Very Painful

Americans Are Taking On Debt As If Tomorrow Will Never Come

August 3, 2021August 3, 2021 by Michael

If you make a conscious choice to ignore all long-term consequences, managing your personal finances can be a lot of fun. For example, instead of rationally evaluating what sort of mortgage payment you can actually afford, why not take a plunge and buy a $600,000 house? You only live once, right? And instead of making your current dumpy vehicle last another year or two, why not take out a huge loan on a brand new $60,000 SUV? You know you deserve it. While you are at it, why don’t you go on another huge spending spree and max out all of your credit cards again. Paying off those credit cards will be very painful in the long run, but nobody thinks much about long-term consequences these days.

Just look at the federal government. They are 28 trillion dollars in debt and yet our politicians continue to throw money around like a bunch of drunken sailors.

Of course the federal government is far from alone. State and local governments have never been so deep in debt, we are in the midst of the greatest corporate debt binge of all time, and U.S. consumers are certainly doing their part. In fact, last quarter we witnessed the largest increase in consumer debt since just before the last financial crisis…

Americans have more debt than ever before.

A surge in credit card spending and home purchases caused US household debt to increase by $313 billion, or 2.1%, in the second quarter, according to the Federal Reserve Bank of New York.
That’s the largest nominal jump since 2007 and the biggest percentage increase in seven and a half years.

Overall, U.S. consumers are now $14,960,000,000,000 in debt.

We will shortly hit the 15 trillion dollar mark, and I think that we should commemorate the crossing of that threshold with some sort of celebration.

Of course any celebration should involve going into even more debt, because there are few things that Americans enjoy more than getting even deeper into debt.

Mortgage debt is rising particularly quickly. Housing prices have been going through the roof recently, and this has created a frenzy on a scale that we haven’t seen since just before the subprime mortgage meltdown of 2008…

Mortgage debt, the single biggest contributor to overall household debt, rose $282 billion to $10.44 trillion. A whopping 44% of the outstanding balances were originated over the past year, accounting for both new mortgages and refinancings.

But even though the US housing market is red hot and borrowing to purchase homes is through the roof, “there are still 2 million borrowers in mortgage forbearance who are vulnerable to financial distress once the forbearance programs come to an end,” said Joelle Scally administrator of the Center of Microeconomic Data at the New York Fed.

Is it just me, or does it seem like we have been here before?

All of this just seems so oddly familiar.

Of course the experts are assuring us that this even bigger housing bubble will end so much more nicely than the last one did.

You believe them, don’t you?

After being showered with trillions upon trillions of dollars by the federal government, you would think that most Americans should be in pretty good financial condition these days.

Unfortunately, it turns out that all of that money just made the gap between the wealthy and the rest of us even larger…

Americans added nearly $4 trillion to their savings during the coronavirus pandemic, but most of the gains went to the wealthy, according to a new study.

Stimulus checks, rising stock markets and fewer spending choices led to a massive savings boom over the past year, with Americans saving about $3.7 trillion, according to a study from Oxford Economics. Yet 70% of the gain went to the wealthiest 20% of Americans, the study found.

As I discussed the other day, there are millions and millions of Americans that were in danger of being thrown out into the streets once the eviction moratorium ended, but now Joe Biden has decided to come to the rescue…

President Joe Biden’s administration Tuesday issued a targeted moratorium on evictions in areas hardest hit by COVID-19, replacing a nationwide evictions freeze that expired Saturday despite legal concerns about doing so unilaterally.

The new action, in effect for 60 days, bans evictions in counties with high rates of COVID-19 transmission, reflecting where the Centers for Disease Control and Prevention recommends vaccinated residents mask indoors and in public settings.

But is this legal?

After all, we have already seen several courts rule on this, and they have said that it isn’t.

Well, just like any good career politician, Biden isn’t going to let a little thing like “legality” stand in the way…

The president said he sought input from constitutional scholars to determine whether the CDC had the legal authority to issue a new evictions action but it was unclear whether it could pass constitutional muster.

“There are several key scholars who think that it may, and it’s worth the effort,” Biden said.

Biden says that even if the courts strike this new moratorium down, it will buy some time for his administration to get aid money to those that need it.

Needless to say, what Biden has decided to do has absolutely horrified those that still actually have respect for the U.S. Constitution. Here is an excerpt from Jonathan Turley’s reaction…

…What was astonishing is that Biden acknowledged that it is still likely unconstitutional but that they could tie it up in courts to get the money out in the interim…

Sadly, Biden’s approach is typical of how most Americans deal with things.

Most of us do whatever we feel like doing in the moment, and we don’t really give too much consideration to the long-term consequences.

Let us party today, because tomorrow is not guaranteed for any of us!

Of course the truth is that “tomorrow” always arrives eventually, and our “tomorrow” is going to be more painful than most people would dare to imagine.

But for the moment, the consequences of our actions have not caught up with us quite yet, and so it is still party time.

Most Americans fully intend to enjoy this party for as long as they possibly can, but at this point time is not on our side.

***It is finally here! Michael’s new book entitled “7 Year Apocalypse” is now available in paperback and for the Kindle on Amazon.***

About the Author: My name is Michael Snyder and my brand new book entitled “7 Year Apocalypse” is now available on Amazon.com. In addition to my new book I have written five others that are available on Amazon.com including “Lost Prophecies Of The Future Of America”, “The Beginning Of The End”, “Get Prepared Now”, and “Living A Life That Really Matters”. (#CommissionsEarned) By purchasing the books you help to support the work that my wife and I are doing, and by giving it to others you help to multiply the impact that we are having on people all over the globe. I have published thousands of articles on The Economic Collapse Blog, End Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I always freely and happily allow others to republish my articles on their own websites, but I also ask that they include this “About the Author” section with each article. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help. During these very challenging times, people will need hope more than ever before, and it is our goal to share the gospel of Jesus Christ with as many people as we possibly can.

