The Sobering Reality Of What Life Is Like In Reno, Nevada

What do you do when the city where you live is dying?  All over the United States formerly great cities are crumbling, but some are definitely in worse shape than others.  One reader recently wrote to me about what she sees happening all around her in Reno, Nevada.  The unemployment rate in Reno is now up to 11.7 percent, which is well above the national average of 8.3 percent.  But that doesn’t tell the whole story.  The recent recession hit Nevada particularly hard and people have been moving out of the state in waves.  In fact, the labor force in Nevada has shrunk by close to 20 percent over the past year as workers have moved elsewhere in search of work.  But even though the labor force is now nearly 20 percent smaller, the unemployment rate is still well above 11 percent.  There simply are not enough jobs in large Nevada cities such as Reno and Las Vegas.  Unfortunately for Reno, it does not have the same kind of big corporate money pouring into it that Las Vegas does.  The good news is that you can buy a house very, very cheaply in Reno because homes were foreclosed on in droves during the housing crash.  Even today, some housing developments that were put up near the end of the boom times look like virtual ghost towns.  The main industry in Reno is “entertainment”, but many of Reno’s strip clubs and gambling establishments have aged so badly at this point that they just look kind of depressing.  I guess that is kind of fitting, because Nevada has the fifth highest suicide rate in the nation, and Reno has been ranked as one of the top 10 depressed cities in the entire country.  As the city has declined, gangs have moved in and the drug trade is flourishing.  Reno has been called the meth capital of America, and crime is on the rise.  Despite being surrounded by tremendous natural beauty, Reno has become a very unpleasant place in which to live.  But what is happening in Reno is also happening in hundreds of other communities across the United States.  Our economy is collapsing and our cities are crumbling right in front of our eyes, and it is only going to get worse from here.

A reader of my site named Heather who has been unemployed since November of last year recently shared the following with me….

I am living in Reno/Sparks Nevada and I feel like it is ground zero for collapse. There are a lot of people who are in denial right now and cannot see the larger picture. I keep also saying we are the canary in the coal mine for the rest of the country.  It is quite depressing driving around seeing empty office buildings with vacancies and retail areas just empty. Went to the stores and retail seems pretty slow also. I am volunteering at ProNet locally and it helps unemployed people finds jobs and skills. It has been depressing there too with very little jobs out there for many people who need one.

She said that I should share what is happening in Reno with my readers.  She wanted people to know what those living in Reno are going through.

You might think that since Reno is so sunny, so warm and surrounded by such natural beauty that it would be one of the happiest places in America.

Unfortunately it turns out that the opposite is true.

Reno is actually a very sad place.

In fact, last year Men’s Health ranked Reno as the ninth saddest city in the United States.

In response to this ranking, one resident of Reno wrote the following….

In light of this disheartening list-making, it is, of course, important for Nevadans to look on the bright side. Rather than allowing these statistics to depress us further, we can consider them a series of challenges that make living in places like Reno and Las Vegas all the more impressive. You don’t just live in Reno. You survive Reno! To dwell in Reno, you must triumph over the odds that are stacked against you—one of the things we’re supposed to do best here.

If we can withstand all of the emotional curveballs thrown at us because we have selected such a turbulent location in which to reside, we can probably survive anything.

As a lifelong Renoite, I am inclined to respond to these lists with defiance. Yeah, things can look pretty grim sometimes when no one can find a job, and there seems to be no way out.

And that is how many Americans are feeling these days.  They are broke, unemployed, depressed and out of options.

How can you pick up and start a new life somewhere else when you have no job and no money?

Sadly, a lot of younger Americans are turning to drugs in an attempt to escape the pain of their daily lives.

One article that I found attempted to find humor in the raging meth epidemic that is happening in Reno….

Reno has been affectionately called the meth capital of the nation. Some foolishly think mass drug usage can ravage a city as swiftly as it can ruin a user’s clear complexion. In all reality, drug addiction is no more than an endearing quirk, certainly not a cause for concern. Babies and adolescents with addiction-addled parents should stop being coddled and learn how to take care of themselves. I’ve been doing my own laundry since I was six months old­ — I’m sure they can do the same. If there is anything disturbing about the meth problem in Reno, it’s that it shows the lack of variety in this town. Why don’t you try some uppers like MDMA? Your teeth will thank me.

Unfortunately, Reno is far from alone.  In the past I have written about how formerly great cities such as Detroit, Cleveland and Baltimore are completely falling apart as well.  This kind of thing is literally happening from coast to coast.

There is a very serious lack of decent jobs in America right now.  At this point only 24.6 percent of all jobs in the United States are good jobs.

This has made it increasingly difficult for Americans to be able to take care of themselves.

If you can believe it, more than 100 million Americans are on welfare at this point.

And that number does not even include the tens of millions of people that are on Social Security and Medicare.

What in the world has happened to us?

These days most Americans work really hard all of their lives but never end up reaching their dreams.

In fact, one recent study found that 46 percent of all Americans die with less than $10,000 worth of financial assets.

Talk about depressing.

