America

This Is What Employment In America Really Looks Like…

April 6, 2014April 6, 2014 by Michael

The level of employment in the United States has been declining since the year 2000. There have been moments when things have appeared to have been getting better for a short period of time, and then the decline has resumed. Thanks to the offshoring of millions of jobs, the replacement of millions of workers with technology and the overall weakness of the U.S. economy, the percentage of Americans that are actually working is significantly lower than it was when this century began. And even though things have stabilized at a reduced level over the past few years, it is only a matter of time until the next major wave of the economic collapse strikes and the employment level goes even lower. And the truth is that more good jobs are being lost every single day in America. For example, as you will read about below, Warren Buffett is shutting down a Fruit of the Loom factory in Kentucky and moving it to Honduras just so that he can make a little bit more money. We see this kind of betrayal over and over again, and it is absolutely ripping the middle class of America to shreds.

Below I have posted a chart that you never hear any of our politicians talk about. It is a chart that shows how the percentage of working age Americans with a job has steadily declined since the turn of the century. Just before the last recession, we were sitting at about 63 percent, but now we have been below 59 percent since the end of 2009…

We should be thankful that things have stabilized at this lower level for the past few years.

At least things have not been getting worse.

But anyone that believes that “things have returned to normal” is just being delusional.

And nothing is being done about the long-term trends that are absolutely crippling our economy. One of those trends is the offshoring of middle class jobs. As I mentioned above, Fruit of the Loom (which is essentially owned by Warren Buffett) has made the decision to close their factory in Jamestown, Kentucky and lay off all the workers at that factory by the end of 2014…

Clothing company Fruit of the Loom announced Thursday that it will permanently close its plant in Jamestown and lay off all 600 employees by the end of the year.

The Jamestown plant is the last Fruit of the Loom plant in a state where the company had once been a manufacturing titan second only to General Electric.

This isn’t being done because Fruit of the Loom is going out of business. They are still going to be making t-shirts and underwear. They are just going to be making them in Honduras from now on…

The company, owned by Warren Buffett’s Berkshire Hathaway but headquartered in Bowling Green, said the move is “part of the company’s ongoing efforts to align its global supply chain” and will allow the company to better use its existing investments to provide products cheaper and faster.

The company said it is moving the plant’s textile operations to Honduras to save money.

So what are those workers supposed to do?

Go on welfare?

The number of Americans that are dependent on the government is already at an all-time record high.

And doesn’t Warren Buffett already have enough money?

In business school, they teach you that the sole responsibility of a corporation is to maximize wealth for the shareholders.

And so when business students get out into “the real world”, that is how they behave.

But the truth is that corporations have a responsibility to treat their workers, their customers and the communities in which they operate well. This responsibility exists whether corporate executives want to admit it or not.

And we all have a responsibility to our fellow citizens. When we stand aside and do nothing as millions of good paying American jobs are shipped overseas so that the “one world economic agenda” can be advanced and so that men like Warren Buffett can stuff their pockets just a little bit more, we are failing our fellow countrymen.

Because so many of us have fallen for the lie that “globalism is good”, we have allowed our once great manufacturing cities to crumble and die. Just consider what is happening to Detroit. It was once the greatest manufacturing city in the history of the planet, but now foreign newspapers publish stories about what a horror show that it has become…

Khalil Ligon couldn’t tell if the robbers were in her house. She had just returned home to find her front window smashed and a brick lying among shattered glass on the floor. Ligon, an urban planner who lives alone on Detroit’s east side, stepped out and called the police.

It wasn’t the first time Ligon’s home had been broken into, she told me. And when Detroit police officers finally arrived the next day, surveying an area marred by abandoned structures and overgrown vegetation, they asked Ligon a question she often ponders herself: why is she still in Detroit?

Of course this kind of thing is not just happening to Detroit. The truth is that it is happening all over the nation. For example, this article contains an incredible graphic which shows how the middle class of Chicago has steadily disappeared over the past several decades.

Once again, even though we have never had a “recovery”, it is a good thing that things have at least stabilized at a lower level for the past few years.

But now there are all sorts of indications that we are rapidly heading toward yet another economic downturn. The tsunami of retail store closings that is now upon us is just one sign of this. The following is a partial list of retail store closings from a recent article by Daniel Jennings…

Quiznos has filed for bankruptcy, USA Today reported, and could close many of its 2,100 stores.
Sbarro which operates pizza and Italian restaurants in malls, is planning to close 155 locations in the United States and Canada. That means nearly 20 percent of Sbarro’s will close. The chain operates around 800 outlets.
Ruby Tuesday announced plans to close 30 restaurants in January after its sales fell by 7.8 percent. The chain currently operates around 775 steakhouses across the US.
An unknown number of Red Lobster stores will be sold. The chain is in such bad shape that the parent company, Darden Restaurants Inc., had to issue a press release stating that the chain would not close. Instead Darden is planning to spin Red Lobster off into another company and sell some of its stores.
Ralph’s, a subsidiary of Kroger, has announced plans to close 15 supermarkets in Southern California within 60 days.
Safeway closed 72 Dominick’s grocery stores in the Chicago area last year.

And the following are some more signs of trouble for the retail industry from one of my recent articles entitled “20 Facts About The Great U.S. Retail Apocalypse That Will Blow Your Mind“…

#1 As you read this article, approximately a billion square feet of retail space is sitting vacant in the United States.

#2 Last week, Radio Shack announced that it was going to close more than a thousand stores.

#3 Last week, Staples announced that it was going to close 225 stores.

#4 Same-store sales at Office Depot have declined for 13 quarters in a row.

#5 J.C. Penney has been dying for years, and it recently announced plans to close 33 more stores.

#6 J.C. Penney lost 586 million dollars during the second quarter of 2013 alone.

#7 Sears has closed about 300 stores since 2010, and CNN is reporting that Sears is “expected to shutter another 500 Sears and Kmart locations soon”.

#8 Overall, sales numbers have declined at Sears for 27 quarters in a row.

#9 Target has announced that it is going to eliminate 475 jobs and not fill 700 positions that are currently empty.

#10 It is being projected that Aéropostale will close about 175 stores over the next couple of years.

#11 Macy’s has announced that it is going to be closing five stores and eliminating 2,500 jobs.

#12 The Children’s Place has announced that it will be closing down 125 of its “weakest” stores by 2016.

But it isn’t just the retail industry that is deeply troubled.

All over America we are seeing economic weakness.

