Who else thinks the U.S. is on the verge of economic collapse?

[lazur]

Just curious. I got to talking to a good friend of mine last night and we both agree that the signs for the worst economic crash in history will happen in the U.S. in probably less than two years.

Here's are a couple of good articles I dug up about it:

http://www.infowars.com/articles/economy/economic_crash_us_officially_begun.htm

http://www.vlead.net/articles/business02726.htm

So, the tips to minimizing personal liability during a crash such as this, which analyists are predicting will last DECADES - not just months or years - are:

- Buy an economical car and pay it off.
- Pay off your credit cards.
- Get out of the housing market if you bought your house within the last five years and the value of your house exceeds by more than three times your annual gross income.
- Rent instead of buy, if you're considering buying a home.
- Store up two years of food, particularly non-perishables.
- Quit smoking and exercise to ensure maximum health for when health care also collapses during the crash.
- Own a gun.

Interesting, yet disturbing, stuff.

 

[Matt]

Wow, this kind of thread just seems so off for you Lazur.

 

[jaguarr]

The thing that's out of whack right now with the U.S. economy is the prime lending rate. It's getting too high (though certainly not as high as it's highest points have been), and it's killing the market for real estate, auto purchases, and other high-end loans. Also, a lot of the higher paying jobs such as engineering have been off-shored, reducing the average American's salary so people can't afford to spend like they once did. If we keep offshoring American white collar jobs and knowledge wholesale and doing things to drive the prime lending rate up further, we could wind up in some serious trouble.

jag

 

[BAH HUMBBUG!]

The thing that's out of whack right now with the U.S. economy is the prime lending rate. It's getting too high (though certainly not as high as it's highest points have been), and it's killing the market for real estate, auto purchases, and other high-end loans. Also, a lot of the higher paying jobs such as engineering have been off-shored, reducing the average American's salary so people can't afford to spend like they once did. If we keep offshoring American white collar jobs and knowledge wholesale and doing things to drive the prime lending rate up further, we could wind up in some serious trouble.

jag

I completely agree with that. A lot of US based companies are just stupid. I mean sure it makes perfect sense for them to saves butt loads of money, but all of these CEOs, Presidents, Board Members and so on have some sort of degree and college education, not to mention that I am sure they know how the economy works in depth. More jobs in the US, means more money for it's citizens which makes for a stronger economy. In the simplest of terms.

 

[Matt]

I completely agree with that. A lot of US based companies are just stupid. I mean sure it makes perfect sense for them to saves butt loads of money, but all of these CEOs, Presidents, Board Members and so on have some sort of degree and college education, not to mention that I am sure they know how the economy works in depth. More jobs in the US, means more money for it's citizens which makes for a stronger economy. In the simplest of terms.

But right now the unemployment rate is 4.8 %. So most Americans DO have jobs. Until we reach the point where a good part of their profits are being hurt by a high unemployment rate, they simply won't care.

 

[jaguarr]

I completely agree with that. A lot of US based companies are just stupid. I mean sure it makes perfect sense for them to saves butt loads of money, but all of these CEOs, Presidents, Board Members and so on have some sort of degree and college education, not to mention that I am sure they know how the economy works in depth. More jobs in the US, means more money for it's citizens which makes for a stronger economy. In the simplest of terms.

They don't care about the US or it's citizens, though. All they care about is pleasing their shareholders (a HUGE portion of which are not U.S. based) and that means maximizing profits while reducing operating costs no matter what that takes. If they don't, they won't get the exorbitant bonuses they get in addition to their rock star salaries. A lot of major U.S. corporations are posting record high profits while at the same time posting record low operating expenses. When you're offshoring a good chunk of your labor force and not giving your U.S. workforce raises or bonuses year after year (or very, very little of those to the point that it doesn't even keep up with the COLA increases happening year over year in the economy), yet your CEO, VP's and board members are raking in more cash than ever before, something's wrong. Corporate America is horribly broken and, unfortunately, our government has helped break it by catering to the lobbyists and making it easy as pie for corporations to move their work offshore, sometimes to countries that have a very volatile history with the U.S. like China, the Philippines, the Ukraine and Russia regions and Vietnam.

jag

 

[jaguarr]

But right now the unemployment rate is 4.8 %. So most Americans DO have jobs. Until we reach the point where a good part of their profits are being hurt by a high unemployment rate, they simply won't care.

Yeah, but a lot of those jobs people are working don't pay as well as the jobs that were offshored used to. There are a lot of people in this country working two jobs just to make ends meet to provide for their families, and no, they're not living exorbitant lifestyles. So that low unemployment rate is deceiving.

jag

 

[BAH HUMBBUG!]

But right now the unemployment rate is 4.8 %. So most Americans DO have jobs. Until we reach the point where a good part of their profits are being hurt by a high unemployment rate, they simply won't care.

Wow, is it really that low right now? I knew it was down, but didn't know it was that low. Anyway, I don't buy what those guys are selling in the article, sure I only have one semester of econ under my belt but I just don't see things being that serious in the US economy. From what I do know about how the economy works, that just doesn't seem logical.

Of course I could be very wrong.

 

[jaguarr]

The problem is if one company stopped outsourcing, then it's not going to make a difference. It's going to take several companies (possibly even a whole movment) to bite the bullet and stop outsourcing to solve the problem. I could see some sort of legislation having a real impact, but then you've got government interfering w/ free trade and business, which a can of worms in itself.

