Money

Why Do So Many Bad Things Keep Happening To The United States?

At a time when the American economy is already reeling like a drunken sailor, the United States is being hit by what seems like an endless parade of horrible disasters that threaten to push the fragile financial system over the edge.  The massive oil spill in the Gulf of Mexico that is now destroying not only the the entire economy of the Gulf Coast but also the entire way of life for hundreds of thousands of people is getting all the headlines right now, but it is far from the only major crisis that has hit the United States recently.  The old saying, “when it rains it pours”, is certainly applicable to the United States right now.  Already faced with some of the biggest economic problems in a generation, America is also being forced to deal with horrifying natural disasters, rapidly growing environmental nightmares and agricultural problems that could end up being absolutely unprecedented.  So why do so many bad things keep happening to the United States?  Does there come a point when the economic damage from all of these disasters just becomes too much?  After all, how many body blows can the “biggest economy in the world” take and still remain standing?  

Consider just a few of the major disasters that the U.S. is having to deal with….

*The Gulf Of Mexico Oil Spill

Industry experts are now saying that the oil spill in the Gulf of Mexico could be increasing at a rate of 25,000 barrels a day – five times the U.S. government’s current estimate.  In fact, Barack Obama is calling the massive oil spill in the Gulf of Mexico a potentially unprecedented environmental disaster.

So how much is this disaster going to cost?

Well, estimates vary at this point, but it is being reported that some analysts are already projecting that the costs related to the oil spill drifting toward Louisiana from a well operated by BP in the Gulf of Mexico could exceed 14 billion dollars.

The cost to the fishing industry in Louisiana alone could top 3 billion dollars, and it is being projected that the tourism industry in Florida could lose even more than that. 

This is rapidly shaping up as one of the biggest environmental nightmares (perhaps the biggest) that the United States has ever had to face.  In fact, there are some who are saying that this incident has already eclipsed the 1989 Exxon Valdez incident as the worst U.S. oil disaster in history.

Louisiana Governor Bobby Jindal is warning that the oil spill in the Gulf threatens the very way of life of people in his state.  As bad as Hurricane Katrina was, there are those who are already claiming that this disaster will be worse than Hurricane Katrina for the region, because it will literally take years for this mess to be cleaned up.  In fact, there is a very real possibility that the fishing industry may be crippled for generations by this disaster.

*The Disappearance Of The Honeybees

For the fourth year in a row in the United States, more than a third of all bee colonies have failed to survive the winter.

To be more precise, according to the annual survey by the Apiary Inspectors of America and the U.S. government’s Agricultural Research Service, the number of managed honeybee colonies in the United States fell by 33.8% last winter.

Needless to say, this is not a good trend.

In fact, it could quickly turn into an unmitigated disaster as it is estimated that a third of all that we eat depends upon honeybee pollination.

Are you starting to get the picture?

Most flowering plants require insects for pollination.  The most effective insect for pollination is the honeybee.

Without honeybees, we are going to be in a world of hurt.

According to WorldNetDaily, the following is a list of just some of the crops that depend on honeybees: almonds, apples, apricots, avocados, blueberries, boysenberries, cherries, citrus fruits, cranberries, grapes, kiwi, loganberries, macadamia nuts, nectarines, olives, peaches, pears, plums, raspberries, strawberries, asparagus, broccoli, carrots, cauliflower, celery, cucumbers, cantaloupe, honeydew, onions, pumpkins, squash, watermelon, alfalfa hay and seed, cotton lint, cotton seed, legume seed, peanuts, rapeseed, soybeans, sugar beets and sunflowers.

In fact, Ohio State University’s honeybee specialist, James Tew, recently told the following to the Dayton Daily News….

“The average person should care. Bees of all species are fundamental to the operation of our ecosystem.”

So what happens if they all die off?

You don’t even want to think about that.

But certainly our scientists can find a solution, right?

Well, the World Organization for Animal Health announced on Wednesday that the huge die off of bees worldwide is not due to any one single factor.

Some of the factors for the honeybee deaths the World Organization for Animal Health included in its report include parasites, viral and bacterial infections, pesticides, and poor nutrition.

Other researchers claim that genetically modified crops and cell phone transmissions are also playing a role in the disappearance of the honeybees.

But the truth is that a “solution” seems to be very far away right now and we are running out of time.

*The Deadly Tornadoes Which Have Ravaged The Southeast

Last Sunday saw an unprecedented outbreak of tornadoes across the southeast United States.  Officials said 61 tornadoes erupted as a massive storm marched across states such as Mississippi, Florida and South Carolina. 

Winds inside some of the tornadoes were clocked as high as 160 mph, and one of the tornadoes had a base one and a half miles wide.

The tornadoes killed at least 12 people, and it is estimated that the damage that they caused could reach into the billions of dollars.

*The Drying Up Of The Ogallala Aquifer

Most Americans have never heard of the Ogallala Aquifer, but it is absolutely critical to food production in many areas of the United States.

