State of the economy (ie., keep preparing, folks)

[ATCclears]

Mish's Global Economic Trend Analysis: No Progress for Long-Term Unemployed; Ten Reasons the Problem is Structural

Ten Reasons the Problem is Structural

2. The housing boom-bust is a once in a multi-generational phenomenon
3. Demographics - The boomer boom has turned into the boomer bust
4. Those graduating from college have unprecedented levels of student debt
5. Fed policies bailed out the banks at the expense of everyone else (and now is payback time)
6. The Fed holding rates low in conjunction with Obamacare costs has exacerbated the trend of businesses to seek new ways to eliminate employees in favor of hardware and software robots
7. In general, Fed policies of holding interest rates low screwed those on fixed income, screwed the middle class, and screwed the poor, all for the benefit of the top 1% (and those policies are not likely to change)
8. Housing formation by millennials is at a record low and because of student debt and a dearth of high-paying jobs is unlikely to change.
9. Pension promises by cities, states, and counties cannot and will not be met. Several cities in California and Detroit Michigan are the tip of this iceberg.
10. Slowdown in China, restructuring in Europe.
11. Debt, Debt, Debt. A debt crisis is everywhere you look: Japan, Europe, India, China, US. Debt acts as a drag on the global economy unless it is expanding rapidly (and it cannot without creating still more problems)

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[Caveman Jim]

I don't see it getting any better to until America is rid of this socialistic dictator!!!!
America has been divided like times of our own civil war (brother against brother)..

 

[ATCclears]

I've seen enough from both political parties such that I believe they are only in it for themselves and the lobbyists. One may believe that "it will be different with the Republicans!", but many of the 10 items in the list above are not due to a single political party.

Prepare, and buckle in...

Peter

 

[Burt Gummer]

The fact that the MSM is completely locked down by the banker/corps (well, 99.9% locked down) is still giving gullible Americans the impression that all is well.

Some stories do slip through though. Lehman repeat could be just around the corner: Our view

Notice in this MSM story it is carefully manipulated though. For instance, the part of the story on credit derivatives doesn't mention that we are talking enough money (600 trillion) to completely wipe out the value of all paper in hours. There is only an estimated 750 trillion worth of Fiat currency on the planet; 1/3+ of that being controlled by only ONE family.

Credit derivatives.Efforts to bring transparency to these complex instruments, which Warren Buffett once called "financial weapons of mass destruction," are stalled. When Congress mandated that a form of derivative known as a credit default swap be traded on open exchanges, where investors could judge the risks incurred by major institutions, Wall Street found ways around it. Derivatives are a double-barreled threat, both increasing risk and hiding it from view, and in 2008, they nearly caused the financial system to collapse.

http://www.thedailysheeple.com/obama-wants-you-to-ignore-bloggers-talking-heads-and-activists_102013

 

[cookie]

The fact that the MSM is completely locked down by the banker/corps (well, 99.9% locked down) is still giving gullible Americans the impression that all is well.

Some stories do slip through though. Lehman repeat could be just around the corner: Our view

Notice in this MSM story it is carefully manipulated though. For instance, the part of the story on credit derivatives doesn't mention that we are talking enough money (600 trillion) to completely wipe out the value of all paper in hours. There is only an estimated 750 trillion worth of Fiat currency on the planet; 1/3+ of that being controlled by only ONE family.

Credit derivatives.Efforts to bring transparency to these complex instruments, which Warren Buffett once called "financial weapons of mass destruction," are stalled. When Congress mandated that a form of derivative known as a credit default swap be traded on open exchanges, where investors could judge the risks incurred by major institutions, Wall Street found ways around it. Derivatives are a double-barreled threat, both increasing risk and hiding it from view, and in 2008, they nearly caused the financial system to collapse.

The golden rule comes into play !!!! When you think of whos money is it really?