Elderly Americans Are Increasingly Being Targeted As Violent Crime Soars To Crazy Levels In Major U.S. Cities

July 25, 2021July 25, 2021 by Michael

Those that prey on elderly people just because they are easy targets should be deeply ashamed of themselves. Unfortunately, we live at a time when violent criminals are roaming the streets of our major cities in packs, and many of them seem to have no sense of honor at all. Women are being attacked, children are being attacked, and those that are advanced in age are often specifically targeted. Reading that may make your blood boil, but they don’t care what you think. Many of these criminals don’t have respect for anyone or anything, and a lot of them have hearts that are as cold as ice.

Let me give you an example of what I am talking about. A 68-year-old man in Brooklyn was beaten to a pulp and had his skull stomped on just because his much younger attacker wanted to rob him…

A Brooklyn man has been seen pummeling a 68-year-old victim and stomping on his skull, before going through his pocket as he lay unconscious on the street in a shocking daylight, as the New York City crime wave continues.

In a disturbing video released by the New York Police Department, shows a black man wearing a hoodie and a blue disposable face mask launching the vicious attack at 9am on Saturday morning in the East New York neighborhood.

Even more disgusting is when a group of criminals decides to gang up and physically attack an elderly victim. Last week, a 61-year-old woman in Harlem was violently assaulted by one man and three women…

The incident occurred at about 8:18 p.m. local time on Tuesday in Harlem at the corner of 8th Avenue and West 151st Street, police said. The altercation began with a verbal disagreement that police said the group started with the 61-year-old woman as she was standing at the corner. The incident quickly escalated and became physical.

The group, composed of three women and one man, began kicking and punching the victim, who was tackled to the sidewalk by one of the attackers. The individual who fell to the ground with the victim, a woman seen in the video wearing a yellow T-shirt and light blue pants, continued striking her as the others beat her while standing.

When I was growing up, it was very rare for women to commit violent crimes.

But since then something has dramatically changed in our society, because now we often see gangs of crazed young women commit violent crimes collectively.

And sometimes the packs of violent criminals are so large that they can’t be accurately counted. On Friday, a 44-year-old off-duty New York City firefighter was viciously attacked by “at least 100 kids”…

The 44-year-old victim said he was strolling with his 3-year-old Labradoodle Dylan in Juniper Valley Park in Middle Village at around 9:55 p.m. Friday when he was suddenly targeted by the mob.

“There were at least 100 kids … I was walking my dog. They just picked me out and approached me,” the still-shaken victim, who asked to remain anonymous, told The Post Saturday afternoon.

Thankfully an ambulance was nearby, because otherwise he may not have survived that encounter…

The victim continued: “They didn’t care at all. The kids were going crazy. They were as high as a kite. I got hit, turned around, that’s when the kids started coming at me …. Then I was on the floor, holding one kid and an ambulance pulled up. They were waiting by the park … If they weren’t there I would have been in much worse condition.”

This is what our country has become.

Large packs of violent criminals are just randomly assaulting people in the streets.

The police are supposed to protect us, but way too often they are getting attacked too…

Aurora police said the officer was struck repeatedly in the head and body during the June 21 attack before he was strangled by a female passenger to the point where the officer lost the “ability to breathe.”

Following an investigation into the incident, the three suspects, Jennifer Taylor, 24, of Chicago; Sheba Taylor, 26, of Aurora; and Paul Sherrod, 28, of Aurora, were indicted by a grand jury last week and charged with attempted first-degree murder, aggravated battery, and aggravated assault, police said.

The numbers that are coming in from all over the nation are simply appalling.

In Philadelphia, the murder rate is up 35 percent so far this year, and at this point Philly has “the highest murder rate in the country per capita of the country’s 10 largest cities”…

As of Thursday, the number of homicide victims in Philadelphia this year is up to at least 314 people. That’s up 35% from this time last year.

Philadelphia now has the highest murder rate in the country per capita of the country’s 10 largest cities.

It was going to take a special effort to top Chicago, but Philly has done it.

Of course violence is surging everywhere. According to Zero Hedge, the number of mass shootings in this country so far this year is up by a total of 21 percent…

To date, the number of mass shootings in the U.S. is 21% higher than the same period in 2020 (Jan.1 – July 20), which is 30% higher than the previous high, according to nonprofit research group Gun Violence Archive (GVA).

GVA’s data so far shows the U.S. has recorded 375 mass shootings in 41 different states (and Washington D.C.) in the first 200 days of 2021. Putting that in perspective, the country had 310 by this date last year.

Most mass shootings barely make a blip in the news before the next one comes along.

We are now known around the globe for the blood that runs in our streets, and our leaders seem powerless to do anything about it.

Of course our problems extend well beyond violent criminals. As Business Insider recently noted, it seems like a significant portion of the general population is in a constant state of anger these days…

Violence on airplanes is spiking. Retail and fast-food workers say they’re being harassed and assaulted. And small business owners report experiencing frustrated customers whose patience has evaporated.

Have you noticed this too?

I definitely have.

This is one of the reasons why I just like to stay up in the mountains most of the time.

According to a psychiatrist from Harvard Medical School, the pressure that has been building up in our society is causing a lot of people to finally crack…

All of this behavior is the result of a year and a half of fear and anxiety, according to Luana Marques, an associate professor of psychiatry at Harvard Medical School.

“We’ve been skating thin ice in the past year, and if the weight [becomes] too much, the ice cracks. I think that’s what we’re seeing,” she said.