In this economic environment, it doesn’t matter how smart, how educated or how experienced you are. If you are out of work, it can be extremely difficult to find a new job. Just consider the case of Abe Gorelick…

Abe Gorelick has decades of marketing experience, an extensive contact list, an Ivy League undergraduate degree, a master’s in business from the University of Chicago, ideas about how to reach consumers young and old, experience working with businesses from start-ups to huge financial firms and an upbeat, effervescent way about him. What he does not have — and has not had for the last year — is a full-time job.

Five years since the recession ended, it is a story still shared by millions. Mr. Gorelick, 57, lost his position at a large marketing firm last March. As he searched, taking on freelance and consulting work, his family’s finances slowly frayed. He is now working three jobs, driving a cab and picking up shifts at Lord & Taylor and Whole Foods.

So what does Abe need in order to find a decent job?

More education?

More experience?

No, what he needs is an economy that produces good jobs.

Sadly, the cold, hard reality of the matter is that the U.S. economy will never produce enough jobs for everyone ever again.

The way that America used to work is long gone, and it has been replaced by a cold, heartless environment where the company that you work for could rip your job away from you at a moment’s notice if they decide that it will put a few extra pennies into the pockets of the shareholders.

You may have worked incredibly hard for 30 years and been super loyal to your company.

It doesn’t matter anymore.

All that matters is the bottom line, and in the process the middle class is being destroyed. But by destroying the middle class, those corporations are destroying the consumer base that their corporate empires were built upon in the first place.

Read more here: http://www.kentucky.com/2014/04/03/3177378/fruit-of-the-loom-to-close-jamestown.html#storylink=cpy

9 Of The Top 10 Occupations In America Pay An Average Wage Of Less Than $35,000 A Year

April 2, 2014April 2, 2014 by Michael

According to stunning new numbers just released by the federal government, nine of the top ten most commonly held jobs in the United States pay an average wage of less than $35,000 a year. When you break that down, that means that most of these workers are making less than $3,000 a month before taxes. And once you consider how we are being taxed into oblivion, things become even more frightening. Can you pay a mortgage and support a family on just a couple grand a month? Of course not. In the old days, a single income would enable a family to live a very comfortable middle class lifestyle in most cases. But now those days are long gone. In 2014, both parents are expected to work, and in many cases both of them have to get multiple jobs just in order to break even at the end of the month. The decline in the quality of our jobs is a huge reason for the implosion of the middle class in this country. You can’t have a middle class without middle class jobs, and we have witnessed a multi-decade decline in middle class jobs in the United States. As long as this trend continues, the middle class is going to continue to shrink.

The following is a list of the most commonly held jobs in America according to the federal government. As you can see, 9 of the top 10 most commonly held occupations pay an average wage of less than $35,000 a year…

Retail salespersons, 4.48 million workers earning $25,370
Cashiers 3.34 million workers earning $20,420
Food prep and serving staff, 3.02 million workers earning $18,880
General office clerk, 2.83 million working earning $29,990
Registered nurses, 2.66 million workers earning $68,910
Waiters and waitresses, 2.40 million workers earning $20,880
Customer service representatives, 2.39 million workers earning $33,370
Laborers, and freight and material movers, 2.28 million workers earning $26,690
Secretaries and admins (not legal or medical), 2.16 million workers earning $34,000
Janitors and cleaners (not maids), 2.10 million workers earning, $25,140

Overall, an astounding 59 percent of all American workers bring home less than $35,000 a year in wages.

So if you are going to make more than $35,000 this year, you are solidly in the upper half.

But that doesn’t mean that you will always be there.

More Americans are falling out of the middle class with each passing day.

Just consider the case of a 47-year-old woman named Kristina Feldotte. Together with her husband, they used to make about $80,000 a year. But since she lost her job three years ago, their combined income has fallen to about $36,000 a year…

Three years ago, Kristina Feldotte, 47, and her husband earned a combined $80,000. She considered herself solidly middle class. The couple and their four children regularly vacationed at a lake near their home in Saginaw, Michigan.

But in August 2012, Feldotte was laid off from her job as a special education teacher. She’s since managed to find only part-time teaching work. Though her husband still works as a truck salesman, their income has sunk by more than half to $36,000.

“Now we’re on the upper end of lower class,” Feldotte said.

There is a common assumption out there that if you “have a job” that you must be doing “okay”.

But that is not even close to the truth.

The reality of the matter is that you can even have two or three jobs and still be living in poverty. In fact, you can even be working for the government or the military and still need food stamps…

Since the start of the Recession, the dollar amount of food stamps used at military commissaries, special stores that can be used by active-duty, retired, and some veterans of the armed forces has quadrupled, hitting $103 million last year. Food banks around the country have also reported a rise in the number of military families they serve, numbers that swelled during the Recession and haven’t, or have barely, abated.

There are so many people that are really hurting out there.

Today, someone wrote to me about one of my recent articles about food price increases and told me about how produce prices were going through the roof in that particular area. This individual wondered how ordinary families were going to be able to survive in this environment.

That is a very good question.

I don’t know how they are going to survive.

In some cases, the suffering that is going on behind closed doors is far greater than any of us would ever imagine.

And often, it is children that suffer the most…

A Texas couple kept their bruised, malnourished 5-year-old son in a diaper and locked in a closet of their Spring home, police said in a horrifying case of abuse.

The tiny, blond-haired boy was severely underweight, his shoulder blades, ribs and vertebrae showing through his skin, when officers found him late last week.

You can see some photos of that poor little boy right here.

I hope that those abusive parents are put away for a very long time.

Sadly, there are lots of kids that are really suffering right now. There are more than a million homeless schoolchildren in America, and there are countless numbers that will go to bed hungry tonight.

But if you live in wealthy enclaves on the east or west coasts, all of this may sound truly bizarre to you. Where you live, you may look around and not see any poverty at all. That is because America has become increasingly segregated by wealth. Some are even calling this the “skyboxification of America”…

The richest Americans—the much-talked about 1 percent—are a cloistered class. As the Nobel Prize-winning economist Joseph Stiglitz scathingly put it, they “have the best houses, the best educations, the best doctors, and the best lifestyles, but there is one thing that money doesn’t seem to have bought: an understanding that their fate is bound up with how the other 99 percent live.” The Harvard political philosopher Michael Sandel has similarly lamented the “skyboxification” of American life, in which “people of affluence and people of modest means lead increasingly separate lives.”

The substantial and growing gap between the rich and everyone else is increasingly inscribed on our geography. There have always been affluent neighborhoods, gated enclaves, and fabled bastions of wealth like Greenwich, Connecticut; Grosse Pointe, Michigan; Potomac, Maryland; and Beverly Hills, California. But America’s bankers, lawyers, and doctors didn’t always live so far apart from teachers, accountants, and small business owners, who themselves weren’t always so segregated from the poorest, most struggling Americans.