But instead of having us focus on how bad the economic numbers are, the Federal Reserve wants to start measuring how “happy” everyone is.  The following is from a recent ABC News article….

Ben Bernanke wants to know if you are happy.

The Federal Reserve chairman said Monday that gauging happiness can be as important for measuring economic progress as determining whether inflation is low or unemployment high. Economics isn’t just about money and material benefits, Bernanke said. It is also about understanding and promoting “the enhancement of well-being.”

So what would you say if the Federal Reserve contacted you and asked if you are happy?

Please feel free to post a comment with your thoughts below….

Feeling Depressed? 27 Depressing Statistics About The U.S. Economy That Will Make You Feel Even Worse

If you know someone that believes that the U.S. economy is in great shape, just show that person the following statistics.  But please don’t show these statistics to anyone that is feeling depressed or that has just lost a job – it might push such a person over the edge.  The sad truth is that the U.S. economy is in the midst of a long-term decline and it is coming apart at the seams.  Right now the Obama administration and the Federal Reserve are attempting to “paper over” our economic problems with massive amounts of government debt and paper currency, but in the end it is not going to work.  When you analyze the numbers objectively, it leads to the inescapable conclusion that we are headed for another Great Depression.  That is a very depressing thought, but there is no denying that decades of debt and incredibly bad decisions are starting to catch up with us.  The economic pain that is coming is going to be absolutely mind blowing.

It would be nice if our politicians and our business leaders suddenly started making incredibly wise decisions so that we could bring the U.S. economy in for a “soft landing”, but the chance of that happening is so small that it is not even worth mentioning.

It is time for all of us to face up to the truth.  In this day and age it is really easy to get caught up in the trap of feeling depressed, but once we understand exactly how bad our problems are it can be empowering because then we can start focusing on solutions.

The following are 27 depressing statistics about the U.S. economy that are almost too crazy to believe….

#1 The Obama administration projects that the federal budget deficit will be approximately $1,600,000,000,000 this year.  Right now the Republicans and the Democrats are fighting tooth and nail over budget cuts.  The Republicans are proposing to cut the budget deficit by 3.8%.  The Democrats only want to cut it by 2.1%.

#2 The U.S. economy actually grew more between 1930 and 1940 than it did during the decade that recently ended.

#3 Over the last decade, the number of Americans without health insurance has risen from about 38 million to about 52 million.

#4 Agricultural commodities are absolutely soaring.  The price of corn has more than doubled over the last 12 months.  Considering the fact that corn is in literally thousands of our food products, that is a very frightening statistic.

#5 Between 1999 and 2009, real median household income in the United States declined by 5.0%.

#6 It is being estimated that total U.S. government debt will grow by 42 percent by the year 2015.

#7 According to the Pentagon, the cost of the first week of attacks on Libya was 600 million dollars.

#8 The average American now spends approximately 23 percent of his or her income on food and gas.

#9 According to the U.S. Energy Department, the average U.S. household will spend approximately $700 more on gasoline in 2011 than it did during 2010.

#10 It is being projected that for the first time ever, the OPEC nations are going to bring in over a trillion dollars from exporting oil this year.  Their biggest customer is the United States.

#11 According to the Economic Policy Institute, almost 25 percent of U.S. households now have zero net worth or negative net worth.  Back in 2007, that number was just 18.6 percent.

#12 China produced 19.8 percent of all the goods consumed in the world last year.  The United States only produced 19.4 percent.

#13 The United States has lost an average of 50,000 manufacturing jobs per month since China joined the World Trade Organization in 2001.

#14 The U.S. trade deficit with China in 2010 was 27 times larger than it was back in 1990.

#15 U.S. home values have fallen an astounding 6.3 trillion dollars since the peak of the real estate market in 2005.

#16 According to RealtyTrac, one out of every 45 U.S. households was hit with a foreclosure filing in 2010.

#17 The number of homes that were actually repossessed reached the 1 million mark for the first time ever during 2010.

#18 New home sales in the United States set a brand new all-time record low in the month of February.

#19 Now home sales in the United States are now down 80% from the peak in July 2005.

#20 The financial condition of American families continues to deteriorate rapidly.  In 2010, one out of every eight American families had at least one family member that was unemployed.  That number was the highest it has been since the U.S. Labor Department began keeping track of that statistic back in 1994.

#21 There are now more than 6 million Americans that the government says have given up looking for work completely.

#22 According to the U.S. Bureau of Labor Statistics, the average length of unemployment in the U.S. is now an all-time record 39 weeks.

#23 Americans now owe more than $900 billion on student loans, which is also an all-time record high.

#24 Average household debt in the United States has now reached a level of 136% of average household income.

#25 According to the Federal Reserve, between 2007 and 2009 median household net worth in the United States fell by 23 percent.

#26 The Federal Reserve also says that median household debt in the United States has risen to $75,600.

#27 According to a recent article posted on the website of the American Institute of Economic Research, the purchasing power of a U.S. dollar declined from $1.00 in 1913 to 4.6 cents in 2009.  Sadly, the Federal Reserve is working very hard to get rid of the little bit of purchasing power that the U.S. dollar has left.

The Economic Collapse