The water from this massive underground lake is used to irrigate much of America’s Great Plains.  But it is being drained at a rate of approximately 800 gallons per minute and it is starting to dry up.  

So why is that a bad thing?

Well, the Ogallala Aquifer is a gigantic underground lake that stretches from southern South Dakota all the way through northern Texas, covering approximately 174,000 square miles.

If it gets depleted, the era of “pivot irrigation” in the region will be over.  That would mean that the Great Plains could quickly turn into the Great American Desert. 

America could very well see a return to the Dust Bowl days of the 1930s.

Are you prepared for that?

Even if agricultural production continues to grow normally, scientists are telling us that the world is heading for a massive global food shortage.  So what happens if our food production does not increase or is even reduced?

Sadly, the United States has only enough grain stored up to give about a half a loaf of bread to every man, woman and child in the United States.

How long do you think that is going to last in the event of a major emergency?

The truth is that “the good times” we have all grown up with are not going to last forever.  The United States is in big trouble economically, and all of these natural disasters and environmental problems are not helping things one bit. 

We are not entitled to endless wealth and prosperity just because we are Americans.  In fact, we have recklessly squandered the wealth that prior generations have left for us. 

But even as the economy crumbles around them, millions of Americans will remain in denial until the day they have to cook a dinner of “mouse soup” for their starving family.

America’s Crumbling Infrastructure

One of the key signs that we are in the early stages of an economic collapse and that we are heading towards another Great Depression is America’s crumbling infrastructure.  The truth is that our infrastructure is literally falling apart all around us.  Thousands of bridges are structurally deficient and there have already been some very high profile collapses.  Over 30 percent of the highways and roads in the United States are in very poor shape.  Aging sewer systems are leaking raw sewage all over the place.  The power grid is straining to keep up with the ever-increasing thirst of the American people for electricity.  There have already been some regional blackouts, and unless something is done quickly things promise to get even worse.  The truth is that a nation’s infrastructure says a lot about who they are.  So what does America’s infrastructure say about us?  It says that we are a rusting, crumbling, decaying leftover from a better, more prosperous time.

Just consider the following facts about America’s infrastructure from the Pew Research Center website…..

*According to the U.S. Department of Transportation, more than 25 percent of America’s nearly 600,000 bridges need significant repairs or are burdened with more traffic than they were designed to carry.

*According to the Federal Highway Administration, approximately a third of America’s major roadways are in substandard condition – a significant factor in a third of the more than 43,000 traffic fatalities in the United States each year.

*The Texas Transportation Institute estimates that traffic jams caused by insufficient infrastructure waste 4 billion hours of commuters’ time and nearly 3 billion gallons of gasoline a year.

*The Association of State Dam Safety Officials has found that the number of dams in the United States that could fail has grown 134% since 1999 to 3,346, and more than 1,300 of those are considered “high-hazard” – meaning that their collapse would threaten lives.

*More than a third of all dam failures or near failures since 1874 have happened in just the last decade.

*According to the U.S. Environmental Protection Agency, aging sewer systems spill an estimated 1.26 trillion gallons of untreated sewage every single year, resulting in an estimated 50.6 billion dollars in cleanup costs.

The following are some additional facts from the U.S. Chamber of Commerce….

*A decaying transportation system costs our economy more than $78 billion annually in lost time and fuel.

*The United States must invest $225 billion per year over the next 50 years to maintain and adequately enhance our surface transportation systems. Currently, we’re spending less than 40% of this amount.

*U.S. transit systems earned a D+ rating from the American Society of Civil Engineers. Transit funding is declining even as transit use increases faster than any other mode of transportation – up 21% between 1993 and 2002.

*Costs attributed to airline delays – due in large part to congestion and an antiquated air traffic control system – are expected to triple to $30 billion from 2000 to 2015.

*By 2020, every major U.S. container port is projected to be handling at least double the volume it was designed to handle.

*Throughout the United States, railroads are projected to need nearly $200 billion in investment over the next 20 years to accommodate freight increases.

Are you starting to get the picture?

America’s aging infrastructure cannot handle the number of people that we have now.  With the population of the United States expected to hit 420 million by 2050, there are serious questions about how the national infrastructure is going to hold up under such a strain.

Already the infrastructure in many areas of the United States is beginning to resemble that of a third world nation.  The video posted below contains some of the highlights from a History Channel special about America’s infrastructure from a couple of years ago that highlights many of these problems….

So can anything be done about America’s crumbling infrastructure?

Of course.

State and local governments can spend the money needed to fix and maintain our infrastructure.

But that is not going to happen.

Why?

Because state and local governments are now facing unprecedented financial shortfalls.

In fact, it is more likely that expenditures on infrastructure will actually be cut.

According to a new report from the Center on Budget and Policy Priorities, after two years cutting spending on schools, health care, and other public services, U.S. states are preparing to carve even deeper into funding for 2011.