If things are this bad already, what is our society going to look like when economic conditions become extremely harsh for an extended period of time?

For a couple of months after Biden was inaugurated, most Americans were feeling pretty good about the future, but now that is changing in a major way.

In fact, ABC News discovered that the percentage of Americans that are feeling pessimistic about the direction of the country rose by nearly 20 points since their last poll…

A majority — 55% — of the public say they are pessimistic about the direction of the country, a marked change from the roughly one-third (36%) that said the same in an ABC News/Ipsos poll published May 2. In the early May survey, Americans were more optimistic than pessimistic by a 28-percentage point margin. Optimism is now under water by 10 points. Looking ahead to the next 12 months, fewer than half — 45% — now report feeling optimistic about the way things are going, a significant drop from about two-thirds (64%) in the May poll.

Of course the truth is that Americans should be feeling pessimistic, because things are only going to go downhill from here.

So if you think that the violence in our major cities is bad now, just wait, because much worse is coming.

***It is finally here! Michael’s new book entitled “7 Year Apocalypse” is now available in paperback and for the Kindle on Amazon.***

There Have Been More Than 300 Mass Shootings In The United States So Far In 2021

July 18, 2021July 18, 2021 by Michael

Did you know that the U.S. has averaged more than one and a half mass shootings a day so far this year? I know that sounds crazy, but it is true. Monday will be the 200th day of the year, and according to Wikipedia there have been 327 mass shootings up to this point in 2021. And actually the information on Wikipedia does not include all of the most recent mass shootings, and so the true number is actually a little higher. But you can’t really blame Wikipedia, because it is extremely difficult to keep up with all of the mass shootings that are happening these days. In fact, each one barely even makes a blip in the news before the next one happens. We have become a nation that is filled with violence from one end to the other, and many believe that what we have experienced so far is just the beginning.

On Saturday night, headlines were made all over the nation when a baseball game between the Washington Nationals and the San Diego Padres was halted due to a mass shooting that took place right outside the ballpark…

Three people were shot outside of Saturday night’s Nationals game during the 6th inning, causing players to run off the field and fans toward the exits. According to Washington Nationals on Twitter, a shooting was reported outside of the Third Base Gate at Nationals Park.

Sadly, mass shootings are becoming way too common in D.C. these days. Just the night before, there was a mass shooting in the city that took the life of a 6-year-old girl…

Police are pleading for information after a 6-year-old girl was killed and five others were injured in a shooting late Friday night in Washington, D.C.

The shooting took place shortly after 11 p.m. in the neighborhood of Congress Heights, according to the Metropolitan Police Department of the District of Columbia.

Not since the days of Marion Berry have we seen such extreme violence in the nation’s capital.

Carjackings in D.C. are up a whopping 74 percent so far this year, and the police union is admitting that the city has become a place where “violent crime permeates everything”…

The police union, however, heaped blame on the ‘elected officials’ who they said allowed DC to become lawless.

‘Welcome to Washington, D.C. Where violent crime permeates everything,’ they tweeted on Sunday morning.

‘It is a tragedy that elected officials won’t let us do our jobs.’

Mass shootings are becoming increasingly common in other large cities as well. For example, Portland is rapidly becoming one of America’s most violent cities, and over the weekend there was a tragic mass shooting in the city in which eight people were shot…

On Saturday, July 17, 2021 at 2:10 a.m., Central Precinct officers responded to a report of multiple people shot in the 300 block of Southwest 3rd Avenue. When officers arrived they found many people injured. The officers initiated lifesaving measures and secured the scene for paramedics to respond. So far 8 patients have been located and transported to the hospital by ambulance. At least one is considered life threatening. There appeared to be both male and female adults hit by bullets.

The suspect or suspects left the scene before police were called and no one has been arrested. No suspect descriptions are being released at this time.

Portland was once such a beautiful place.

What in the world has happened to that city?

Of course Portland still has a long way to go before it gets as bad as Chicago.

On Saturday night, there was a mass shooting in Chicago that resulted in four children being hit…

Four children were among six people shot and wounded Saturday night in a drive-by shooting that targeted a group mingling outside a house party in Chicago, police said.

The shooting happened about 11:40 p.m. in the Austin neighborhood on the city’s West Side, according to the Chicago Police Department.

It should break all of our hearts when we hear of innocent young children getting shot.

In the old days, criminals had higher standards than this. In most cases, they would at least wait until there were no children present to start shooting at their enemies.

But these days, hearts are so cold that people will start shooting whether children are around or not.

In fact, some gang members are so twisted that they actually relish the thought of taking down the children of their rivals.

At this point, I don’t know why anyone would still want to live in Chicago, because a drive by shooting could literally occur at any moment. Here is an example that happened just last Wednesday…

Autry Phillips runs a community outreach center on a block in Gresham where people like to gather on the street and catch up with each other.

“It’s a good thing to do,” Phillips said. “We want people hanging out on our block.”

And that’s what people were doing Wednesday, standing and talking near a food mart at 79th and Justine streets when a silver car pulled out from an alley and three gunman opened fire shortly after noon.

And that wasn’t even the first mass shooting in the city that day. A few hours earlier, a shooter gunned down four women and a man…

Hours earlier, four women and a man were shot in West Garfield Park on the West Side. As in Gresham, they were gathered on a sidewalk in the 4600 block of West Monroe Street when someone approached with a gun and shot them shortly after midnight, police said.

Once upon a time, a mass shooting like that would make headlines all across America.

But these days they are so common that each one barely gets noticed.

In order to make headlines these days, a mass shooting has to have an unusual element to it. If the shooting that just happened in D.C. had not stopped a baseball game, it probably wouldn’t have gotten much notice at all.

