House Prices – Up Or Down In 2011?

How soon will it be before people finally start using the term “depression” to describe what has happened to the U.S. housing market?  It has been four and a half years since housing prices began to decline, and they are still falling.  In fact, U.S. housing prices have now fallen further during this economic downturn than they did during the Great Depression of the 1930s.  Just think about that.  We are now in unprecedented territory, and most analysts believe that U.S. house prices will continue to decline in 2011.  Mortgage rates have been moving up, mortgage delinquencies are on the rise again, U.S. mortgage lenders have really tightened lending standards and “foreclosuregate” continues to plague the entire mortgage industry.  It would be really nice for the overall economy if house prices did go up in 2011, but right now it looks like that simply is not going to happen. (Read More...)

10 Things That Would Be Different If The Federal Reserve Had Never Been Created

The vast majority of Americans, including many of those who believe that they are “educated” about the Federal Reserve, do not really understand how the Federal Reserve really makes money for the international banking elite.  Many of those opposed to the Federal Reserve will point to the record $80.9 billion in profits that the Federal Reserve made last year as evidence that they are robbing the American people blind.  But then those defending the Federal Reserve will point out that the Fed returned $78.4 billion to the U.S. Treasury.  As a result, the Fed only made a couple billion dollars last year.  Pretty harmless, eh?  Well, actually no.  You see, the money that the Federal Reserve directly makes is not the issue.  Rather, the “magic” of the Federal Reserve system is that it took the power of money creation away from the U.S. government and gave it to the bankers.  Now, the only way that the U.S. government can inject more money into the economy is by going into more debt.  But when new government debt is created, the amount of money to pay the interest on that debt is not also created.  In this way, it was intended by the international bankers that U.S. government debt would expand indefinitely and the U.S. money supply would also expand indefinitely.  In the process, the international bankers would become insanely wealthy by lending money to the U.S. government. (Read More...)

Two Americas: 12 Facts That Show That Those Who Are Too Big To Fail Are Thriving On The Bailout Money That Our Politicians Gave Them Even As The Economic Suffering Of Ordinary Americans Continues To Deepen

Most Americans have a deep aversion to the phrase “redistribution of wealth”, and rightly so.  On a fundamental level, it is just not right to take the money that one man has worked so hard to earn and “redistribute” it to someone else.  In the political realm, the phrase “a redistribution of wealth” is usually a reference to our ballooning social programs, but what most Americans don’t realize is that one of the biggest redistributions of wealth in world history took place during the Wall Street bailouts of a couple years ago.  Trillions of dollars of our money and of money that belongs to future generations was redistributed to the Wall Street bankers.  The Wall Street bankers did not earn this money and they did not deserve this money.  We were told that if Wall Street did not get this money that the global economy would collapse and that there would be martial law in the streets.  We were promised that this money would “fix” Wall Street and then the prosperity would “trickle down” to Main Street.  So did this happen?  Of course not. (Read More...)

14 Eye Opening Statistics Which Reveal Just How Dramatically The U.S. Economy Has Collapsed Since 2007

Most Americans have become so accustomed to the “new normal” of continual economic decline that they don’t even remember how good things were just a few short years ago.  Back in 2007, unemployment was very low, good jobs were much easier to get, far fewer Americans were living in poverty or enrolled in welfare programs and government finances were in much better shape.  Of course most of this prosperity was fueled by massive amounts of debt, but at least times were better.  Unfortunately, things have really deteriorated over the last several years.  Since 2007, unemployment has skyrocketed, foreclosures have set new all-time records, personal bankruptcies have soared and U.S. government debt has gotten completely and totally out of control.  Poll after poll has shown that Americans are now far less optimistic about the future than they were in 2007.  It is almost as if the past few years have literally sucked the hope out of millions upon millions of Americans. (Read More...)

Instead Of Using This Period Of Economic Stability To Party We Should Be Using It To Prepare

The fact that the official U.S. government unemployment rate has dipped slightly is good news.  However, it is not the “economic turning point” that Barack Obama and others are proclaiming it to be.  Rather, what we are in right now is “the calm before the storm”.  The massive amount of government spending that the U.S. government has done over the past few years and the massive quantities of new dollars that the Federal Reserve has been pumping into the system has bought us all just a little bit of time.  Instead of using this brief period of economic stability to party, we should all be using it to prepare for the very hard economic times that are coming.  Please do not get fooled when the short-term economic numbers go up or down a little bit.  When evaluating the state of the U.S. economy, the key is to look at the long-term trends.  The truth is that when you take a longer-term view, it becomes undeniable that the United States is in the midst of a long-term economic decline from which there is no escape. (Read More...)

In The Future You May Not Be Able To Provide The Basics For Your Family Even If Everyone In Your Family Has A Job

Today, millions of American families are extremely stressed out because they are working as hard as they can and yet they find at the end of the month they still haven’t been able to pay all of the bills.  Unfortunately, things are only going to get rougher in the years ahead.  The U.S. government has reached a terminal phase of the debt spiral that it is trapped in, and the only way to keep the system going is to print more money, borrow more money and spend more money.  But won’t this cause horrible inflation eventually?  Of course it will.  That is why so many people around the world have so loudly denounced “quantitative easing 2”.  The Federal Reserve is just creating hundreds of billions of dollars out of thin air and is chucking all of this money into the system in a desperate attempt to get it moving again.  This is also why the Tea Party movement is so angry about the record amounts of government debt that are being piled up.  When the U.S. government goes into more debt, it creates more dollars.  As the Federal Reserve and the U.S. government flood the system with new dollars, it means that there are now more dollars chasing roughly the same number of goods and services, and that is a recipe for inflation. (Read More...)

Everything Is Falling Apart: 20 Facts That You Will Not Want To Read If You Still Want To Feel Good About America’s Decaying Infrastructure

If you haven’t noticed lately, America is literally falling apart all around us.  Decaying infrastructure is everywhere.  Our roads and bridges are crumbling and are full of holes.  Our rail system is ancient.  Our airports and runways have definitely seen their better days.  Aging sewer systems all over the country are leaking raw sewage all over the place.  The power grid is straining to keep up with the ever-increasing thirst of the American people for electricity.  Dams are failing at an unprecedented rate.  Virtually all of our ports are handling far more traffic than they were ever intended to handle.  Meanwhile, our national spending on infrastructure is way down.  Back during the 1950s and 1960s we were spending between 3 and 4 percent of our national GDP on infrastructure, but today we are spending less than 2.5 percent of our national GDP on it.  According to the American Society of Civil Engineers, we need to spend approximately $2.2 trillion on infrastructure repairs and upgrades just to bring our existing infrastructure up to “good condition”. (Read More...)

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