Of course the U.S. government could step in with necessary infrastructure funding, but considering the state of the U.S. national debt, it seems unlikely that state and local governments will be able to count on much more help from the folks in Washington D.C.

So what does that mean?

It means that America’s infrastructure will continue to rust, decay and fall to pieces.  Our grandparents and great-grandparents invested a lot of time, energy and money into building up this great nation, but now we are letting it rot right in front of our eyes.

What do you think that says about us?

The Massive Tidal Wave Of Illegal Immigration That Threatens To Destroy The United States Economy

According to some estimates, there are as many as 30 million illegal aliens in the United States today.  The vast majority of them pay absolutely no federal or state income taxes.  And yet they seem more than happy to take advantage of the free social services and benefits offered to them.  In fact, stories of how “good” life in America is just encourages more and more immigrants to come to the United States illegally.  Not that all immigration is bad.  The United States will always be able to use immigrants who come in the “front door” legally.  In fact, my wife is originally from Canada.  But those who would break the law by entering the U.S. illegally also are the same kind of people who are serial criminals, join gangs, deal drugs, bring diseases and are economic parasites.  So can the U.S. economy ever fully recover if we continue to carry tens of millions of illegal aliens on our backs?  If Barack Obama and the U.S. Congress open the door for illegal aliens even further, will it create a social and economic nightmare that none of us would even dare to imagine? 

Today, there are approximately 20 million American workers who are unemployed or who are underemployed. More than 36 million Americans are on food stamps and that number continues to increase each month. Over 13 million American children now live in poverty. We cannot provide for the people that are already here, and yet the U.S. government is making virtually no effort to stem the flood of illegal immigrants that are streaming into this nation.  

In fact, it is projected that the United States will add another 100 million people over the next 25 years. Where in the world will they get jobs? How in the world will we take care of them all?

With the U.S. economy already on the verge of complete and total collapse, can we afford to continue to allow the problem citizens of other nations to pour into ours?  Already, drug violence has turned many areas of northern Mexico into absolute war zones.  Juarez, Mexico (which is just across the U.S. border) has become the murder capital of the western hemisphere.  Much of that violence has begun to spill over into areas of the southwestern United States. 

For example, NPR recently described one incident in the Juarez Valley that involved American citizens….

A couple of weeks ago, gunmen in the Juarez Valley killed the Mexican relative of a Fort Hancock high school student. When the student’s family in Fort Hancock heard about it, they crossed the border at 10 a.m. to see the body, and took the student with them.

“By 10:30, they had stabbed the relatives that went with him, which included his grandparents, with an ice pick,” says school superintendent Jose Franco. “My understanding is that the gentleman is like 90 years old, and they poked his eyes out with an ice pick. I believe those people are still in intensive care here in a hospital in the U.S.”

Is this how we want to live?

To illustrate how draining illegal immigration is on the U.S. economy, an anonymous piece that has been floating around the Internet entitled “Joe versus Jose” is reproduced below.  Try not to get too angry as you read this….

*****

Here is an example of why hiring illegal aliens is not economically
productive for the State of California…or any other state for that matter.

You have 2 families…”Joe Legal” and “Jose Illegal”. Both families have
2 parents, 2 children and live in California . “Joe Legal” works in
construction, has a Social Security Number, and makes $25.00 per hour
with payroll taxes deducted…. “Jose Illegal” also works in construction,
has “NO” Social Security Number, and gets paid $15.00 cash per hour
“under the table”.

Joe Legal…

$25.00 per hour x 40 hours $1000.00 per week, $52,000 per year…
Now take 30% away for state & federal tax…
Joe Legal now has $31,231.00

Jose Illegal…

$15.00 per hour x 40 hours $600.00 per week, $31,200.00 per year…
Jose Illegal pays no taxes…
Jose Illegal now has $31,200.00

Joe Legal pays Medical and Dental Insurance with limited coverage
$1000.00 per month $12,000.00 per year
Joe Legal now has $19,231.00

Jose Illegal has full Medical and Dental coverage through the state and local clinics at a cost of $0.00 per year
Jose Illegal still has $31,200.00

Joe Legal makes too much money to be eligible for Food Stamps or welfare – Joe Legal pays for food $1,000.00 per month $12,000.00
per year – Joe Legal now has $ 7,231.00

Jose Illegal has no documented income, so he is eligible for Food Stamps and Welfare – Jose Illegal still has $31,200.00

Joe Legal pays rent $1,000.00 per month – $12,000.00 per year
Joe Legal is now in the hole minus (-) $4,769.00

Jose Illegal receives a $500 per month Federal rent subsidy…
Jose Illegal pays rent $500.00 per month (section 8 housing)
$6,000.00 per year – Jose Illegal still has $25,200.00

Joe Legal now works overtime on Saturdays or gets a part time job
after work or his wife must work. Jose Illegal has nights and
weekends off to enjoy with his family (and eat out!).

Joe Legal’s and Jose Illegal’s children both attend the same school.
Joe Legal pays for his children’s lunches
Jose Illegal’s children get a government sponsored breakfast & lunch,
and they also qualify to be bused to school at taxpayer expense.