If we are seeing this much violence now, what will this country look like once economic conditions become extremely harsh for an extended period of time?

The fabric of our society is literally being ripped to shreds all around us, and we are headed for a very, very painful future.

***It is finally here! Michael’s new book entitled “7 Year Apocalypse” is now available in paperback and for the Kindle on Amazon.***

48% Of U.S. Small Businesses Fear That They May Be Forced To “Shut Down Permanently” Soon

December 10, 2020 by Michael

What would the United States look like if we lost half of our small businesses? The reason I ask that question is because approximately half of all small business owners in the entire country believe that they may soon be forced to close down for good. Not even during the Great Depression of the 1930s did we see anything like this. The big corporate giants with extremely deep pockets will be able to easily weather another round of lockdowns, but for countless small businesses this is literally a matter of life and death. Every day we are seeing new restrictions being implemented somewhere in the nation, and the politicians that are doing this are killing the hopes and dreams of countless small business owners. According to a recent Alignable survey, 48 percent of U.S. small business owners fear that they could be forced to “shut down permanently” in the very near future…

Based on this week’s Alignable Q4 Revenue Poll of 9,201 small business owners, 48% could shut down permanently before year’s end.

In fact, this number jumped from 42% just two months ago, demonstrating how several factors have converged to devastate small businesses: COVID resurgences, forced government reclosures, elevated customer fears, and a surge in online shopping at Amazon and other national ecommerce giants.

When a small business with only a few employees closes down forever, it never makes any national headlines.

But the truth is that small businesses are the heart and soul of our economy, and we are losing more of them with each passing day.

Here are some quotes from actual small business owners that took part in the Alignable survey…

“COVID has raised its ugly head again. I’m a caterer and I’ve had no work in November and my clients are cancelling for Dec. This is so sad. I have worked so hard to build my business the last 14 years. My business has gone from half a million to not even 200,000. This is devastating for any business.”
“COVID closings are killing this country! My business is on hold — no art walks or gallery openings, and I can’t even open my studio. Everything’s online.”
“Because therapeutic massage is so ‘up close and personal,’ I have only come back to about 40% of my previous clientele. I am afraid that the governor will shut us down again, which will be the end of my business. I also believe the ‘ruling elite’ does not care about small businesses.”

How would you feel if you spent years putting everything you had into a small business in order to make it successful, only to have the politicians come along and completely destroy it?

And every time a small business has to let workers go, it just makes the unemployment crisis in this country even worse.

On Thursday, we learned that another 853,000 Americans filed new claims for unemployment benefits last week…

First-time claims for unemployment insurance totaled 853,000, an increase from the upwardly revised 716,000 total a week before, the Labor Department reported Thursday. Economists surveyed by Dow Jones had been expecting 730,000.

I have been warning that the new lockdowns would make the numbers worse, and that is precisely what is happening.

And one expert that was interviewed by CNBC says that this is just the beginning…

“It looks like the unemployment losses are starting to stack up for the economy. It’s not going to be a good month,” said Chris Rupkey, chief financial economist at MUFG Union Bank. “You’re starting the first week of the month on a bad note, and it’s probably going to be all downhill from here. It feels like the lockdowns are intensifying. It’s closer to reality for those forecasts that look for the economy to go negative in the first quarter.”

It is also important to remember that there are many Americans that have been unemployed for so long that they are no longer eligible to receive benefits.

One of those long-term unemployed workers is 35-year-old Sarah Groome…

For six months, she received unemployment benefits from the government – but those payments shrank as the programmes wound down this summer. Since October, she’s received nothing.

“I don’t know what I’m going to do financially,” she says. “I’m applying to jobs and I’ve probably applied to over 100 at this point and I’ve had one interview.”

“It’s scary,” she says. “I don’t know what’s going to happen.”

What do you say to someone in her position?

It’s heartbreaking to hear stories like that, and more people are being laid off with each passing day.

And as our new economic depression gets progressively deeper, an increasing number of Americans are becoming very desperate.

In fact, many have already become so desperate that they are turning to shoplifting…

Shoplifting is up markedly since the pandemic began in the spring and at higher levels than in past economic downturns, according to interviews with more than a dozen retailers, security experts and police departments across the country. But what’s distinctive about this trend, experts say, is what’s being taken – more staples like bread, pasta and baby formula.

“We’re seeing an increase in low-impact crimes,” said Jeff Zisner, chief executive of workplace security firm Aegis. “It’s not a whole lot of people going in, grabbing TVs and running out the front door. It’s a very different kind of crime – it’s people stealing consumables and items associated with children and babies.”

Everywhere we look, our society is starting to break down all around us. Americans have filed new claims for unemployment benefits more than 70 million times this year, the number of homeless in New York City has reached an all-time record high, and civil unrest continues to erupt all over America.

No matter what happens politically, conditions are going to continue to deteriorate as we head into 2021.

Of course the mainstream media is boldly proclaiming that the new vaccines will pull us out of this tailspin and that life in America will soon return to normal.

You can believe the mainstream media if you want, but in the end the “hope” that they are promising will turn out to be a complete mirage.

***Michael’s new book entitled “Lost Prophecies Of The Future Of America” is now available in paperback and for the Kindle on Amazon.***

About the Author: My name is Michael Snyder and my brand new book entitled “Lost Prophecies Of The Future Of America” is now available on Amazon.com. In addition to my new book, I have written four others that are available on Amazon.com including The Beginning Of The End, Get Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing the books you help to support the work that my wife and I are doing, and by giving it to others you help to multiply the impact that we are having on people all over the globe. I have published thousands of articles on The Economic Collapse Blog, End Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I always freely and happily allow others to republish my articles on their own websites, but I also ask that they include this “About the Author” section with each article. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. I encourage you to follow me on social media on Facebook, Twitter and Parler, and any way that you can share these articles with others is a great help. During these very challenging times, people will need hope more than ever before, and it is our goal to share the gospel of Jesus Christ with as many people as we possibly can.