Nobody should talk about an “economic recovery” until the middle class starts growing again.

Even as the stock market has soared to unprecedented heights over the past year, the decline of middle class America has continued unabated.

And most Americans know deep inside that something is deeply broken. For example, a recent CNBC All-America Economic Survey found that over 80 percent of all Americans consider the economy to be “fair” or “poor”.

Yes, for the moment things are going quite well for the top 10 percent of the nation, but that won’t last long either. None of the problems that caused the last great financial crisis have been fixed. In fact, they have gotten even worse. We are steamrolling toward another great financial crisis and our leaders are absolutely clueless.

When the next crisis strikes, the economic suffering in this nation is going to get even worse.

As bad as things are now, they are not even worth comparing to what is coming.

So I hope that you are getting prepared. Time is running out.

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

February 26, 2014February 26, 2014 by Michael

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

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

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

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

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

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

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

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

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

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

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

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

What is wrong with us?

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

Perhaps we deserve what is coming.

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

But I wouldn’t count on that.

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

One drought even lasted for about 200 years.

So the current drought in California might end next year.

Or it might last for the rest of our lifetimes.

We simply do not know.

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

10 Stories From The Cold, Hard Streets Of America That Will Break Your Heart

February 23, 2014February 23, 2014 by Michael

If the economy is really “getting better”, then why have millions upon millions of formerly middle class Americans been pushed to the point of utter despair? The stories that you are about to read are absolutely heartbreaking. I don’t know how anyone can read them without getting chills. In America today, if you lose a good job, there is a good chance that you will get back on your feet before too long. But there is also a good chance that you won’t be able to find a decent job and will plunge into the abyss of depression and desperation that so many millions of other Americans have fallen into. As I wrote about earlier this month, the U.S. economy is definitely not getting any better. For example, if you assume that the percentage of Americans that want to work is about at the long term average, then the official unemployment rate in the United States would be above 11 percent. And compared to six years ago, 1,154,000 fewer Americans are working today even though our population has gotten significantly larger since then. Behind all of these numbers are real flesh and blood people, and you are about to hear from some of them. The following are 10 stories from the cold, hard streets of America that will break your heart…

#1 A 34-year-old man named Rocco…

“While my wife goes to work, I’ve been staying at home to conserve fuel. I’ve been losing weight from eating less, so my family has more on their plates. It feels like the government and big business expect more and more while trying to give back as little as possible. Soon my internet connection will be shut off and since most companies don’t offer paper applications, how will I find work then? Walking around for miles a day, asking for an application that may or may not be available?”

#2 Homeless people wasting away in “Obamavilles” on the outskirts of Baltimore, Maryland…

A sheet of plastic laid over a clothesline. A mini-fortress of milk crates stacked under a tree. A thin mattress on a flimsy crate lying in a dark tunnel.

On the edge of Baltimore’s woodlands, dozens of the city’s transients live in makeshift homes which they consider safer than homeless shelters.

You can see some incredible photos of how these homeless people are living right here.

#3 A 50-year-old woman in Pennsylvania named Karen…

“My husband only makes 10 dollars an hour and drives 30 miles round trip, so it’s taking all we have just to keep the Jeep filled with gas. We stopped going to church and all to save gas. We are homebodies now, afraid to use what gas we have. We save two kids from getting put in foster care just to be hit like this. It’s just a constant trap they try to keep you from receiving any help! I’m so disgusted when my 12-year-old asks me why we don’t have snacks anymore, or why are we eating so much rice, etc.”

#4 The following is an excerpt from a comment that was recently left by one of my readers…

“I live right at ground zero. South West Virginia and let me tell you things are bad and getting worse by the day. We don’t do drugs but have family members hooked on meth and or pills or both. Many of these pills are prescribed by local doctors either Suboxone to get you off the opiates, a total joke by the way and tons of Xanax why would anyone need 120 Xanax a month how can you even be expected to function. These pills get traded for cash sex and other items, same goes for the SNAP cards. We have family members going to jail repeatedly for the same crimes making meth, selling pills and stealing anything that’s not nailed down. People who are 30 years old look like they are 55 years old. The jobs here are awful walmat, gas stations, fast food etc. Most of our whole county is on the government dole.”

#5 A 55-year-old man from California named Randy Carpadus…

“I was working as a firefighter for the state of California and was laid off in April 2012, right at the beginning of fire season. At my age, I’m not going to be picked up by another fire department. They want younger guys.

I’ve applied for everything from truck driver, to sales, to nonprofit work. I’ve sent out almost 400 resumes, and I’ve gotten nothing. I’ve done whatever I could to make ends meet.

Through some connections, I got a temp job as a truck driver in Napa Valley — a 3-hour commute from where I live. I lived in my car and worked during grape harvest.”

#6 In this tough economic environment, debt collectors are becoming even more aggressive. Just check out the kind of harassment that one woman named Jennifer Posey has been put through…

“This is Jimmy Lee calling from CheckCare. Just letting you know we’re in full force,” he said. The man had a thick Southern accent that stretched the word “you” into a two-syllable accusation. “We’re going to have warrants out for your arrest in Columbus, Ga.,” the man threatened. “We know you have an apartment on the canal in Clearwater.”

It was when he mentioned her home in Florida that Posey began to feel anxious. “We’re hurting you,” he continued. “We’re hurting your family, your son’s family, your cousin’s family. Whatever we can do to get you to pay.”

Forty minutes later, her phone rang again. “What about that 12-, 13-year-old child you’re trying to raise?” the voice sneered.

#7 A 50-year-old woman from New York named Sharon Ritchie…

“I am constantly told I am ‘overqualified.’ I’ve also been told to dumb down my resume, but I can’t just erase 30 years of experience.

You can only stand the word ‘no’ so many times. There are times that I cry at night wondering what happened, and at times I have thought about suicide.

But, I keep on going, hoping the cycle will break.”

#8 In response to my recent article about Appalachia, a reader named Rob shared the following…

“I am from rural south central KY (Brodhead, Rockcastle County) and I can tell you that most of the things described above are exactly how it is here. There are so many people on drugs it’s crazy. First it was the meth, which was more of a problem back in 2002-2007, then the pain pills really started becoming a huge problem, OxyContin and perc 30’s (roxicet) obtained from Florida and Georgia doctors. The pain pills are something that you can’t just walk away from after doing them for a while; they cause people to steal from family, sell everything they own, and/or prostitute themselves in order to avoid opiate withdrawal.”