Jose Illegal’s children have an after school ESL program.
Joe Legal’s children have to find a way to get to school and go home
after school as, “latch-key kids” with no adult supervision.

Joe Legal and Jose Illegal both enjoy the same police and fire services,
but Joe paid for them and Jose did not pay.

Jose Illegal can send most of his money back home to Mexico to build a
new home for retirement, and have money to buy a new truck
(and still have Medi-Cal benefits while living in a foreign country;
until someone turns him in to authorities….if they ever find out)

Joe Legal is still in the hole.

Any questions?

*****

But an even bigger problem may be the rampant lawlessness that many of these illegal aliens bring.  Crime, gangs and drug dealing are dramatically exploding all the way from Texas to southern California. 

There are fewer and fewer areas that you can call “safe” in the southwestern United States.

But now Barack Obama and the U.S. Congress want to give illegal aliens amnesty. 

If Barack Obama’s amnesty for illegal aliens gets passed, will more ranchers like Rob Krentz get murdered?

Trying to make an honest and safe living anywhere near the Mexican border is becoming a very difficult thing to do.

In fact, one sheriff recently told the residents of one Texas border town that they better “arm themselves”.  As he warned them of the dangers that they are now facing, he delivered this sobering warning….

“As they say the old story is, it’s better to be tried by 12 than carried by six. Damn it, I don’t want to see six people carrying you.”

Immigrants that are going to be productive members of society are going to come in legally.  But we have made the legal process for immigrating extremely complex and very expensive.  So we have actually discouraged legal immigration while at the same time highly rewarding those who come in illegally.  What kind of sense does that make?

Of course it seems like very little of what our political leaders do these days makes sense.  As the number of illegal aliens increases to 40 million or even 50 million, what in the world is that going to do to America?

And once the damage is done, is there any chance that it can ever be reversed?

11 Economic Headlines That Make You Wonder What In The World Is Actually Going On

These days there are times when you read the economic headlines and all you can do is shake your head.  Is anyone in control out there?  Who in the world could possibly be making so many bad decisions?  The truth is that the U.S. economy is in a state of absolute chaos, but whenever anybody in power tries to do something about it they usually seem to make things worse.  It is almost as if the vast majority of people in positions of power have lost the common sense that they were born with.  Meanwhile, average Americans just keep getting angrier and angrier and are looking for someone to blame for this gigantic mess.

If only Vince Lombardi was alive today.  He would definitely know what to say at a time like this….

Sometimes it is actually hard to believe what is happening to America.  The United States was once the richest and most powerful economy on the planet and was seemingly invincible.  But now things are spinning wildly out of control.  Posted below are 11 headlines that make you wonder what in the world is going on out there….

#1) Two very serious dark-suited IRS agents recently visited a carwash in Sacramento, California in pursuit of 4 cents.

#2) Senate Banking Committee Chairman Christopher Dodd has introduced legislation that would give the Federal Reserve sweeping new powers over the United States economy.

#3) The Federal Reserve is pledging to keep interest rates at record lows in order to foster economic growth and ease high unemployment.

#4) China is seeking reassurance from the U.S. government that the U.S. dollar will not decline in value.

#5) The unemployment rate in the construction industry has jumped to 27.1% as another 64,000 construction workers lost their jobs in February.

#6) The Obama administration’s “Pay Czar” has decided to limit 2010 compensation for top executives at GMAC because the automobile finance giant continues to lose large amounts of money.

#7) Internet fraud cases increased by a whopping 22% in 2009 as scammers continued to take advantage of the trusting nature of many Americans.

#8) $2.5 trillion in IOUs from the U.S. government, payable to the Social Security Administration, are apparently stored in filing cabinets in downtown Parkersburg, West Virginia.

#9) According to USDebtClock.org, the unfunded liabilities of the U.S. government total over 107 trillion dollars.

#10) Are Democrats in the U.S. House of Representatives about to use a “legislative trick” to pass the reconciled health care reform bill without really voting on it?

#11) According to a new NBC News/Wall Street Journal poll, the approval rate of Congress is down to just 17 percent, and 50 percent of the respondents said that they would like to throw everybody out and start with a completely new Congress.

cheaper to burn dollars than paper

 

For Americans Wishing To Leave The United States, What Is The Best Country In The World To Move To?

For those seeking to move outside of the United States, figuring out the best country to move to can be a very daunting task.  There are a ton of social, cultural, economic and safety issues to be considered.  In addition, those who have never been outside of North America should not underestimate the severe “culture shock” that can take place when moving to another nation.  While moving outside of the United States may seem like an attractive alternative, the truth is that it is not easy and it is not something to be done lightly.  But there have been many Americans who have done it successfully and are now loving life.  Our recent article, “Is Moving Out Of The United States A Way To Escape The Coming Economic Collapse?”, generated some really great comments about what various areas of the world are like for Americans who move there.  Today we wanted to share with you some of those comments.  These commenters have some very strong opinions about where the best places for Americans to move to are, but the reality is that each person and each situation is different so keep that in mind as you read these…. 