Bracing For A Very Painful Year: 38% Of Americans Say That They Will Spend 2021 In “Survival Mode”

December 8, 2020 by Michael

If nearly 40 percent of the entire nation anticipates spending the next 12 months in “survival mode”, that is not a good sign for what the coming year will bring. Traditionally, Americans have looked forward to the turn of the year with tremendous optimism, but this time around things are very, very different. 2020 brought us the COVID pandemic, tremendous violence and civil unrest in our major cities, and the greatest economic downturn since the Great Depression of the 1930s. Sadly, a large chunk of the country is anticipating more difficulties in the coming months, because one recent survey found that 38 percent of all Americans plan to spend 2021 in “survival mode”…

Of the 3,011 surveyed adults, over 38% said they will spend the year in “survival mode,” meaning they’ll focus on the day-to-day rather than long-term goals to try to get themselves and their families through 2021.

The biggest reason why so many anticipate being in “survival mode” is because of the financial problems that they experienced this year. According to that same survey, a whopping 68 percent of all Americans say that they experienced some sort of “financial setback” in 2020…

Although some respondents maintained their usual income over the past year, 68% had setbacks. Of those, 23% lost a job or household income; 20% had an unexpected non-health emergency; 18% had to provide unexpected financial aid to family or friends; and 16% had a health emergency in their family.

As I keep reminding my readers, Americans have filed more than 70 million new claims for unemployment benefits this year, but even many of those that have been able to keep their jobs have fallen on very hard times.

Another new survey found that approximately one-third of all full-time workers in the U.S. “have experienced a pay cut” in 2020…

Roughly 1 in 3 full-time workers have experienced a pay cut due to the coronavirus pandemic this year, according to a recent MagnifyMoney survey of 984 professionals surveyed Nov. 6 to 11.

If you were employed throughout all of 2020 and you are still able to pay all of your bills on time, you should be very thankful for your blessings, because you are now in the minority.

For most Americans, the past 12 months have been exceedingly painful, and this new round of lockdowns promises to extend the economic suffering long into 2021.

Some industries that were absolutely devastated by the first round of lockdowns are officially in panic mode at this point. For example, we have already permanently lost approximately 17 percent of all of the restaurants in the entire country, and the National Restaurant Association is warning that 10,000 more could permanently shut down “in the next three weeks”…

About 17% of America’s restaurants have already permanently closed this year, with thousands more on the brink according to a new report.

The National Restaurant Association is publicly pleading with Congress to pass new stimulus to help the industry that has been damaged by the pandemic. The group said Monday that 10,000 restaurants could close in the next three weeks, in addition to the 110,000 that have already shuttered in 2020.

Even during the best of times, running a successful restaurant is exceedingly difficult. The margins are razor thin, new competition is always popping up, and employees are constantly coming and going.

When you add a global pandemic on top of all of that, it has become almost impossible for many eateries to keep going, and we are being told that the future for the industry looks quite “bleak”…

87% of full-service restaurants (independent, chain, and franchise) report an average 36% drop in sales revenue. For an industry with an average profit margin of 5%-6%, this is simply unsustainable. 83% of full-service operators expect sales to be even worse over the next three months.
Although sales are significantly lower for most independent and franchise owners, their costs have not fallen by a proportional level. 59% of operators say their total labor costs (as a percentage of sales) are higher than they were pre-pandemic.
The future remains bleak. 58% of chain and independent full-service operators expect continued furloughs and layoffs for at least the next three months.

Of course it isn’t just the restaurant industry that is laying off workers in large numbers.

Just about every day there are more major layoff announcements in the news, and many experts are expecting the job loss numbers to accelerate as we make the transition into 2021.

Without paychecks coming in, millions of unemployed Americans are unable to pay the bills, and we are being warned that we could be facing a historic tsunami of evictions starting just after the holiday season…

The day after Christmas, the extended unemployment benefits that have kept 12 million people and their families afloat are scheduled to expire. Then, mere days after that cliff, on New Year’s Day, a national ban on renter evictions from the Centers for Disease Control and Prevention is also set to lapse.

Overnight, an unprecedented bill of $70 billion in unpaid back rent and utilities will come due, according to estimates by Moody’s Analytics Chief Economist Mark Zandi. In all, up to 40 million people could be threatened with eviction over the coming months, research from the Aspen Institute says.

The politicians insist that they are keeping us caged up for our own good, but the truth is that they are absolutely destroying millions upon millions of lives in the process.

There is a lot of debate about whether or not the lockdowns have helped to prevent the spread of the virus, but what we do know is that thousands of businesses have been permanently destroyed, millions of jobs have been lost, more people are committing suicide, and Americans are increasingly engaging in self-destructive behaviors…

Overall, one in three Americans report binge drinking during the coronavirus pandemic. The average person also reports spending about four weeks in lockdown this year; spending 21 hours a day at home. More than seven in 10 people in the survey did not even leave their home for work.

If we cannot even handle the COVID pandemic, how in the world is our society going to be able to handle what else is coming?

As things continue to unravel all around us, people are going to be in great need of hope.

Millions of Americans are already in “survival mode”, and the road ahead is certainly not going to get any easier.

