiring business like you could years ago.

I know many of folks who don’t break a sweat and earn more money than I ever will in a week. The system is getting crazy only creating two extremes. I fought for this country right after 9/11 as a young naive person. Using my grandfather’s old stories to see the dream that this country was always suppose to have.

The company I still unfortunately work for (cause other places are worse), 4 years ago they froze our salaries. No raises yet, this is when the company was bought by an investment group for 500 million.

Now we are getting sold to Japan for 1 billion. A 500 million dollar profit. Sorry if I may be ignorant in this way of business. But it seems the only one who benefited from this is that group of investors. 400+ well skilled jobs lost, no raises or rewards, a whole lot more work and contract obligations to meet, and less contact with management when problems surface.

I just think the United States of America is becoming the world’s poker table.

I want out of this country so bad. I don’t even know what happen to people here. The younger generation scares me how dumb they are and everyone seems so easily bought with eyecandy.

Can you imagine that?

Can you imagine your boss walking in one day and declaring that the business has just been sold to foreigners and that you are about to lose your job?

In America today, it can be absolutely soul crushing to lose a job.  It isn’t as if you are going to run out and get another fantastic job in a week or two.

When you are unemployed, people look at your differently.  It gets to the point where you don’t even want to interact with other people because you know that your unemployment is probably going to be the number one topic of conversation.

When you are out of work for six months or more, it is easy to feel like a failure – especially when so many other people are looking at you as if you are a failure too.

But in most cases, individual Americans are not to blame for not being able to find work.

Rather it is the entire system that is failing all of us.

The U.S. economy is bleeding good jobs and the middle class in America has become a bizarre game of musical chairs.  When the music stops each round you might lose your spot.  You just never know.

Looking for work in the United States in this economic environment can be a demoralizing endeavor.  For example, a recent Esquire article described what one unemployed man named Scott Annechino found when he attended a job fair in San Francisco….

A glass elevator carries him to the third floor, where the front-desk girl, who knows it’s her job to be cheerful, told him the job fair is supposed to be.

A pasty kid, maybe thirty, in a too-big shirt and a cheap tie, greets him and tells him the companies are set up in rooms along the hall and that he should definitely visit all of them. Annechino, forty-four years old, wearing his best suit and shined black shoes, walks to the first exhibitor: Devcon, a home-security company. The door is closed, no one inside. Annechino looks around for an explanation. “Oh, I just got an e-mail from my contact there saying they wouldn’t be able to make it today,” the pasty kid says, fingering his BlackBerry.

A couple of other potential employers who were supposed to be here didn’t make it, either — Konica Minolta, Santa Clara University. “Yeah …” the kid says. Annechino moves to the next room. State Farm. They’re looking for people who can put up fifty grand to start their own insurance agency. The Art Institute is next, mostly looking for people who might want to go to art school. New York Life. The U. S. Army, where men wearing fatigues and combat boots offer brochures.

That’s it.

If you want to check out the rest of the sad unemployment stories in that article, you can find them right here.

But even if you do have a job, that doesn’t mean that everything is just fine.  Average American families are finding that the prices of the basic things that they need are rising much faster than their paychecks are.

According to one recent study, more than half of all Americans feel as though they are really struggling to afford just the basics at this point….

“Every retailer wants to think ‘Everything I sell is worth it! Shoppers will love it’, but the hard reality is 52% Americans feel they barely have enough to afford the basics,” said Candace Corlett, president of WSL/Strategic Retail.

Just buying food and gas is a major financial ordeal for many families these days.  On average, a gallon of gasoline in the United States now costs $3.83.  Many Americans burn up a huge chunk of their paychecks just going back and forth to work in their cars.

So what is the solution?

Well, according to the Obama administration the answer is even more government dependence.  The federal government is now actually running ads encouraging even more people to go on food stamps….

Can you believe that?

Apparently having 46.5 million Americans on food stamps is not enough.  The federal government is spending our tax money on advertisements that try to convince even more Americans that they need to be on food stamps.

What the American people really need are good jobs, but those keep getting shipped out of the country.

Meanwhile, people are becoming increasingly desperate.

For example one Colorado man was recently caught stealing parts from toilets in public restrooms….

Donald Allen Citron, 48, faces 18 charges, including burglary and theft. He’s accused of stealing toilet parts from several locations, including Southwest Plaza Mall, University of Denver, and Craig Hospital.

Most of the crimes happened in just a few minutes, but police Citron is a plumber and all he needed was a wrench and a screw driver to steal pipes and the plumbing in toilets. The items he’s accused of stealing are valued at around $6,400.

They are calling him “the crapper scrapper”.

Other Americans are not willing to stoop to crime and instead suffer quietly and anonymously.