Saigonbrian:

I’ve lived in China, Vietnam, and am currently living in Malaysia for the last few years. I’ve also traveled extensively during that time. Given the likely future problems in the US it’s certainly prudent to at least evaluate an alternative.

Our top two choices would be New Zealand (NZ) and Costa Rica (CR) with Malaysia coming in 3rd. NZ and CR are both beautiful countries and pretty much self-sufficient in needed resources. English, of course, is the language of NZ and it is widely spoken in CR. Though if you choose a country where English is not the native language; you’d be way better off learning the local language.

Some other options would be: Thailand; a beautiful very expat friendly country. Indonesia, in particular Bali. Vietnam and Cambodia would be OK for the more adventurous and they are cheap, cheap. Australia is fine, though the prices are pretty much US level. Singapore is nice if you want to live in one big city. Malaysia is interesting. It tries very hard to get expats to retire there. They have a formal program called “Malaysia My Second Home” (MM2H). You apply for it, and if you meet the criteria, you get a 10 yr, unlimited entry visa. There should be no trouble renewing it. You need to keep about $30,000 USD in a local bank account, buy a home that costs at least $175,000 USD, and have an income of $3,000 a month. I suspect these requirements will lessen. The program is relatively new and the government hasn’t seem to have chosen which expat group they’re really targeting: rich foreigners, well off investors, or retirees with more modest moola. The country is beautiful and fairly cheap to live in. We have a gorgeous 5,000 sf apartment with great, modern security features. Did I mention it’s on the beach with amazing views. The cost? About $2,400 USD a month!! Our electric bill, and we run the aircon a lot; is $25 bucks. We haven’t used our health insurance yet, as we’d not hit the deductible limit and the prices are very cheap. And the quality of care is 1st rate. My daughter twisted her ankle recently so we put the system to the test. The initial exam by an orthopedic surgeon, xrays, and a soft cast cost about $35 USD! Follow-up visits with the orthopedic surgeon cost $9 USD! Pretty darn good. My primary concern? The worry that the country will become too islamic. It is the official state religion though now it does treat the Chinese and Indian minorities relatively fairly. I’m just not sure it can resist the tendency for islam to become more intrusive and radical. Hopefully not, but the jury is still out.

Overall I’d suggest doing some research and find a few contenders. Then go to these places for a vacation. That will give you some 1st hand data. One thing you notice living overseas is that Americans are the least adventurous, 1st world; folks. We need to get over that.

Bon voyage!

Gringo in Brazil:

I recently made the move to Brazil with my family based primarily on the social and economic factors I witnessed and experienced. In Michigan, I found my business drying up, my home value plummeting, the job market disappearing, etc. More importantly, if the youth I saw at the malls and high schools are any indication of the future leadership of our country; we are in serious trouble. With less than 50% of our youth even graduating from High School, how do we stand a chance.

Fortunately I speak fluent Portuguese so I am able to adapt. I am earning about $1,300/mo plus commissions which is enough for a simple apartment and living expenses. My wife is looking for the right job and should be able to earn about the same which will afford us a modest lifestyle.

Most Americans couldn’t cope with the heat, mosquitoes, open sewers, long lines, hellish traffic, and other cultural issues, unless they could afford to live in a luxury neighborhood and have a maid and personal assistant. However, the outlook here in Brazil is very positive. Most young people are investing in their education and advancement. I liken it to stepping back 70 years in our country and being on the verge of a great industrial revolution that I can be a part of. I have decided it is better to be starting at the bottom of the hill, climbing towards the top, then to be at the top and sliding out of control towards the bottom.

If you can afford it, do what my wife and I did, we took a two month “vacation” a couple of years ago, rented a furnished apartment and did a trial “residency” in which we had time to evaluate the pros and cons. When we moved here last month, we were well prepared, knowing what we were getting into, bringing along the necessary items and resources to be able to live relatively comfortably.

If you can master the native language sufficiently (or take an immersion course when you arrive for 6 months), you can often get a job at a language school, or company needing bi-lingual workers or professionals. Best bet is to scour the classifieds online ahead of time so you have something guaranteed when you arrive.

Kenneth:

Australia is the best country in the world to live in. This is the statement of Australians who have been to USA and other countries. It is what USA used to be years ago. It will be a few years before Australia becomes like USA. USA has left its Christian roots and I am afraid there are those who will make sure it never goes back.

AsiaExpat:

Singapore is the best place to live and work. It has a real future and very reasonable taxes. Peaceful, modern, they even speak English (kind of). Bring your best attitude and a necktie, because you have to work and you have to be kind to your neighbors. Who wants to be cloistered nervously behind a wall, anyway?

Bill:

Best places as far as quality of life? Social Democratic countries like Scandanavia- Norway, Finland, Sweden, Denmark.

