The Economic Collapse

Things haven’t looked this bad for the U.S. economy since 2008.  We are in the midst of the worst inflation crisis in decades, the housing market has started to collapse, some of the largest companies in America have begun laying off workers, and economic activity is slowing down all around us.  Of course Joe Biden is telling us that our economy is “strong as hell”, but that is just because he wants his party to do well in the upcoming elections.  Ultimately, anyone that takes a truly objective view of things is forced to admit that the outlook for the months ahead is incredibly bleak.  The following are 12 reasons why it is impossible for any rational person to be optimistic about the U.S. economy at this point… (Read More...)

Inflation is systematically destroying our standard of living, and the middle class is shrinking a little bit more with each passing day.  The Social Security Administration just released wage statistics for 2021, and the numbers that they have given us are quite stunning.  As you will see below, half of all American workers made less than $3,133 a month last year.  Once upon a time, you could live a very comfortable middle class lifestyle on $3,133 a month.  But thanks to inflation, such a wage now puts you just barely above the poverty level.  The decisions that our leaders have been making are absolutely eviscerating the middle class, and that should deeply trouble all of us. (Read More...)

The U.S. housing market is absolutely imploding, but nobody should be surprised.  In fact, we were warned way ahead of time that this would happen.  When the Federal Reserve told us that they would be aggressively raising interest rates, we all knew what this would do to the housing bubble.  It was obvious that home prices would fall, home sales would plummet and home builders would get absolutely crushed.  Sadly, that is precisely what we are witnessing.  But instead of reversing course after witnessing all the damage that they have caused, Fed officials are insisting that even more rate hikes are necessary.  So as bad as things are right now, the truth is that they are going to get even worse in the months ahead. (Read More...)

It is starting to get cold outside.  Are you ready for a winter that will be unlike any other?  As I have been documenting on The Economic Collapse Blog for months, the nightmarish global energy crisis that has erupted is not going to end any time soon.  In fact, it has the potential to get a whole lot worse in 2023 and beyond.  Energy prices have already risen to absolutely absurd levels, and now winter is coming.  Unfortunately, many forecasters are warning that this winter is going to be a doozy.  Colder than normal temperatures are expected across much of the northern hemisphere, and if that actually happens that would put a tremendous amount of strain on the system. (Read More...)

Are the months ahead going to be very painful for our economy?  This is something that I have been arguing for a long time, and apparently the vast majority of corporate CEOs now agree with me.  Of course economic conditions are not exactly good at this moment.  Core U.S. inflation just rose to a 40 year high, mortgage rates just hit the highest level in more than two decades, home values are plummeting all over the nation, and retail sales in the United States unexpectedly fell in September.  If you think that the U.S. economy is performing well right now, there is a very large bridge on the west coast that I would like to sell you.  Unfortunately, it appears that economic conditions are about to get significantly worse.  In fact, one recent survey found that 98 percent of corporate CEOs are planning “for a U.S. recession over the next year or year and a half”… (Read More...)

I am trying to sound the alarm about this as loudly as I can.  The global food crisis just continues to intensify, and things are going to get really bad in 2023.  As you will see below, two-thirds of European fertilizer production has already been shut down, currency problems are causing massive headaches for poor nations that need to import food, global weather patterns continue to be completely crazy, and the bird flu is killing millions upon millions of chickens and turkeys all over the planet.  On top of everything else, the war in Ukraine is going to restrict the flow of agricultural and fertilizer exports from that part of the world for a long time to come, because there is no end to the war in sight.  In essence, we are facing a “perfect storm” for global food production, and that “perfect storm” is only going to get worse in the months ahead. (Read More...)

Earlier this year the Federal Reserve declared war on inflation, and since that time we have seen a series of interest rate hikes that has been absolutely breathtaking.  We knew that this would negatively impact the financial markets, and we have already seen trillions of dollars in asset values wiped out.  We also knew that this would negatively impact the housing market, and right now housing prices are plummeting all over the nation.  But Fed officials assured us that any short-term “pain” would be worth it because inflation would be brought under control.  Unfortunately, that hasn’t happened.  In fact, on Thursday we learned that the core consumer price index has just hit “the highest level since 1982”… (Read More...)

Normally, we shouldn’t have economic stagnation and rampant inflation at the same time.  But that is exactly what we’ve got.  U.S. GDP actually declined during the first two quarters of this year, and we are being warned that economic activity could slow down a whole lot more in the months ahead.  Meanwhile, we are in the midst of the worst inflation crisis since the Jimmy Carter era.  The cost of living has become extremely oppressive, and this is particularly true when it comes to food.  We just got some new numbers from the Department of Labor on Wednesday, and quite a few of them are absolutely stunning… (Read More...)