A reader named Katie recently left the following heartbreaking comment on one of my articles….

I’m almost homeless. Through no fault of my own I’d like to point out. I don’t drink, smoke, or do drugs. I don’t even eat fast food unless I have too.

Four years ago I had a house, car, family, stuff, an IRA, and really everything that people in this country aspire to. I had a great job that I enjoyed so did my boyfriend. Even our relationship was great.

We didn’t get hit by the economy right away. We were in Katrina damaged parts of the country and there was still a lot of construction going on and the economic boom that comes with it.

Then I got laid off. Doesn’t seem to matter that I go to interview after interview. I use indeed, monster, craigslist, and newspapers to search for jobs even outside my area.

Now my boyfriend has passed away suddenly, and his family got everything. I personally have only a living father left, who hasn’t the room but I’m camping in his yard. All my friends say they don’t have the room either. Which makes me wonder just how much of friends they are. Considering if the situation was reversed I have in the past and would open my home to anyone that needed help.

If something happens to him I really don’t know what I’m going to do. I need to get on my feet and I know that jobs are hard to come by. I’m sick of the people who have jobs saying ‘get a job you lazy bum’. I’m hardly lazy and I’m trying desperately to be employed; not being homeless would be rather awesome in my opinion. I’m not picky, regardless of my degree I’ll pick up trash or clean toilets. McDonald’s, Taco Bell and the other fast food places don’t even bother with a call back. And when I call to inquire about my application it’s always the same, ‘we will call you when we make a decision’. Such a cop-out.

So no. In my (granted meaningless opinion) the economy is not getting better. To even suggest that when unemployment is so high or the rate of food stamps. Is utter ludicrous at best. I notice that those talking heads on the cable news and radio never seem to mention that the homeless shelters have a higher occupancy level than ever before. Nor would they mention the fact that we have those shelters in abundance now across the country in comparison to the Great Depression.

I’m getting real tired of hearing how great the economy is doing. When obviously it’s not. All you have to do is open your eyes and see. Business are not coming back yet and foreclosed homes sit empty everywhere. The unemployment rate only counts the people who are getting unemployment benefits. So the people who fall off the unemployment benefits don’t get counted. Because the must have gotten a job, right? Hardly. In fact the homeless in this country are almost never counted correctly. It’s too hard to count them all, or at least that’s the excuse.

I know it’s meaningless, especially to those who see homeless and immediately have a bias, but that’s my opinion on the current state of our economy. You can count me in the 80%. Only a fool would see this as a recovery.

Please say a prayer for Katie and the millions of other Americans just like her.  It can be absolutely soul crushing to lose everything that you ever worked for and not see any light at the end of the tunnel.

Unfortunately, the U.S. economy is not going to be improving in the long run.  What we are experiencing right now is about as good as it is going to get.  The truth is that it is pretty much downhill from here.

It is fairly simple to figure out what is happening to us as a nation.

You can’t keep buying far more than you sell.

You can’t keep spending far more than you bring in.

You can’t keep running up debt in larger and larger amounts indefinitely.

The U.S. economy is running on borrowed money and on borrowed time.

At some point, both are going to run out.

Are you ready for that?

  • Rick

    ALL of you that say people need jobs are idiots!!!! I don’t want a job, I want LAND! If I have a water supply and some cattle and a garden then I don’t need a fkn job do I? And for the record… the income tax is 100% VOLUNTARY!!! All of you idiots that keep paying it are, in FACT, financing your own destruction!!! Your vote is a joke. Stop paying the corporation of THE UNITED STATES to enslave you!!! Take charge of your legal person, AKA Strawman, and wake the hell up! You can own your land without paying the communist tax if you know what you are doing. The U.S. is 100% COMMUNIST and has been for over 100 years. Stop supporting it. Stop financing your own enslavement and start living like you even have a fuking clue as to what FREE really means!!! I don’t use a drivers license because I don’t “drive”, I travel. My children are FREE, because I didn’t sell them to the state with a fkn bond. WAKE UP!!! Stop acting like a slave and you won’t be one! Almost everything you know is wrong. The vast majority of you that bitch about this shit are completely clueless as to how it happened, and who is behind it all. If you are not spending hours a week trying to find out then why are you on here? Until you wake up and realize that the Rockefellers, the Morgans, the Rothschilds, The Queen, the Oppenhiemers, and other elitist parasites OWN you, then you will never even know what freedom is. They tell you what to think, and how to live. Welcome to slavery by deception. YOU VOLUNTEERED TO BE A SLAVE!!!!! STOP SINGING ALL THE FKN CONTRACTS YOU IDIOTS!!!!

    • rickisadick

      Hey Rick, you should change the first letter of your name to a, how do you put it, oh yeah, A FKN D.