If language is a problem Canada would be the closest best choice, then Australia, New Zealand, and for Central America, Costa Rica would be the number one choice for climate, civility, medical care and a beautiful environment.

For most places that provide good quality of life, expect to pay high taxes, which most civilized countries, yours excepted, equate with civilization. I’m afraid you folks are letting your inherent selfishness, ignorance of other cultures, militarism and a “screw you Jack, I’ve got mine” mentality destroy you.

Better than moving, stay there and try to turn things around. You have too much that is still good to lose it all. We’re all hoping-well, your firends are anyway- that you’ll pull out of this before its too late.
Time is running out folks.

Mongoos:

Not all Americans are “ugly Americans.” We are guests in the host country and most expats act as such. I retired in Sept 2009 and plan on living, teaching, and writing in Thailand. I have lived and worked overseas before, so this is nothing new for me. You make do and blend in and stay out of trouble. Leave your attitudes and preconceptions at the door when you check in. Otherwise, you will be creating problems for those of us who wish to live in peace and enjoy the pleasures of a different culture.

James:

There are over 100,000 Americans living in Costa Rica and loving it. Things are getting stronger here everyday and in most schools they teach English for half the day and Spanish for the other. The majority of the people like Americans and if you want to have it shipped here you can get everything here that you can get there. WalMart is the largest retail chain here as well as there.

This week Costa Rica moved ahead of the US in medical care. A huge % of the national income is from Medical Tourism. They are using adult stem cell treatment here to cure MS, Heart Decease, diabetes, Spinal Cord Injuries, Cancer and many other conditions. A good source for getting information on Costa Rica is the Association of Residents of Costa Rica.

http://www.arcr.net

They have a seminar once a month that brings in Doctors, Lawyers, Dentist, Shippers, Realtors, Investment Councilors and many other experts to brief you on the pros and cons of moving to Costa Rica. There are many communities here that are all American and the “Culture Shock” is nonexistent. The weather is perfect and they have never had a hurricane.

Bruce:

We moved to the French Riviera 10 years ago when we retired. Cost of living here in Nice is much less than New York or any other major American city. We’re on the sea, a big plus, near Italy, also a big plus, and we enjoy terrific food that we can afford. The medical system in France is incomparable and truly inexpensive compared to the U.S. We calculated our fixed living expenses for the year: it came to 11,000 Euros, or about $15,000 for all our taxes, medical coverage, utilities, condo fees, dentistry, etc. We live in a 2 bedroom top floor condo with a very large terrace and 2 balconies. There’s plenty of money left for travel, dining out, movies, and quick jaunts up to London and Paris for culture and ethnic food (especially London). Don’t regret the move at all.

John:

I moved to Ensenada Mexico in 2000. It was the best thing I ever did for my future because there is no future in America. I now enjoy more freedom than I ever had in the US. Spanish is easy to learn and the people are much more friendly here. There are lots of ex-pats here also. In the coming years the US is going to be the worst place to be. Escape now while you still can.

AmericanInOz:

I am an American that immigrated to Australia in 2001 (after Bush took office). My wife and I didn’t like what we saw coming. Politically, culturally, financially and socially.

When Big Media first started covering the US’s economic problems here in 2008 they drug out the old phrase “When America catches a cold Australia gets a flu”. Two plus years on and this couldn’t be further from the truth. The economy here is going great guns, and demand from Asia and a better government are a good part of the reason.

House prices are having solid gains every year, unemployment is reasonably steady, and the federal reserve is trying to raise interest rates to cool the economy (.25% again today)

To that point, the government here doesn’t subsidise 30 year fixed mortgages the way they do in the US, so they can still manage the economy by slightly manipulating interest rates. The longest you can fix a mortgage for is 5 years, at a very high premium, so most people don’t.

America has become an after thought, if not the laughing stock, of many Australians. It saddens me to see how far everything has fallen over there. I no longer try to defend the US or the American people. The time for real public outrage passed many years ago, and I have not only given up on the government, but also on the people themselves. So many dear family and friends spend their lives watching TV while their freedoms, lifestyle, culture and wealth were/are being destroyed around them. Ignorant and apathetic to the realities of the real world. Living with some strange notion of the past as if it represents the present.

Not all is doom and gloom here. And although it could still come, if it does it will have little, if nothing at all, to do with the problems in America.

Virginia Hands Out 6996 Traffic Tickets In One Weekend In An Effort To Raise Revenue For The State Government

In the old days, police officers wrote traffic tickers primarily to keep people safe and to prevent citizens from breaking the traffic laws.  But in the new Amerika, all of that has changed.  Now traffic tickets are primarily viewed as a revenue raising tool for state and local governments.  For example, a federally funded ticketing blitz in the state of Virginia resulted in a total of 6996 traffic tickets being handed out this past weekend.  This most recent ticketing blitz is part of a campaign code-named “Operation Air, Land & Speed”.  Last Saturday and Sunday state troopers were ordered to absolutely saturate Interstate 95 and Interstate 81 and to issue as many traffic tickets as humanly possible during those two days.  Why?  Well, it turns out that the state of Virginia has a 2.2 billion dollar budget deficit that they are trying to deal with, and so they need to find some quick sources of cash. 