***Michael’s new book entitled “Lost Prophecies Of The Future Of America” is now available in paperback and for the Kindle on Amazon.***

We Have Never Seen An Economic Collapse Quite Like This, And It Is Largely A Self-Inflicted Wound

April 23, 2020 by Michael

The rate at which the U.S. economy is unraveling is absolutely breathtaking. On Thursday, we learned that another 4.4 million Americans filed new claims for unemployment benefits last week, and that means that a grand total of more than 26 million Americans have lost their jobs during this pandemic so far. To get an idea of just how dramatically this record-setting unemployment spike dwarfs what we witnessed during the last recession, check out these charts. Prior to this year, the record for new unemployment claims in a single week was just 695,800, and now each of the last five weeks has been at least four times larger than that old record. And as I discussed in an article earlier today, millions of those workers have absolutely no incentive to go back to work any time soon, because thanks to Congress they are bringing home more money now than when they were actually working. So even if efforts are made to return the economy “to normal”, millions of workers will want to stay home until the $600 per week “unemployment bonus” finally expires. The sad thing is that this new economic crisis is largely a self-inflicted wound, and I will explain why that is true later in this article.

But first let’s talk about where things currently stand. Based on the unemployment claim numbers that we have been seeing, experts are now projecting that the current rate of unemployment in the U.S. “is about 16 percent”…

With a labor force that totals about 162 million people, the claims figures suggest the unemployment rate is about 16 percent, or roughly one in six Americans — significantly higher than the 10 percent peak seen during the 2008 financial crisis. The previous one-week high for jobless claims was 695,800 in 1982.

For a long time I have been warning that the next crisis would make the last recession look like a Sunday picnic, and now that has actually happened.

In addition to an unprecedented number of initial claims for unemployment benefits, we have also absolutely smashed the all-time record for the number of “continuing claims”…

A person who has filed an “initial claim” for Unemployment Insurance (UI) and still doesn’t have a job a week later is added to “insured unemployment.” The number of the “insured unemployed” – often called “continued claims” – skyrocketed to 15.98 million, by far the highest in the history of the data series. The high before this Covid-19 era was 6.63 million in May of 2009.

And now that Congress has given workers a tremendous financial incentive to stay unemployed, the number of “continuing claims” is likely to keep going higher with each passing week.

Of course this isn’t just happening in the United States. Over in Europe, business activity is falling at the fastest pace ever recorded…

“The eurozone economy suffered the steepest falls in business activity and employment ever recorded during April as a result of measures taken to contain the coronavirus outbreak,” it said.

The company’s purchasing manager’s index (PMI) dived to a record low of 13.5 in April, from the previous all-time low of 29.7 in March, confirming private sector gloom that is savaging the 19-nation eurozone.

To put those numbers in perspective, any reading below 50 indicates a contraction.

Needless to say, these absolutely horrific statistics are the result of the coronavirus lockdowns, but were these lockdowns actually necessary in the first place?

As I discussed yesterday, the only reason why any sort of a lockdown should be implemented is if the hospitals in a particular area are being overwhelmed, because if people are unable to get medical treatment that could definitely push the ultimate death toll from the pandemic higher than it otherwise would have been.

But in most parts of the U.S. and Europe right now, hospitals are not being even close to overwhelmed.

Keeping everyone at home is not going to defeat this virus or end this pandemic. When you are dealing with a virus that spreads from person to person this easily, there is no way that you are going to contain it. In fact, the U.S. just had 31,900 newly confirmed cases in the 24 hour period that just ended even though most of the nation has already been locked down for weeks.

Yes, these lockdowns have temporarily slowed down the spread of the virus, but the lockdowns have also extended the duration of this pandemic. Ultimately, this pandemic is never going to be over until it sweeps through the population and “herd immunity” is achieved. And as I discussed yesterday, 70 to 90 percent of the population is going to have to develop antibodies in order to get to that point.

And if you are waiting for a “vaccine” to get us out of this mess, you are going to be waiting for a very, very long time. There has never been a successful vaccine for any coronavirus in all of human history, and the task of trying to develop one for COVID-19 has become exceedingly more difficult now that scientists have discovered that there are 30 different strains of the virus.

So the truth is that this outbreak is going to rip through our population, and nothing that our politicians can do will be able to stop that from happening.

But the good news is that new numbers from New York seem to indicate that we are closer to “herd immunity” than we previously thought…

Preliminary results from New York’s first coronavirus antibody study show nearly 14 percent tested positive, meaning they had the virus at some point and recovered, Gov. Andrew Cuomo said Thursday. That equates to 2.7 million infections statewide — more than 10 times the state’s confirmed cases.

The study, part of Cuomo’s “aggressive” antibody testing launched earlier this week, is based on 3,000 random samples from 40 locations in 19 counties. While the preliminary data suggests much more widespread infection, it means New York’s mortality rate is much lower than previously thought.

However, another study that was conducted in L.A. County found that only 4 percent of their residents had developed antibodies, and that is probably more representative of the nation as a whole.

In any event, everyone agrees that the vast majority of the U.S. population has not developed antibodies, and that means that there will be many more cases and many more deaths in the months ahead.

And that is going to happen no matter how our politicians respond to this crisis.

So as long as our hospitals are not being overwhelmed, there isn’t a need for any lockdowns. The final case total and the final death toll will be roughly the same whether there are lockdowns or not.

But these lockdowns are definitely killing our economy, and tens of millions of American workers now find themselves unemployed.

And if we continue to try to keep the U.S. economy shut down for a few more months, the economic damage will be incalculable.

Please don’t misunderstand what I am saying. I am not saying that we should sacrifice lives in order to save the economy. What I am saying is that about the same number of people are eventually going to die whether we have the lockdowns or not. And if we can’t handle this, how in the world are we going to deal with what else is coming?