 

[ATCclears]

Debt Ceiling: China Calls for World to Be 'De-Americanised' - IBTimes UK

China's official news agency has called for the creation of a "de-Americanised world", saying the destinies of people should not be left in the hands of a hypocritical nation with a dysfunctional government.

Heaping criticism and caustic ridicule on Washington, the Xinhua news agency called the US a civilian slayer, prisoner torturer and meddler in others' affairs, and said the 'Pax Americana' was a failure on all fronts.

The official news agency of China, which is seen as the pretender to the world's superpower crown, then rubbed in more salt, calling American economic pre-eminence just a seeming dominance.

"As US politicians of both political parties are still shuffling back and forth between the White House and the Capitol Hill without striking a viable deal to bring normality to the body politic they brag about, it is perhaps a good time for the befuddled world to start considering building a de-Americanised world," the editorial said.

It asks why the self-declared protector of the world is sowing mayhem in the financial markets by failing to resolve political differences over key economic policy.

"... the cyclical stagnation in Washington for a viable bipartisan solution over a federal budget and an approval for raising debt ceiling has again left many nations' tremendous dollar assets in jeopardy and the international community highly agonised," the agency said.

It is not the first time Chinese leadership and newspapers have criticised Washington over a policy paralysis that threatens to devalue its dollar assets.

According to US Treasury Department data, China is the biggest foreign owner of US Treasuries at $1.28 trillion as of July. Besides, China also holds close to $3.5 trillion of dollar-denominated assets.

A US debt default and consequent credit downgrade would significantly erode the value of China's holdings.

As the first step in creating a de-Americanised world, all nations must try to shape an international system that respects the sovereignty of all nations and ensures the US keeps out of the domestic affairs of others, Xinhua said.

"The developing and emerging market economies need to have more say in major international financial institutions including the World Bank and the International Monetary Fund, so that they could better reflect the transformations of the global economic and political landscape," the editorial says.

It also called for an end to the use of the US dollar as the international reserve currency, a step that would ensure the international community could maintain a safe distance from the side-effects of domestic political turmoil in the United States.

 

[Brutus57]

I say boycott Chinese goods, who is with me? Let's see how that affects the trade deficit with them. Do we really, really need that pseudo prepper usable whiz bang widget from Harbor Freight? Do we really need that Coghlan's tarp, or new clothes from Penneys or Wally's World? I know it is difficult to find non Chinese goods but if you look hard, and swallow hard when you have to pay a bit more for nonr Chinese we CAN make a difference. I looked in my closet, and other than new skivvies. I think I can live out the rest of my natural life (I am gunning for 25 plus more years) with the shoes, boots, jeans, coats and shirts I already have. There are alternatives for most Chinese products. I know it would take more money and more thoughtful expenditure. It is doable, just like a diet, it would definitely suck, but the end result would be worth it. Cut off aid, cut off foreign students entry in to US while "we do some house keeping" to make China happy. Convincing Apple to transfer production to Korea or Malaysia would be tougher but I think a solid Buy American movement would help turn our economy in the right direction.

Brutus Out

 

[CoastRange57]

I looked in my closet, and other than new skivvies. I think I can live out the rest of my natural life (I am gunning for 25 plus more years) with the shoes, boots, jeans, coats and shirts I already have.

Brutus Out

Well good, I am not the only one who thinks this way. I added a bunch of almost new Carhart shirts at a garage sale for $ 3 each. 20 of them. Will put 5 out to wear this winter, pack the rest away. I buy lots of socks, in another box, I should easily have enough clothes to last me hopefully another 20 years.