You see, state and local governments all over the nation are massively jacking up traffic fines and are starting to write a lot more tickets in an attempt to “enhance” their streams of revenue.

In other words, state and local governments across the U.S. are broke and so they need some suckers to prey on.

Not that it was ever a good idea to break the traffic laws.  But now even a minor violation can put a massive hole in your wallet.  For instance, driving as little as 15 miles an hour over the speed limit in Virginia can get you a reckless driving charge that can carry a fine of up to $2500.

So why the hefty fines?

Well, the law increasing the traffic fines in Virginia clearly admitted why they are so high….

“The purpose of the civil remedial fees imposed in this section is to generate revenue.” (Virginia Code 46.2-206.1)

Are you starting to get the picture?

But this kind of thing is not just happening in Virginia.

“Sobriety checkpoints” in the state of California are increasingly bring used as revenue raising operations.  It turns out that these sobriety checkpoints are far more likely to seize cars from unlicensed motorists than they are to catch drunk drivers.

So how profitable are these “sobriety” checkpoints?

Well, research done by the Investigative Reporting Program at UC Berkeley with California Watch discovered that impounds at “sobriety” checkpoints in 2009 alone generated approximately 40 million dollars in towing fees and police fines.

That is what you call a source of revenue.

In Detroit, even the police admit that the fundamental nature of police work is changing.  Just consider the following quote from from Police Chief Michael Reaves of Utica, Michigan….

“When I first started in this job 30 years ago, police work was never about revenue enhancement, but if you’re a chief now, you have to look at whether your department produces revenues.”

Sgt. Richard Lyons of Trenton, Michigan is even more blunt about what is happening in his community….

“They’re trying to use police officers to balance the budget on the backs of drivers, and it’s too bad. The people we count on to support us and help us when we’re on the road are the ones who end up paying the bills, and they’re ticked off about it. We might as well just go door to door and tell people, ‘Slide us $100 now since your 16-year-old is going to end up paying us anyway when he starts driving.’ You can’t blame people for getting upset.”

But some localities are converting to even more automated ways of making money from drivers.

For example, “red-light cameras” have become huge revenue raising tools in many areas of the country.  In Los Angeles, revenue from red-light cameras has doubled from $200,000 a month in 2007 to $400,000 a month at the end of 2009.

California Governor Arnold Schwarzenegger wants cities and counties in his state to take things even farther.  He wants them to install speed sensors on existing red-light cameras.  Speeders caught by these sensors would face fines ranging from $225 to $325.

Don’t all of us wish we could start a business that could make so much money from each customer?

California state officials believe that these speed sensors would raise more than 300 million dollars for the state of California by the end of 2011.

All of this is enough to make one want to drive like a grandmother.

Except then they would get you for going too slow.

Seriously.

The reality is that you have to be very, very careful out there now because the nature of driving in America has fundamentally changed.

Whether it is rapidly increasing traffic fines or all of the toll roads going in everywhere, American drivers are increasingly being viewed as a big fat revenue source.

And as the current economic collapse gets even worse, drivers are going to be preyed upon even more by state and local governments.

If you have not already done so, now is the time to change the way that you drive.  Don’t give state and local governments an excuse to take even more of your hard-earned money from you than they are already.

Is Moving Out Of The United States A Way To Escape The Coming Economic Collapse?

With the U.S. economy in a death spiral, many Americans have been wondering if moving out of the United States is a way to escape the coming economic collapse.  While it is true that the U.S. economy will drag down the rest of the economies around the globe at least to an extent, the reality is that someone living on an island in the middle of nowhere will be able to weather the coming economic storm a whole lot better than someone in New York or Los Angeles.  But is moving out of the United States a practical alternative?  First of all, it is very important to realize that moving some to another country can cause a massive culture shock.  Even a nation that you would think would be somewhat similar such as the U.K. can be radically different from what most Americans are accustomed to.  In addition, in some cases there can be huge taxes and fees imposed on those moving to a new country.

But if you are looking for a change and are ready for something different, moving to another country may work out for you.  In particular, moving to another country tends to work out for those who already have money and do not have to work.  The dollar is still strong in many areas of the world (especially the third world), so if you have a sufficient bankroll saved up there are areas of the world where you can literally live like a king.

However, if you still need to work, moving to another country can present a huge challenge.  The truth is that wages in many areas of the world (especially in the third world) are much lower than in the United States.  On the flip side, the cost of living is often much lower in other areas of the world.

So is moving to another country the right answer for everyone?  No, of course not.  But for some people it may be a wonderful alternative.

To give you more of a perspective on moving out of the United States, we have posted two comments from our readers below.  The first is from a reader named Chris who is very excited about moving his family to the Philippines.  The second is from a reader named John who provides an alternative viewpoint on what living in the Philippines is like….