If you are elderly, have a compromised immune system or are in some other high risk group, you are going to have to quarantine yourself for the foreseeable future, but that would be true whether there are lockdowns or not. The mortality rates for high risk groups are much, much higher than for the general population as a whole, and the danger is very real.

But everyone else should be allowed to get back to work, because most of the population is eventually going to catch this virus no matter what we do. As long as our hospitals can handle it, we should proceed with life as normal.

Unfortunately, that isn’t going to happen. Most of the current lockdowns are going to remain in place for quite some time, and this new economic depression is just going to get deeper and deeper.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse Blog, End Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The End, Get Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help. During these very challenging times, people will need hope more than ever before, and it is our goal to share the gospel of Jesus Christ with all many people as we possibly can.

The UN Is Now Admitting That This Coronavirus Pandemic Could Spark Famines Of “Biblical Proportions”

April 21, 2020April 21, 2020 by Michael

What the head of the UN’s World Food Program just said should be making front page headlines all over the globe. Because if what he is claiming is true, we are about to see global food shortages on a scale that is absolutely unprecedented in modern history. Even before COVID-19 arrived, armies of locusts the size of major cities were voraciously eating crops all across Africa, the Middle East and parts of Asia, and UN officials were loudly warning about what that would mean for global food production. And now the coronavirus shutdowns that have been implemented all over the planet have brought global trade to a standstill, they are making it more difficult to maintain normal food production operations, and they have forced countless workers to stay home and not earn a living. All of this adds up to a recipe for a complete and utter nightmare in the months ahead.

David Beasley is the head of the UN’s World Food Program, and on Tuesday he warned that we could actually see famines of “biblical proportions” by the end of this calendar year. The following comes from ABC News…

The coronavirus pandemic could soon double hunger, causing famines of “biblical proportions” around the world by the end of the year, the head of the World Food Programme, David Beasley, told the U.N. Security Council on Tuesday.

Beasley warned that analysis from the World Food Programme, the U.N.’s food-assistance branch, shows that because of the coronavirus, “an additional 130 million people could be pushed to the brink of starvation by the end of 2020. That’s a total of 265 million people.”

He described what we are facing as “a hunger pandemic”, and he insisted that urgent action must be taken in order to avoid a nightmare scenario.

But in some parts of the globe a nightmare scenario is already unfolding. For example, close to half the population of South Sudan is currently facing starvation, and for many of them the only food that is available is what gets dropped from the sky…

The villagers hear the distant roar of jet engines before a cargo plane makes a deafening pass over Mogok, dropping sacks of grain from its hold to the marooned dust bowl below.

There is no other way to get food to this starving hamlet in South Sudan. There are no roads, and the snaking Nile is miles away.

Over in South Africa, the “chronic food shortages” have already become so severe that they are starting to spark rioting, looting and civil unrest…

UNREST broke out in parts of South Africa amid chronic food shortages sparked by the coronavirus pandemic.

Looters raided shops, attacked each other, the army and police after breaching one of the strictest lockdowns in the world.

Police fired rubber bullets and teargas to disperse the mobs but local community leaders fear more outbreaks of violence are imminent.

Here in the western world we don’t have to worry about such things yet, but without a doubt the number of needy people is rapidly rising.

This past Saturday, vehicles literally began lining up at 2 AM in the morning for a food distribution event at the San Antonio Food Bank…

The San Antonio Food Bank teamed up with Atascosa County to feed meals and hope to hundreds of people Saturday morning. Vehicles began to line up around 2 AM Saturday outside the county courthouse, winding through neighborhoods at least two miles away.

I have never heard of people lining up so early before.

I have heard of vehicles lining up at the crack of dawn around the country in recent days, but 2 AM is absolutely nuts.

But these people realize that when the food is gone there will be no more handouts that day, and there are many that are absolutely desperate to get something to feed their families.

As this coronavirus pandemic has created an enormous amount of fear all over the country, empty shelves have been reported in frozen food sections all over the nation, and the fact that an increasing number of meat processing plants are being temporarily closed down is certainly not helping things. According to CBS News, at least 17 meat processing plants in the United States have been shut down so far…

Coronavirus infections in at least 17 meat processing plants across nine states are contributing to a spike in confirmed cases in the Midwest. Although 13 plants are already closed temporarily or operating at reduced capacity, Iowa Governor Kim Reynolds says shutting down plants would hurt farmers and the national food supply.

In a desperate attempt to keep as many facilities in her state open as possible, Iowa Governor Kim Reynolds has enlisted the help of the National Guard…

Hundreds of National Guard personnel are being activated in Iowa as coronavirus sweeps through meat-processing plants in a state that accounts for about a third of U.S. pork supply.

Iowa Governor Kim Reynolds said 250 National Guard members have been moved to full-time federal duty status and could help with testing and contact tracing for workers at plants operated by Tyson Foods Inc. and National Beef Packing Co.

The good news is that authorities are telling us that any product shortages should just be temporary and that all of these processing plants will eventually be brought back on line.

But for the planet as a whole, life is not going to be getting back to “normal” any time soon.

In fact, Takeshi Kasai of the World Health Organization is warning that we need to accept “a new way of living” until a vaccine finally arrives…

“At least until a vaccine, or a very effective treatment, is found, this process will need to become our new normal,” he said.

“Individuals and society need to be ready for a new way of living.”

But now that scientists have discovered approximately 30 different strains of this virus, that is going to greatly complicate matters.

Coming up with a successful vaccine for any coronavirus would be a historic feat, and now scientists also have to hope that they will pick the particular strain of COVID-19 that will become dominant in the future.

And of course many people around the globe will not want to take any vaccine that is developed under any circumstances.

So those that are thinking that there will be an easy way out of this crisis are likely to be deeply disappointed.