#9 A 30-year-old man from California named Alejandro…

“I need to provide for my son who is diagnosed with autism and my baby girl. I’ve sold a bunch of my belongings to try and put food on the table, to buy clothes for my kids, to pay rent and utilities and to put gas in my vehicle to go job hunting. Not having money for necessities takes a toll on my mind. Depression has kicked in. It really takes a toll on one’s self-esteem and confidence to move forward.I’ve applied to countless amounts of jobs, only to not even get a call back. I’ve gone from construction site to construction site, only to be told they are not hiring. Finally, I got at least a positive call back from a company telling me they will call me to work in a couple of weeks. I am crossing my fingers and praying. There are millions of people in my situation or even worse.”

#10 An excerpt from a heartbreaking letter that an unemployed woman named Paula Bray sent to Barack Obama…

Dear Mr. President,

I write to you today because I have nowhere else to turn. I lost my full time job in September 2012. I have only been able to find part-time employment — 16 hours each week at $12 per hour — but I don’t work that every week. For the month of December, my net pay was $365. My husband and I now live in an RV at a campground because of my job loss. Our monthly rent is $455 and that doesn’t include utilities. We were given this 27-ft. 1983 RV when I lost my job.

This is America today. We have no running water; we use a hose to fill jugs. We have no shower but the campground does. We have a toilet but it only works when the sewer line doesn’t freeze — if it freezes, we use the campground’s restrooms. At night, in my bed, when it’s cold out, my blanket can freeze to the wall of the RV. We don’t have a stove or an oven, just a microwave, so regular-food cooking is out. Recently we found a small toaster oven on sale so we can bake a little now because eating only microwaved food just wasn’t working for us. We don’t have a refrigerator, just an icebox (a block of ice cost about $1.89). It keeps things relatively cold. If it’s freezing outside, we just put things on the picnic table.

Sadly, this is just the beginning.

The economic despair that we are witnessing right now is just a taste of the horrible economic nightmare that is going to unfold in the United States during the coming years.

And already there are signs that things are starting to take another turn for the worse. In recent months, we have seen a whole host of retail chains announce store closings. In fact, one of my readers wrote to me the other day and told me about a home appliance chain known as “American TV” that is going out of business in the Midwest. When these stores shut down, close to another 1000 Americans will soon be out of work…

“While this is a sad moment it is also a proud moment. It’s a moment to be proud of our efforts and to be proud of what we have delivered to the community”, said Doug Reuhl, President and CEO of American since 1988. “Words cannot adequately express how grateful we are to our millions of loyal customers, and to the incredible, dedicated family of employees that we have been blessed with over our 60 years of business”. Advanced notice of the business closing has been given to the 989 employees affected in eleven locations. Employees will be compensated, with benefits, through the notification period, and the majority will continue employment through the closing process.

But if you listen to the mainstream media, you would think that happy days are here again for America. Just check out some of the bizarre headlines that I have collected in recent weeks…

CNBC: “Stop whining! The US economy is in good shape”

USA Today: “Economists: U.S. will see better growth in ’14”

Newsday: “Why the economy isn’t doomed”

Most Americans will buy into this propaganda and will never see the next major economic crisis coming until it is too late to do anything about it.

So what do you think about all of this?

Do you have a personal story to share?

Please feel free to add to the discussion by leaving a comment below…

You Can Buy A House For One Dollar Or Less In Economically Depressed Cities All Over America

February 2, 2014February 2, 2014 by Michael

Would you like to buy a house for one dollar? If someone came up to you on the street and asked you that question, you would probably respond by saying that it sounds too good to be true. But this is actually happening in economically-depressed cities all over America. Of course there are a number of reasons why you might want to think twice before buying any of these homes, and I will get into those reasons in just a little bit. First, however, it is worth noting that many of the cities where these “free houses” are available were once some of the most prosperous cities in the entire country. In fact, the city of Detroit once had the highest per capita income in the entire nation. But as millions of good jobs have been shipped overseas, these once prosperous communities have degenerated into rotting, decaying hellholes. Now homes that once housed thriving middle class families cannot even be given away. This is happening all over America, and what we are witnessing right now is only just the beginning.

The photo that I have posted below was sent to me by a reader just the other day. It is a photo of a house in Yakima, Washington that is apparently being given away for free. At one time it was probably quite a lovely home, but now nobody seems to want it…

This piqued my curiosity, so I started doing some research and I discovered that homes all over the nation are being sold off for a dollar or less. The following are just a few examples…

–Buffalo, New York: “The Urban Homestead Program that is offered by the City of Buffalo enables qualified buyers to purchase a home that has been deemed ‘homestead eligible’ for $1.00 and there are plenty of properties left. There are three main requirements when purchasing a homestead property; the owner must fix all code violations within 18 months, have immediate access to at least $5000, and live there for at least three years. You also have to cover the closing costs of the purchase.”

–Gary, Indiana: “Officials say that a third of the houses in Gary are unoccupied, hollowed dwellings spread across a city that, like other former industrial powerhouses, has lost more than half its population in the last half-century.

While some of those homes will be demolished, Gary is exploring a more affordable way to lift its haggard tax base and reduce the excess of empty structures: sell them for $1.”

–South Bend, Indiana: “How could you refuse this offer? The city of South Bend, Indiana wants to give this handsome circa-1851 Italianate farmhouse away to anyone willing to properly restore it. Aside from the boarded up windows (the boards are painted to look like real windows), the place is in pretty good shape, with a completely restored exterior, new roof, and all new HVAC, plumbing and electrical systems. All you’ll need to do is restore the gutted (but clean as can be) interior.”

–Detroit, Michigan: “Now that the motor city has effectively run out of gas and declared bankruptcy, some rather eye-popping deals are presenting themselves to first time home buyers who appreciate the challenge of a fixer-upper.

Hundreds of Detroit homes currently listed on Zillow have asking prices below $5,000, with at least one seller so desperate as to offer his house for just $1, ABC News reported.”

—–

And guess who is selling more “one dollar homes” than anyone else?

If you guessed “the federal government” you would be correct.

Right now, the federal government is selling foreclosed homes to low income families all over the country for just one dollar…

HUD’s Dollar Homes initiative helps local governments to foster housing opportunities for low to moderate income families and address specific community needs by offering them the opportunity to purchase qualified HUD-owned homes for $1 each.

Dollar Homes are single-family homes that are acquired by the Federal Housing Administration (which is part of HUD) as a result of foreclosure actions. Single-family properties are made available through the program whenever FHA is unable to sell the homes for six months.

By selling vacant homes for $1 after six months on the market, HUD makes it possible for communities to fix up the homes and put them to good use at a considerable savings.

Before you get too excited, there are a whole bunch of reasons why you wouldn’t want to actually buy any of these one dollar homes.