Chris:

Well I feel the same way as Mae does. I can see what is the possible outcome; a deflationary depression, an inflationary depression, dollar devaluation, confiscation of our money, confiscation of gold, a “freeze” on our savings accounts, etc…

Well so what is our solution? Well my wife is a Filipino American. She was born here. But she has very close ties to her ancestral homeland. So we are going to move in April 2010. We are going to move to a remote town/village. We already bought some land under her father’s name who lives there now and had a beautiful 3000 square foot Spanish villa built two years ago. Plus we bought lots and lots of land where we can grow our own organic food and raise chickens.

Even though as a whole the Philippines is a poor society, they are moving forward. If you have about $150,000 or more, you can live like a king with all of the Western accommodations. If you are living in the U.S.A. then move. Our country won’t be the same in the next coming years. I will wait for this storm to pass. Then I can either choose to stay in the Philippines or come back to America.

Remember, whatever you do, prepare yourself. “Prepare for the worst and hope for the best”.

John:

I was talking to a friend here in the Philippines this afternoon who has two young adult children who are both working full time jobs. He is worried that they will NEVER be able to have a home of their own or even ever an apartment. They both work for Call centers and their jobs USED to based in the USA. They are happy to have a job but they are only earning 13,000 pesos a month. That is about $300 !!!

The same exact job in the states is paying over $400 a week! The of living is less in the Philippines BUT things are NOT so cheap that you could have a home of your own. $300 a month is NOT very much money NO MATTER where in the world you live. The cost of gasoline is MORE here, about $4.00 a gallon. Going out to eat at McDonalds appears to cost less BUT the serving sizes are less so in the long run you pay the same. The wages for a McDonalds employee is about $7 a day so the employees can not even afford to eat at McDonalds!

The employers are making MILLIONS off of the cheap labor. The jobs that used to be in the states are NOW here but the BOSS MAN is making even MORE PROFIT. The employers do not have the misc. taxes to pay like they would in the states. The wages are obviously several hundred dollars or more LESS than the same job in the states. These employers have NOT reduced the cost of their products or services so they are really raking in the bucks.

The american people have lost their jobs and they will NOT see them return. And the people here who are now doing those same jobs are not much better off. The filipino employees are wise enough to understand they are being taken advantage of but there is nothing they can do. They need a job also, so complaining about the low wages does nothing. There are thousands that will take the job you do not want.

Many areas in the Philippines are incredibly wealthy. You see housing developments that the average american could not afford to live in. I see cars that cost tens of thousands of dollars on the road everyday. They have huge shopping malls that are bursting at the seams with stores in EVERY retail location. Unlike the mall in my home town of Cedar Rapids Iowa. The mall there looks like a GHOST TOWN.

The only people that are winning are the CORPORATIONS that are raking in huge profits while the little guy suffers.

Has The United States Become A Nation With No Economic Spine?

What are hard working Americans who have scrimped and saved and have done everything “right” financially for decades supposed to think about all of these “bailouts” and of the massive financial mess in Washington?  How are people who have handled their own finances admirably supposed to feel now that the foolishness of others is leading us all towards a horrific economic collapse?  Well, a reader named “Mae” recently left a comment that I think does a good job of communicating what a lot of hard working Americans are feeling right now: My situation is this – we have lived our lives playing by the rules: never carried debt on a credit card that we couldn’t pay off by the due date. If we couldn’t afford the item, we didn’t buy it. We always had a Christmas Club which enabled us to pay cash for the holiday. We payed ourselves first after every paycheck whether it was $10 or $100, whatever we could afford. We made double payments on our mortgage when we could which helped us to pay off our modest home 10 years early. We knew that we couldn’t afford to “have it all” so we made our choices early on and stuck with it. We sacrificed the fancy vacations in order to do large home repairs (like a new roof) ourselves. We didn’t buy expensive cars and now own one outright and carry a small loan on another. That’s our only debt besides monthly bills. We chose jobs that provided health care benefits. We did everything right…we saved and saved and saved to have a decent retirement but of course last year took half the value of our 401k.

Now, I’m expected to sit back and watch Bush, Congress and Obama bail everyone out because they didn’t have the fiscal discipline to manage their money?? I’m supposed to feel bad for people who bought homes they couldn’t afford? or cars they couldn’t pay for? or $1000 cell phone bills? or $20,000 in credit card debt? HELL NO! I’m livid! If I ran my checkbook the way Washington is running the national checkbook, I’d be thrown in jail!

All we can do now is educate as many people as possible about what is happening and hopefully vote all these s.o.b.’s out of office and replace them with fiscally conservative candidates who will vote for term limits. The days of a career politician are over. I don’t know if we can turn any of this around – it will take a lot of hard work to make the tough decisions, but they have to be made if we’re to survive. How many people have the guts to work through this? Not many…we’ve become a spoiled, selfish, arrogant and hypocritical nation with no spine.

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