 

[MikeE]

Mish's Global Economic Trend Analysis: No Progress for Long-Term Unemployed; Ten Reasons the Problem is Structural

Ten Reasons the Problem is Structural

2. The housing boom-bust is a once in a multi-generational phenomenon
3. Demographics - The boomer boom has turned into the boomer bust
4. Those graduating from college have unprecedented levels of student debt
5. Fed policies bailed out the banks at the expense of everyone else (and now is payback time)
6. The Fed holding rates low in conjunction with Obamacare costs has exacerbated the trend of businesses to seek new ways to eliminate employees in favor of hardware and software robots
7. In general, Fed policies of holding interest rates low screwed those on fixed income, screwed the middle class, and screwed the poor, all for the benefit of the top 1% (and those policies are not likely to change)
8. Housing formation by millennials is at a record low and because of student debt and a dearth of high-paying jobs is unlikely to change.
9. Pension promises by cities, states, and counties cannot and will not be met. Several cities in California and Detroit Michigan are the tip of this iceberg.
10. Slowdown in China, restructuring in Europe.
11. Debt, Debt, Debt. A debt crisis is everywhere you look: Japan, Europe, India, China, US. Debt acts as a drag on the global economy unless it is expanding rapidly (and it cannot without creating still more problems)

Can't argue with any of the above. Time for a 'debt jubilee'.

 

[Provincial]

Well good, I am not the only one who thinks this way. I added a bunch of almost new Carhart shirts at a garage sale for $ 3 each. 20 of them. Will put 5 out to wear this winter, pack the rest away. I buy lots of socks, in another box, I should easily have enough clothes to last me hopefully another 20 years.

Keep a good sewing kit around. Most of us will be a lot thinner if SHTF, so we'll need to take in the shirts and pants!

 

[erudne]

I have worn out a lot of work clothes in the past 2 years, my Carhart boots (Chinese) are wearing out fast, I need a new barn coat, looks like I'm headed to Good Will!

 

[Sgt Nambu]

Well good, I am not the only one who thinks this way. I added a bunch of almost new Carhart shirts at a garage sale for $ 3 each. 20 of them. Will put 5 out to wear this winter, pack the rest away. I buy lots of socks, in another box, I should easily have enough clothes to last me hopefully another 20 years.

Got ya, Coast! I have cleverly held on to clothes that have gotten to small for me over the years. That way, as we starve, I'll be able to reverse the smaller to larger trend! Pretty sure I'm good for another 20yrs too!

 

[erudne]

Make sure you have some clothes stashed in a safe place, winter clothing might become a necessity indoors under Obama's Cap and Trade

 

[Sgt Nambu]

Make sure you have some clothes stashed in a safe place, winter clothing might become a necessity indoors under Obama's Cap and Trade

Sleeping bags too!

 

[CoastRange57]

Sleeping bags too!

Fellow patriot in Central Oregon has 26 of them shrink wrapped in his shop. Planning for at least 16 people there possibly if SHTF.

My wood stove says I will never be cold.

 

[CoastRange57]

Got ya, Coast! I have cleverly held on to clothes that have gotten to small for me over the years. That way, as we starve, I'll be able to reverse the smaller to larger trend! Pretty sure I'm good for another 20yrs too!

If any of us starve, it should be our own damn fault. But I have plenty of "sized down" stuff from 15 or 20 years ago still too.

 

[Sgt Nambu]

Trust me, my friend, starving for a couple months wouldn't do me any harm! LOL!!! Being disabled has restricted my activitys, and I'm pretty danged porky!

 

[Sgt Nambu]

I've seen enough from both political parties such that I believe they are only in it for themselves and the lobbyists. One may believe that "it will be different with the Republicans!", but many of the 10 items in the list above are not due to a single political party.

Prepare, and buckle in...

Peter

Too true! They are all self centered crooks!

 

[Sstrand]

Tsk . . .Tsk . . . Tsk . . . Don't you know that they are the elite whose right it is to rule the sheeple.
They are only doing what is natural for that class of people.
Listen to their constituents? . . . Surely you jest! If they want your opinion they'll give it to you.

Sheldon
Expecting a call from an IRS auditor any minute.

 

[erudne]

I'm reminded of Babylon 5
It did not end well