First of all, most of them have been totally trashed. Just to get them up to livable condition would take thousands of dollars in most cases. Many of them are full of asbestos, and severe wiring and plumbing issues are quite common.

Secondly, you assume all of the liability for a home when you buy it. So if a homeless person stumbles in and injures himself, you could be liable for his injuries.

Thirdly, many of these homes are in very high crime neighborhoods. In some of these areas, people will literally rip up and carry away anything that is not bolted down.

Fourthly, property taxes are very high in many of these cities. Local governments are desperate to get people into these homes so that they can get the taxes flowing again. In many cases, what you would pay in taxes for a year is more than the true value of the home itself.

So, like I said, these homes are not the “great deal” that they may appear to be at first glance.

But that is not really the issue.

The real question is this: What is causing our communities to decay so dramatically?

And of course a big part of the answer is that the middle class in America is dying.

According to Time Magazine, one new report has discovered that nearly half the country is constantly living in a state of “persistent economic insecurity”…

But as evidenced by a report out Thursday from the Corporation for Enterprise Development, nearly half of Americans are living in a state of “persistent economic insecurity,” that makes it “difficult to look beyond immediate needs and plan for a more secure future.”

That same report also found that 56 percent of all Americans now have “subprime credit”.

We are a nation that is losing our independence and sinking into poverty.

Right now, 49.2 percent of all Americans are receiving benefits from at least one government program, and the U.S. government has spent an astounding 3.7 trillion dollars on welfare programs over the past five years.

Millions of our jobs have been shipped overseas, the control freak bureaucrats that are running things are absolutely killing “the little guy”, and poverty in the United States is exploding at a frightening pace.

Things are “changing” in this country, and not for the better.

One way that the death of the middle class is manifesting itself is in the death of shopping malls all over America. The following is an excerpt from a recent Business Insider article…

All across America, once-vibrant shopping malls are boarded up and decaying.

Traffic-driving anchors like Sears and JCPenney are shutting down stores, and mall owners are having a hard time finding retailers large enough to replace them. With a fresh wave of closures on the horizon, the problem is set to accelerate, according to retail and real estate analysts.

According to that same article, one prominent retail analyst believes that we could see up to 50 percent of the shopping malls in America close within 20 years…

Within 15 to 20 years, retail consultant Howard Davidowitz expects as many as half of America’s shopping malls to fail. He predicts that only upscale shopping centers with anchors like Saks Fifth Avenue and Neiman Marcus will survive.

And did you catch that last part? Only the shopping malls in wealthy areas will survive because the wealthy will be the only ones with enough money to support them.

For much more on this phenomenon, please see my previous article entitled “What Recovery? Sears And J.C. Penney Are DYING“.

At this point, things have already gotten so bad that now even Wal-Mart is having trouble. In fact, Wal-Mart is blaming the recent slowdown in sales on cuts to the federal food stamp program…

Wal-Mart announced today that cuts in a federal food stamp program as well as record cold temperatures hurt its fourth quarter profits.

After previously reporting “relatively flat” sales for the quarter, Wal-Mart Stores Inc. now says that sales for its namesake store and its Sam’s Club locations would be “slightly negative” for the November-January quarter, according to Agence France-Presse.

Wal-Mart’s Chief Financial Officer, Charles Holley, blamed the revised forecast on deeper-than-expected cuts to the U.S. Supplemental Nutrition Assistance Program (SNAP) and the extreme cold weather occurring in the past month.

This is how far the middle class in America has fallen. So many people are now on food stamps that even a slight reduction in benefits has a huge impact on the largest retailer in the entire country.

And actually, many rural communities could end up losing their Wal-Mart stores in the years ahead as the economy continues to deteriorate. In a recent CNBC article entitled “Time to close Wal-Mart stores? Analysts think so“, it was suggested that Wal-Mart should close about 100 “underperforming” supercenters in rural locations around the nation.

We are rapidly becoming “two Americas”. In the “good America”, the wealthy will still have plenty of retail stores to choose from within easy driving distance from their million dollar homes.

In the “bad America”, which will include most of us, our shopping malls will be closing down and the rotting, decaying homes of our neighbors will be sold off for next to nothing.

So which America do you live in? Please feel free to share what is going on in your neck of the woods by posting a comment below…

What Recovery? Sears And J.C. Penney Are DYING

January 16, 2014January 16, 2014 by Michael

Two of the largest retailers in America are steamrolling toward bankruptcy. Sears and J.C. Penney are both losing hundreds of millions of dollars each quarter, and both of them appear to be caught in the grip of a death spiral from which it will be impossible to escape. Once upon a time, Sears was actually the largest retailer in the United States, and even today Sears and J.C. Penney are “anchor stores” in malls all over the country. When I was growing up, my mother would take me to the mall when it was time to go clothes shopping, and there were usually just two options: Sears or J.C. Penney. When I got older, I actually worked for Sears for a little while. At the time, nobody would have ever imagined that Sears or J.C. Penney could go out of business someday. But that is precisely what is happening. They are both shutting down unprofitable stores and laying off employees in a desperate attempt to avoid bankruptcy, but everyone knows that they are just delaying the inevitable. These two great retail giants are dying, and they certainly won’t be the last to fall. This is just the beginning.

The Death Of Sears

Sales have declined at Sears for 27 quarters in a row, and the legendary retailer has been closing hundreds of stores and selling off property in a frantic attempt to turn things around.

Unfortunately for Sears, it is not working. In fact, Sears has announced that it expects to lose “between $250 million to $360 million” for the quarter that will end on February 1st.

Things have gotten so bad that Sears is even making commercials that openly acknowledge how badly it is struggling. For example, consider the following bit of dialogue from a recent Sears television commercial featuring two young women…

“Wait, the movie theater is on the other side,” the passenger says.

“But Sears always has parking!” the driver responds.

Sears always has parking???

Of course the unspoken admission is that Sears always has parking because nobody shops there anymore.

I have posted video of the commercial below…

A couple of months ago I walked into a Sears store in the middle of the week and it was like a ghost town. A few associates were milling around here and there having private discussions among themselves, but other than that it was eerily quiet.

You can find 18 incredibly depressing photographs which do a great job of illustrating why Sears is steadily dying right here. This was once one of America’s greatest companies, but soon it will be dead.

The Death Of J.C. Penney

J.C. Penny has been a dead man walking for a long time. In some ways, it is in even worse shape than Sears.

If you can believe it, J.C. Penney actually lost 586 million dollars during the second quarter of 2013 alone.

How in the world do you lose 586 million dollars in three months?

Are they paying employees to flush giant piles of cash down the toilets?