  • http://theeconomiccolapse gmtmvt

    I see everybody is following suit, their comments are right on- we are not stupid; world. – we are under a bigger control than you may realize- , I agree. You think There is a pre planed plan from Higher? maybe, if our government acknowledges GOD , Yahweh, and follows basic biblical stuff, ” maybe” things can change,. It can, but its up to us., Get with your creator if you know. Then you will know the truth, if not , ask, then you will be freely given the truth if you believe,and you will be able to see it- as everyone here has at this blog…….- no charge.
    Start in the King James original bible. It ain’t gonna hurt. prophecies of Daniel, Ezekiel, etc are coming to pass……………… There. I’m done

  • Keith

    People will one day go back to work. It’s just a matter of at what price. The days of the West at the top of the food chain are numbered. No longer will the US ( UK, France, Spain, Portugal) military dominate and take resources from the rest of the world at rock bottom prices. The Empire will have to adapt

  • Charlie Jones

    Are you aware of agenda 21? If you are, you understand why this is happening, and if not, you don’t realize this is all a plan.

    In 1992, at the Earth Summit in Rio, the UN presented a plan for the 21st century called “Agenda 21.” Almost every country in the world, including the US, has signed this agreement. I don’t want to be the bearer of bad news, so I’ll let you do a Google and read about it yourself. There are plenty of videos on Youtube that explain it.

  • dabble

    As to the comment Jeff made about the youth being stupid I don’t think the youth are the only stupid ones. For example I asked my father just the other day what our national debt was. His response was 1.5 trillion!! Seriously! We are about to hit 15.5 trillion. I believe and it has to be true that the G.I. and Boomer generations are the ones who will carry this hardship of economic collapse on their shoulders. I hear all the time “oh we will come out of this ok, just like all the other tough economic times in the past.” Well unfortunately the world is in a much different place and mindset than ever before. America is no longer a super power. We don’t produce enough to sustain a super power status or even employ our citizens to back up our economy. Wake up people! Teach your children the truth. Teach them about God and take away their video games, cell phones, and iPods! They are the only hope to turn our America into a new intelligent America an America that is sustainable in it’s own right!

  • Michelle

    I see everyone complaining, but I don’t see anyone with actual solutions. There is one who is doing just that. Check him out. I agree with all of you that there are problems, but he has the solutions. He has done the research. See if you agree. He would appreciate your feedback. or

  • Steve

    If you live in a family that earns more than $20,000 year gross, you do not qualify for food stamps. Never mind that that type of miserable income doesn’t pay the rent, utilities and groceries….you do not qualify for food stamps and you will have to get food from food pantries as your only alternative. And to get enough food you will be forced to visit at least 3 pantries a month who provide you with only canned food and a few dried, packaged food. And the food pantries are being besieged with exploding numbers of people in longer and longer lines.

    • Prhpa

      That is not true…here in Arizona I could personally introduce you to seven families on my street that have a household income of over 55k a year and all seven enjoy the perks of food stamps and free health care….. want to know how to cash in? Of course you would…but you would already know if you where Hispanic. Hey guess we can’t blame them for living the dream…. Brand new suburbans and Yukon Denali’s, LOL hell my neighbor even told me they don’t pay for child care. It’s great isn’t it. I am a hard working white man I have a 900 dollar a month mortgage, pay 1200 for child care, 500 a month for insurance, I pay for all my utilities and all my expenses, and this is the best part….I PAY FOR MY NEIGHBORS STUFF TOO! Now who is the idiot. He sure showed me.

    • jhunted7667

      How can that Be I see people driving around in new cars using a card that rings out at the register as food stamps

  • JC

    The only problem is our Government and the Credit system

  •σαπούνια κρητικό σαπούνι

    Finaly the world wide capitalism goes to an end

  • Patrick

    I was laid off from my job the day I told my boss that my cancer has gone into remission. I’ve worked this job for 13 years and have four kids and a wife who depend on my income to live. Where I was making $230,000 a year, now I make nothing. I’ve been searching for jobs and though I’m an aeronotical engineer with a doctorate, I have become desperate and can’t even get a job at a restaurant. This country has failed me in every way, and I’m on the verge of losing our home. My wife hasn’t worked in 16 years and is having a hard time finding a job as well. I’m even denied unemployment benefits due to having a savings account for my kids college…. Which is now gone. I just hope the collapse happens soon so I can at least be out of debt with the hospitals.

  • anonymous

    Those gays., they like to fight from the hide, They to avoid the laws, those are inside the same government, Many know, they want to be stole the money from some rich men, under last name hughes, he do paying tax, but many persons, they want, to avoid his tax pay.

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