Is America Headed to a Complete Economic Collapse?
I’m not a negative person and I’m not a supporter of Dooms Day nonsense that you tend to hear a lot of BUT I have to admit that a lot of factors are pointing towards a complete collapse of the American Economy.
1. There are too many people who cannot find GOOD jobs that pay enough to support a family and make a mortgage payment.
2. Banks have tightened up credit to the point that almost no one can get a loan for anything.
3. Since you can’t get a loan or mortgage to buy a house, there is no way anyone can buy any of the houses that are flooding the market right now.
4. With so many foreclosed houses currently on the market and a massive amount of homes that will be foreclosed there is NO NEED for New home construction. As a result the entire Home Building industry has come to a stand still. This means Hundreds and Thousands of workers in the construction industry are now making ZERO INCOME.
5. As more and more industries find there is no business available, they cannot afford to pay their employees salaries and More and More people are being laid off.
6. The More unemployed people you have, the LESS people are going to spend. Eventually this will result in an Economy where people can only afford the basic necessities.
7. The LESS business there is out there, the LESS people spend, resulting in LESS commerce and LESS income for everyone.
8. Around the middle of 2009, MOST Americans had spend every penny they had in what little savings or 401K they had. Today, A HUGE Majority of Americans are Completely Tapped out and not only do they have ZERO net worth, they are in DEBT for THOUSANDS or even Ten’s of Thousands of dollars.
9. The National Debt is OUT OF CONTROL and into the Trillions of dollars now. The Interest alone on this Debt is around 1 Billion a day.
10. America cannot recover from the point we are at today. It’s just impossible at this point so the economy will completely and totally collapse in early 2011.
The ONLY solution is to create a NEW CURRENCY. The US Dollar as we know it will be worthless and a NEW form of currency will have to be created to take it’s place. What will it be? Perhaps a national credit line? Perhaps Food Stamps? Perhaps Gold? Who Knows?