The Economic Collapse

U.S. households are now 18.79 trillion dollars in debt. In 1980, U.S. households were just 1.4 trillion dollars in debt. Over the past several decades we have witnessed a household debt binge that is unlike anything that we have ever witnessed in our entire history. But if consumers could handle that debt load, there wouldn’t be such a high level of concern. Unfortunately, just like we witnessed prior to the financial crisis of 2008 and 2009, Americans are getting behind on their debts at a staggering rate. This isn’t going to end well, but of course many of you know that already. (Read More...)

Many have argued that energy is the central pillar of our economy, because it requires energy for just about anything to get done in our modern world. It takes energy to make stuff, it takes energy to move stuff, and it even takes energy to entertain ourselves. The war with Iran has dramatically increased energy costs for businesses of all types, and those costs are starting to get passed along to consumers. As a result, our standard of living is going down. If the Strait of Hormuz is not reopened soon, the change in our standard of living will be the largest that any of us have ever experienced. (Read More...)

On Monday morning, the front page of the Drudge Report featured a very alarming two word headline in all capital letters: “INFLATION ACCELERATES”. Of course that headline was 100% accurate. Prices are rising and our seemingly endless cost of living crisis is beginning to accelerate once again. I have heard from many of you that are not happy with what economic conditions are like now, and you are really not going to be happy with what is going to happen during the months to come. The closure of the Strait of Hormuz has already begun to create shortages all over the globe. As the months roll along, those shortages will steadily intensify. That is going to directly affect our cost of living, because the law of supply and demand tells us that when there is less stuff to buy prices go up. So the truth is that inflation will go to an entirely new level once the shortages caused by the crisis in the Middle East really start kicking in. (Read More...)

One day it will happen. As millions of people living in Southern California go about their daily lives, a cataclysmic earthquake will suddenly strike. The geography of the California coastline will be permanently changed, and the ground on the western side of the San Andreas fault will drop by several feet. Since much of Southern California is just barely above sea level, the Pacific Ocean will start rushing in. What I have just shared with you is not the plot to some really bad disaster movie. As I have documented repeatedly over the years, this is a scenario that scientists are telling us will happen someday. Millions of lives will be at risk when “the Big One” finally strikes. Could it be possible that “the Big One” will strike a lot sooner than most people think? (Read More...)

The closure of the Strait of Hormuz has created a global supply chain nightmare that is unlike anything that we have seen before. As existing inventories and reserves of various resources are depleted, the consequences of this global supply chain nightmare will become more apparent. Asia is being hit the hardest, because Asia is much more dependent on commodities that are exported through the Strait of Hormuz than anyone else. In fact, the crisis in the Middle East is causing a shortage of Diet Coke in India right now. I never imagined that I would be writing about a shortage of Diet Coke in India in the middle of 2026, but this is how crazy things have become. (Read More...)

January, February and March were insanely dry. In fact, in all of U.S. history conditions have never been so dry during the first three months of the year. Just think about that for a moment. Not even during the Dust Bowl days of the 1930s were conditions this dry. Many were hoping that 2026 would be the year when our multi-year drought would finally break. Needless to say, that hasn’t happened. Scientists are telling us that the southwestern U.S. is in the midst of the worst multi-year drought in at least 1,200 years. We really are experiencing a “megadrought”, and this is something that experts such as Steve Quayle and Dane Wigington have been talking about for a long time. Unfortunately, it appears that our seemingly endless “megadrought” has gone to an entirely new level in 2026. (Read More...)

Decades of economic decline have brought this country to a breaking point. The vast majority of the population is barely scraping by from month to month as prices continue to rise, thousands of stores and restaurants close, foreclosures spike to alarming levels and the middle class continues to shrink. Now the crisis in the Strait of Hormuz threatens to make things a whole lot worse, and a lot of people are justifiably concerned about what this will mean for their futures. (Read More...)

Would you pay 8 dollars for a gallon of gasoline? I know that may sound crazy to many of you, but that is what some residents of Los Angeles are paying right now. Sadly, the west coast is more dependent on oil from the Persian Gulf than anywhere else in the continental United States, and now the last tanker that departed before the war with Iran began has arrived. What this means is that gas prices are going to go even higher on the west coast. In fact, some gas stations may soon need to add another digit on their pumps in order to accommodate prices that are higher than $9.99 a gallon. (Read More...)