This week J.C. Penney announced that it is eliminating 2,000 jobs and closing 33 stores. The following is a list of the store closings that was released to the public…

Selma, Ala. — Selma Mall

Rancho Cucamonga, Calif. — Arrow Plaza

Colorado Springs — Chapel Hills Mall

Meriden, Conn. — Meriden Square

Leesburg, Fla. — Lake Square Mall

Port Richey, Fla. — Gulf View Square

Muscatine, Iowa — Muscatine Mall

Bloomingdale, Ill. — Stratford Square Mall

Forsyth, Ill. — Hickory Point Mall

Marion, Ind. — Five Points Mall

Warsaw, Ind. — Marketplace Shopping Center

Salisbury, Md. — The Centre at Salisbury

Marquette, Mich. — Westwood Plaza

Worthington, Minn. — Northland Mall

Gautier, Miss. — Singing River Mall

Natchez, Miss. — Natchez Mall

Butte, Mont. — Butte Plaza Shopping Center

Cut Bank, Mont.

Kinston, N.C. — Vernon Park Mall

Burlington, N.J. — Burlington Center

Phillipsburg, N.J. — Phillipsburg Mall

Wooster, Ohio — Wayne Towne Plaza

Exton, Pa. — Exton Square Mall

Hazleton, Pa. — LaurelMall

Washington, Pa. — Washington Mall

Chattanooga — Northgate Mall

Bristol, Va. — Bristol Mall

Norfolk, Va. — Military Circle Mall

Fond du Lac, Wis., Forest Mall

Janesville, Wis. — Janesville Mall

Rhinelander, Wis. — Lincoln Plaza Center

Rice Lake, Wis. — Cedar Mall

Wausau, Wis. — Wausau Mall

The CEO of J.C. Penney says that these closures were necessary for the future of the company…

“As we continue to progress toward long-term profitable growth, it is necessary to reexamine the financial performance of our store portfolio and adjust our national footprint accordingly,” CEO Myron Ullman said in a news release.

Actually, his statement would be a lot more accurate if he replaced “continue to progress toward long-term profitable growth” with ” prepare for bankruptcy”.

It would be hard to overstate how much of a disaster 2013 was for J.C. Penney. The following is an excerpt from a recent CNN article…

It’s been a brutal year for J.C. Penney, its stock falling over 60% in the past 12 months. The company has been losing hundreds of millions of dollars per quarter, and is in the midst of another turnaround effort after ousting former Apple executive Ron Johnson last year.

Overall, shares of J.C. Penney have fallen by an astounding 84 percent since February 2012. And keep in mind that this decline has happened during one of the greatest stock market rallies of all-time.

For now, J.C. Penney will continue to try to desperately raise more cash from investors that are foolish enough to give it to them, but all that is really accomplishing is just delaying the inevitable.

If you would like to see some photos that graphically illustrate why J.C. Penney is falling apart, you can find some right here.

And of course Sears and J.C. Penney are not the only large retailers that have fallen on hard times. This week the CEO of Best Buy admitted that sales declined at his chain during the holiday season…

Best Buy shares skid on Thursday after the retailer said total revenue and sales at its established U.S stores fell in the all-important holiday season due to intense discounting by rivals, supply constraints for key products and weak traffic in December.

In the immediate aftermath of that announcement, Best Buy stock was down more than 30 percent in pre-market trading.

And Macy’s just announced that it is laying off 2,500 employees in an attempt to move in a more profitable direction.

So why is all of this happening?

Aren’t we supposed to be in the midst of an “economic recovery”?

That is what the Obama administration and the mainstream media keep telling us, but it is simply not true.

In fact, a new Gallup survey has found that the number of Americans that are “financially worse off” than a year ago is significantly higher than the number of Americans that say that they are “financially better off” than a year ago…

More Americans, 42%, say they are financially worse off now than they were a year ago, reversing the lower levels found over the past two years. Just more than a third of Americans say their financial situation has improved from a year ago.

That is why these stores are dying.

Things continue to get even worse for the middle class.

But a lot of people out there will continue to deny what is happening right in front of their eyes. They are kind of like that woman over in California who was conned out of half a million dollars by a Nigerian online dating scam. They will never admit the truth until it is far too late to do anything about it.

So have you been to a Sears or a J.C. Penney lately?

Do you believe that they will survive?

Please feel free to share what you think by posting a comment below…

Vast Stretches Of Impoverished Appalachia Look Like They Have Been Through A War

January 15, 2014January 15, 2014 by Michael

If you want to get an idea of where the rest of America is heading, just take a trip through the western half of West Virginia and the eastern half of Kentucky some time. Once you leave the main highways, you will rapidly encounter poverty on a level that is absolutely staggering. Overall, about 15 percent of the entire nation is under the poverty line, but in some areas of eastern Kentucky, more than 40 percent of the population is living in poverty. Most of the people would work if they could. Over the past couple of decades, locals have witnessed businesses and industries leave the region at a steady pace. When another factory or business shuts down, many of the unemployed do not even realize that their jobs have been shipped overseas. Coal mining still produces jobs that pay a decent wage, but Barack Obama is doing his very best to kill off that entire industry. After decades of decline, vast stretches of impoverished Appalachia look like they have been through a war. Those living in the area know that things are not good, but they just try to do the best that they can with what they have.

In previous articles about areas of the country that are economically depressed, I have typically focused on large cities such as Detroit or Camden, New Jersey. But the economic suffering that is taking place in rural communities in the heartland of America is just as tragic. We just don’t hear about it as much.

Most of those that live in the heart of Appalachia are really good “salt of the earth” people that just want to work hard and do what is right for their families. But after decades of increasing poverty, the entire region has been transformed into an economic nightmare that never seems to end. The following is a description of what life is like in Appalachia today that comes from a recent article by Kevin D. Williamson…

Thinking about the future here and its bleak prospects is not much fun at all, so instead of too much black-minded introspection you have the pills and the dope, the morning beers, the endless scratch-off lotto cards, healing meetings up on the hill, the federally funded ritual of trading cases of food-stamp Pepsi for packs of Kentucky’s Best cigarettes and good old hard currency, tall piles of gas-station nachos, the occasional blast of meth, Narcotics Anonymous meetings, petty crime, the draw, the recreational making and surgical unmaking of teenaged mothers, and death: Life expectancies are short — the typical man here dies well over a decade earlier than does a man in Fairfax County, Va. — and they are getting shorter, women’s life expectancy having declined by nearly 1.1 percent from 1987 to 2007.