Meanwhile, the global economic downturn is getting deeper with each passing day, and global food supplies are getting tighter and tighter.

A global famine is coming, and the UN is sounding the alarm.

Unfortunately, most people in the western world are still not listening.

Killed By The Coronavirus Lockdowns: 1000s Of U.S. Businesses That Were Shut Down Will Be Closed Permanently

April 19, 2020 by Michael

This economic downturn is turning out to be far deeper and far more severe than most experts were originally anticipating. More than 22 million Americans have filed claims for unemployment benefits, and economists are telling us that the U.S. economy is contracting at the fastest rate that we have seen since the Second World War. We are already starting to see some high profile companies move toward bankruptcy, but the real story is what is happening to thousands upon thousands of small and mid-size businesses because of the lockdowns. Many of them were barely surviving even before this pandemic, and now these lockdowns have delivered a death blow.

The restaurant industry is a perfect example. Prior to the pandemic, there were more than a million restaurants in the United States, and about half of them were independent. Those independent restaurants employed approximately 11 million workers, and now the vast majority of those workers have been laid off.

Once the lockdowns are over, it would be wonderful if all of those independent restaurants would spring back to life, but the results of a recent survey suggest that simply is not going to happen. In fact, that survey found that 28 percent of all independent restaurants are probably not going to survive if the lockdowns last for another month…

A survey released Thursday by the James Beard Association found independent restaurants laid off 91% of their hourly employees and nearly 70% of salaried employees as of April 13 – double-digit increases in both categories since March. The poll of 1,400 small and independent restaurants found 38% of have closed temporarily or permanently, and 77% have seen their sales drop in half or worse.

Perhaps most troubling: 28% of restaurants said they don’t believe they can survive another month of closure, and only 1 out of 5 are certain they can sustain their businesses until normal operations can resume.

28 percent of 500,000 is 140,000, and so if these lockdowns are not lifted soon we could be facing a scenario is which tens of thousands of independent restaurants are lost forever.

Of course a lot of restaurants that do reopen will face a really tough struggle because fear of the coronavirus is going to keep customers away for the foreseeable future. So even if all of the lockdowns were lifted tomorrow, the restaurant industry would still not fully recover.

Sadly, the same could be said for the fitness industry. In fact, we just learned that one of the biggest fitness chains in the nation is getting ready to file for bankruptcy…

Gym chain 24 Hour Fitness is working with advisors at investment bank Lazard and law firm Weil, Gotshal & Manges to weigh options including a bankruptcy that could come as soon as the next few months, people familiar with the matter tell CNBC.

The chain is grappling with a heavy debt load, deteriorating performance and a coronavirus pandemic that forced it to shut its more than 400 clubs.

Yes, a certain segment of the population is quite eager to resume all of their normal pre-pandemic activities, but even a 20 or 30 percent drop off in revenue will be fatal for many gyms.

And the truth is that a lot of people are simply not going to be in the mood to share exercise equipment with others for a long time to come.

The entertainment, tourism and retail industries have also been hit extremely hard by this pandemic. The other day I was quite stunned when I learned that Neiman Marcus “is reportedly ready to file bankruptcy”…

Neiman Marcus Group, one of the largest retailers in the United States, is reportedly ready to file bankruptcy amid the COVD-19 pandemic after defaulting millions in bond payments last week and furloughing 14,000 employees.

Neiman Marcus would become the first major US department store to crumble amidst the economic set backs from the coronavirus outbreak.

No, things are definitely not going to be returning to “normal” in America, and there will be a lot more big corporate names among the victims in the days to come.

At this point, even some of the most prominent corporations in the entire country are “indefinitely” sidelining their workers…

Indefinite furloughs began this weekend for more than 100,000 Disney, Best Buy and CarMax workers as businesses make cuts to survive the coronavirus pandemic and subsequent mandatory closures.

But most Americans are not in any position to handle “indefinite furloughs”.

In fact, one survey discovered that a whopping 50 percent of all Americans will run through their savings “by the end of April”…

One of the largest concerns on most homeowners minds right now is how they are going to pay bills — specifically their monthly mortgage payments. 50% of Americans reported their savings will run out by the end of April. Prior to the COVID-19 outbreak, 30% of homeowners had less than $1,000 in an emergency fund, with 22% reporting they didn’t have enough in savings to cover their mortgage payment for one month.

Just like during the last recession, countless numbers of Americans will go from living a comfortable middle class lifestyle to being desperately needy in just a matter of weeks.

I have been writing a lot about the absolutely massive lines that we have been seeing at food banks all over the nation, and we just witnessed another example in Miami. In one of the wealthiest areas of the entire city, vehicles were lined up for a mile as people waited patiently to receive handouts from a local food bank…

Talk about a Norman Rockwell painting idea come to life — a parade of cars filled with hungry people in Miami … smack dab in the middle of two of the city’s ritziest hotels.

Check out this surreal scene down in Miami Beach, where a MILE-long line of cars were arranged in a giant U-curve in between the W Hotel and Setai Hotel — two of MB’s most high-end go-to spots for celebrity out-of-towners … like Kim K, Justin Bieber and more.

You can see photos from that event right here, and if you look closely you will see that some of those vehicles are quite nice.

As I have warned so many times over the years, if you don’t have any sort of a financial cushion you can “suddenly” find yourself in a whole lot of trouble when disaster finally strikes.

Unfortunately, we have now entered a time when there will be one crisis after another, and every new crisis will significantly escalate our woes.

For a very long time, there have been very loud warnings that our debt-fueled economic bubble would burst, and now it has happened.

The road ahead is going to be filled with immense pain, and most Americans are not going to be able to handle it.

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