In these kinds of conditions, people do whatever they have to do just to survive. With so much poverty around, serving those on food stamps has become an important part of the local economy. In fact, cases of soda purchased with food stamps have become a form of “alternative currency” in the region. In his article, Williamson described how this works…

It works like this: Once a month, the debit-card accounts of those receiving what we still call food stamps are credited with a few hundred dollars — about $500 for a family of four, on average — which are immediately converted into a unit of exchange, in this case cases of soda. On the day when accounts are credited, local establishments accepting EBT cards — and all across the Big White Ghetto, “We Accept Food Stamps” is the new E pluribus unum – are swamped with locals using their public benefits to buy cases and cases — reports put the number at 30 to 40 cases for some buyers — of soda. Those cases of soda then either go on to another retailer, who buys them at 50 cents on the dollar, in effect laundering those $500 in monthly benefits into $250 in cash — a considerably worse rate than your typical organized-crime money launderer offers — or else they go into the local black-market economy, where they can be used as currency in such ventures as the dealing of unauthorized prescription painkillers — by “pillbillies,” as they are known at the sympathetic establishments in Florida that do so much business with Kentucky and West Virginia that the relevant interstate bus service is nicknamed the “OxyContin Express.” A woman who is intimately familiar with the local drug economy suggests that the exchange rate between sexual favors and cases of pop — some dealers will accept either — is about 1:1, meaning that the value of a woman in the local prescription-drug economy is about $12.99 at Walmart prices.

I would encourage everyone to read the rest of Williamson’s excellent article. You can find the entire article right here.

In Appalachia, the abuse of alcohol, meth and other legal and illegal drugs is significantly higher than in the U.S. population as a whole. In a desperate attempt to deal with the pain of their lives, many people living in the region are looking for anything that will allow them to “escape” for a little while. The following is an excerpt from an excellent article by Chris Hedges which describes what life is like in the little town of Gary, West Virginia at this point…

Joe and I are sitting in the Tug River Health Clinic in Gary with a registered nurse who does not want her name used. The clinic handles federal and state black lung applications. It runs a program for those addicted to prescription pills. It also handles what in the local vernacular is known as “the crazy check” — payments obtained for mental illness from Medicaid or SSI — a vital source of income for those whose five years of welfare payments have run out. Doctors willing to diagnose a patient as mentally ill are important to economic survival.

“They come in and want to be diagnosed as soon as they can for the crazy check,” the nurse says. “They will insist to us they are crazy. They will tell us, ‘I know I’m not right.’ People here are very resigned. They will avoid working by being diagnosed as crazy.”

The reliance on government checks, and a vast array of painkillers and opiates, has turned towns like Gary into modern opium dens. The painkillers OxyContin, fentanyl — 80 times stronger than morphine — Lortab, as well as a wide variety of anti-anxiety medications such as Xanax, are widely abused. Many top off their daily cocktail of painkillers at night with sleeping pills and muscle relaxants. And for fun, addicts, especially the young, hold “pharm parties,” in which they combine their pills in a bowl, scoop out handfuls of medication, swallow them, and wait to feel the result.

Of course this kind of thing is not just happening in the heart of Appalachia. All over the country there are rural communities that are economically depressed. In fact, according to the Wall Street Journal, economic activity in about half of the counties in the entire nation is still below pre-recession levels…

About half of the nation’s 3,069 county economies are still short of their prerecession economic output, reflecting the uneven economic recovery, according to a new report from the National Association of Counties.

So what are our “leaders” doing to fix this?

Well, they plan to ship millions more of our good jobs overseas.

Unfortunately, I am not kidding.

Republicans in the House of Representatives are introducing “fast track” trade promotion authority legislation that will pave the way for rapid approval of the secret trade treaty that Barack Obama has been negotiating. The following is how I described this insidious treaty in a previous article…

Did you know that the Obama administration is negotiating a super secret “trade agreement” that is so sensitive that he isn’t even allowing members of Congress to see it? The Trans-Pacific Partnership is being called the “NAFTA of the Pacific” and “NAFTA on steroids”, but the truth is that it is so much more than just a trade agreement. This treaty has 29 chapters, but only 5 of them have to do with trade. Most Americans don’t realize this, but this treaty will fundamentally change our laws regarding Internet freedom, health care, the trading of derivatives, copyright issues, food safety, environmental standards, civil liberties and so much more. It will also merge the United States far more deeply into the emerging one world economic system.

Once again, our politicians are betraying the American people and millions of jobs will be lost as a result.

Not that the economy needs another reason to go downhill. The truth is that our economic foundations have already been rotting away for quite some time.

But now the ongoing economic collapse seems to be picking up steam again. For example, the Baltic Dry Index (a very important indicator of global economic activity) is collapsing at a rate not seen since the great financial crash of 2008…

Despite ‘blaming’ the drop in the cost of dry bulk shipping on Colombian coal restrictions, it seems increasingly clear that the 40% collapse in the Baltic Dry Index since the start of the year is more than just that. While this is the worst start to a year in over 30 years, the scale of this meltdown is only matched by the total devastation that occurred in Q3 2008. Of course, the mainstream media will continue to ignore this dour index until it decides to rise once again, but for now, 9 days in a row of plunging prices is yet another canary in the global trade coalmine and suggests what inventory stacking that occurred in Q3/4 2013 is anything but sustained.

Soon economic conditions will get even worse for Appalachia and for the rest of the country. The consequences of decades of very foolish decisions are rapidly catching up with us, and millions upon millions of Americans are going to experience immense economic pain during the years to come.

So what are things like in your area of the country right now? Please feel free to share your thoughts by posting a comment below…

Is America About To Reach A Breaking Point? Anger Grows As Unemployment Benefits Get Cut

December 30, 2013December 30, 2013 by Michael

In America today, there are close to 50 million people living in poverty and there are more than 100 million people that get money from the federal government every month. As the middle class disintegrates, poverty is climbing to unprecedented levels. Even though the stock market has been setting record high after record high, the amount of anger and frustration boiling just under the surface in our nation grows with each passing day. And now extended unemployment benefits have been cut off for 1.3 million unemployed Americans, and it is being projected that a total of 5 million unemployed Americans will lose their benefits by the end of 2014. In addition, as I have written about previously, 47 million Americans recently had their food stamp benefits reduced. The conditions for a “perfect storm” are certainly being created. So how much longer will it be until we see all of this anger and frustration boil over in the streets of our major cities? Is America about to reach a breaking point?

If you think that the title of this article is “alarmist”, you probably have not been paying attention to what has been happening over the past few weeks. For example, a 600 person brawl broke out at at movie theater in Jacksonville, Florida just the other day…

Five teenagers were arrested when a 600-person brawl broke out in a Florida movie theater’s parking lot on Christmas night.

Described by police as a “melee,” the fight occurred around 8:30 p.m. on Wednesday outside the Hollywood River City 14 movie theater in Jacksonville when a group tried to storm the theater’s doors without purchasing tickets, police said. Several had rushed an off-duty police officer working as a security guard.

The officer “administered pepper spray to disperse the group, locked the doors and called for backup, following protocol,” said Lauri-Ellen Smith, a spokeswoman for the Jacksonville Sheriff’s Office.

Soon after the pepper spray was used, “upward of 600 people moving throughout a parking lot about the size of a football field began fighting, disrupting and jumping on cars,” she said.

And a “flash mob” of “400 crazed teens” was so violent that it forced a mall in Brooklyn to shut down just a few days ago…

A wild flash mob stormed and trashed a Brooklyn mall, causing so much chaos that the shopping center was forced to close during post-Christmas sales, sources said Friday.

More than 400 crazed teens — who mistakenly thought the rapper Fabolous would perform — erupted into brawls all over Kings Plaza Shopping Center in Mill Basin on Thursday at 5 p.m., sources said.

The troublemakers looted and ransacked several stores as panicked shoppers ran for the exits and clerks scrambled to pull down metal gates.

In addition, the release of new Air Jordan sneakers caused mini-riots and brawls to break out all over the country just before Christmas.

So why is all of this happening?

Of course people will come up with all sorts of theories to explain these outbreaks of violence, but what pretty much everyone should be able to agree on is that we are seeing levels of anger and frustration rise to very dangerous levels in this country.

Right now, there are approximately 6 million Americans in the 16 to 24-year-old age group that are not in school and that are not working either. What that means is that we have an alarmingly high number of very frustrated young people that do not have anything better to do than to cause trouble.

In some of our largest cities this has become a massive problem. In fact, quite a few major U.S. cities actually have more than 100,000 “idle youth” living in them…

Just look at some of the nation’s largest cities. Chicago, Houston, Dallas, Miami, Philadelphia, New York, Los Angeles, Atlanta and Riverside, Calif., all have more than 100,000 idle youth, the Opportunity Nation report found.

But the Obama administration says that this should not be a problem. In fact, the Obama administration tells us that the unemployment rate has been steadily “declining” and that there are plenty of opportunities for everyone.

Of course that is a giant lie. Just before the last recession, about 63 percent of all working age Americans had a job. During the recession that number fell below 59 percent and it has stayed there ever since…

So the notion that we are experiencing an “employment recovery” is absolutely laughable.

But most of our politicians appear to believe this lie, and it is being used as justification to cut off extended unemployment benefits.

And the funny thing is that by cutting off these benefits, it is going to make it appear as though unemployment has gone down even more. Millions of unemployed workers that are being forced into the streets will now be counted as having “left the labor force”, and it is being projected that the unemployment rate could decline by as much as half a percentage point as a result.

What a joke.

A lot of the people that are having their benefits cut off are really hurting. For instance, consider the case of 63-year-old paralegal Laura Walker…

“Not all of us have savings and a lot of us have to take care of family because of what happened in the economy,” said Walker, of Santa Clarita, who said she has applied for at least three jobs a week and shares an apartment with her unemployed son, his wife and two children. “It’s going to put my family and me out on the streets.”

So what is she going to do?

Well, at this point she appears to be down to just one option…

“I just don’t know what to do, except pray.”

And of course the unemployed are not the only ones that have had their benefits cut. As I mentioned above, all 47 million Americans that are currently on food stamps recently had their benefits reduced. The following is an excerpt from a recent article by Mac Slavo…

Earlier this year government benefits for nutritional assistance were reduced after the expiration of emergency legislation that was enacted following the 2008 financial collapse. Nearly all of the 48 million people receiving food stamp distributions were affected. The move led to warnings from food pantries and recipients around the country who said that the $40 billion in cuts would leave many American families without the ability to put food on dinner tables across America. According to Feed America, the roughly $29 per family that would no longer appear on their EBT cards will amount to about 1.5 billion meals in 2014.

The fact that government dependence has soared to all-time highs even in the midst of this so-called “economic recovery” is just another sign that the middle class is dying. For years, middle class families have tried strategy after strategy in an attempt to survive, but now it has become apparent that the middle class is rapidly approaching a breaking point…

Rising income inequality is starting to hit home for many American households as they run short of places to reach for a few extra bucks.

As the gap between the rich and poor widened over the last three decades, families at the bottom found ways to deal with the squeeze on earnings. Housewives joined the workforce. Husbands took second jobs and labored longer hours. Homeowners tapped into the rising value of their properties to borrow money to spend.

Those strategies finally may have run their course as women’s participation in the labor force has peaked and the bursting of the house-price bubble has left many Americans underwater on their mortgages.

And even though the Obama administration and the mainstream media have tried to convince us over and over that the economy is “getting better”, most Americans are not buying it. In fact, according to a new CNN poll, 70 percent of all Americans believe that “the economy is generally in poor shape”.

As the economy continues to decline, not all Americans will respond to their desperate situations by getting violent. Many suffer quietly, hoping that things will eventually turn around for them. Unfortunately, the ranks of the suffering grow with each passing year. For example, a recent CNN article discussed the continued growth of “tent cities” all over America…

The total number of homeless people residing in tents and makeshift homes is unknown. Many of these communities are small and hidden from public view, while others claim hundreds of residents and are sprinkled through major urban areas.

Some, like those tucked under roadways, are temporary and relocate frequently. Their conditions are vile, unsanitary and fail to provide refuge from storms and winds. Then there are communities, such as Dignity Village in Portland, Oregon, that have a more sustained presence. The 13-year-old “ecovillage” set up by homeless people is hygienic and self-sufficient.

Preliminary findings by The National Law Center on Homelessness and Poverty show that tent cities have been documented in almost every state, and they’re growing.

So how do we solve these problems?

Are there any solutions that could get us out of this mess?

Of course there are. But don’t hold your breath waiting for any of them to be adopted. In fact, the American people continue to express great support for the very people that got us into this mess in the first place. For example, according to a Gallup survey that was just released, Barack Obama is the most admired man in America by a very wide margin and Hillary Clinton is the most admired woman in America by a very wide margin.

And the mainstream media will continue to tell all of us that “leaders” like Obama, Clinton, Reid, Boehner, McConnell and Pelosi can be trusted to get us out of this mess.

If you believe that, there is a bridge that I would like to sell you.

The American people need to stop having blind faith in the relentless propaganda that is being spewed at them through their televisions screens. The pretty faces that you see “reporting the news” do not care about you and they are not watching out for your best interests. The corporate-controlled news is highly scripted and it is pretty much the same whatever channel you turn to. If you have any doubt that “the news” is scripted, just check out this video…

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