The government already interfered with free trade when they basically started playing the role of liaison to help make these offshoring deals happen and work for a lot of U.S. companies. They also laxed export laws and other restrictions that made offshoring difficult.

jag

 

[lazur]

The most disturbing thing, and telltale sign, for me is the housing market. Housing is EXTREMELY overvalued right now in this country. Part of the crash will see unprecedented levels of bankruptcy amongst those who have bought a house in the last five years, where the house exceeds their annual gross income by between 4 and 8 times. Could you imagine?

When the crash happens (note that I don't say 'if'), analyists are assuming that the most likely scenario is for our income taxes to be increased by as much as 100% (double). Given the margin of available cash after debts that most households maintain, which is very thin because of credit cards, loans, mortgages and car payments, all or most of these households will wind up in bankruptcy, and potentially homeless.

I don't know about you, but I'm taking a serious look at my own personal financial portfolio and debts, and I will be making some major changes.

 

[BAH HUMBBUG!]

Screw it, let's just bring Communism back with a bang

 

[jaguarr]

It all makes me want to move to Canada. Outsource myself.

Canada's not a whole lot better. They've done some of the same stupid sh1t.

I don't know that it will get as bad as the guys writing these articles are projecting. I do think it will get somewhat ugly, though. My wife and I have always run very lean where debt is concerned and kept our lifestyle and housing well within out financial means. We recently decided to pass on another house that we absolutely LOVED because the interest rates are so ridiculously, stupidly high.


jag

 

[lazur]

Wow, is it really that low right now? I knew it was down, but didn't know it was that low. Anyway, I don't buy what those guys are selling in the article, sure I only have one semester of econ under my belt but I just don't see things being that serious in the US economy. From what I do know about how the economy works, that just doesn't seem logical.

Of course I could be very wrong.

The value of a dollar will be the first thing to plummet. It's already heading dutifully in that direction, because right now the value of a dollar is completely overinflated overseas.

China could completely flood the world economy with Chinese currency and probably reduce the value of the US dollar by 50% overnight.

 

[BAH HUMBBUG!]

The value of a dollar will be the first thing to plummet. It's already heading dutifully in that direction, because right now the value of a dollar is completely overinflated overseas.

China could completely flood the world economy with Chinese currency and probably reduce the value of the US dollar by 50% overnight.

Sick.

 

[Arkady Rossovich]

The American Govenment is bankrupting the country with Iraq.Where does that money come from.......or better yet.How will the debt be payed off?The baby boomers wont get the social security..that`s already a mess.Europe wont lend the USA money,thanks to Bush.What now?

 

[Kelly]

No, we are not on the verge of collapse.

 

[Kritish]

The most disturbing thing, and telltale sign, for me is the housing market. Housing is EXTREMELY overvalued right now in this country. Part of the crash will see unprecedented levels of bankruptcy amongst those who have bought a house in the last five years, where the house exceeds their annual gross income by between 4 and 8 times. Could you imagine?

When the crash happens (note that I don't say 'if'), analyists are assuming that the most likely scenario is for our income taxes to be increased by as much as 100% (double). Given the margin of available cash after debts that most households maintain, which is very thin because of credit cards, loans, mortgages and car payments, all or most of these households will wind up in bankruptcy, and potentially homeless.

I don't know about you, but I'm taking a serious look at my own personal financial portfolio and debts, and I will be making some major changes.

One of the many reasons I'm proud to own an apartment. I don't think I'll ever own a house.

 

[lazur]

No, we are not on the verge of collapse.

Economic collapse, yes. What it will result in, we'll have to wait and see. There are many telltale signs that exist now, which didn't exist just 10 years ago, least of which are the exaggerated value of a dollar, housing bubble, which is about to crash, the amount of 'outsourcing' we do with employment to other countries, which right now is greater than at anytime in history, and all this does is add to the economies of other countries.

I predict that the value of the dollar will be 50% of what it is today in less than 18 months. When that happens, grab your ankles. We'll see a basic breakdown of society with the lack of law enforcement, since the govt will no longer be able to afford to pay them, and a severe shortage of medical care.

At this point, tbh, I'm scoping out property in Costa Rica.

 

[Kritish]

Economic collapse, yes. What it will result in, we'll have to wait and see. There are many telltale signs that exist now, which didn't exist just 10 years ago, least of which are the exaggerated value of a dollar, housing bubble, which is about to crash, the amount of 'outsourcing' we do with employment to other countries, which right now is greater than at anytime in history, and all this does is add to the economies of other countries.

I predict that the value of the dollar will be 50% of what it is today in less than 18 months. When that happens, grab your ankles. We'll see a basic breakdown of society with the lack of law enforcement since the govt will no longer be able to afford to pay them and a severe shortage of medical care.

At this point, tbh, I'm scoping out property in Costa Rica.

Um, Costa Rica is taken care of by the United States. You'll feel whatever happens to the US from down there. I've been scoping out Switzerland for the longest time...

 

[lazur]

Um, Costa Rica is taken care of by the United States. You'll feel whatever happens to the US from down there. I've been scoping out Switzerland for the longest time...

Costa Rica has its own economy, separate from the U.S. While it does receive some financial support, going without it isn't a mitigating factor to a healthy existence as a country.

 

[Kritish]

Costa Rica has its own economy, separate from the U.S. While it does receive some financial support, going without it isn't a mitigating factor to a healthy existence as a country.

Um we're their army, what happens if things get bad enough that we can no longer take care of Costa Rica and someone like Venezuela invades?

 

[Hobgoblin]

Just curious. I got to talking to a good friend of mine last night and we both agree that the signs for the worst economic crash in history will happen in the U.S. in probably less than two years.

Here's are a couple of good articles I dug up about it:

http://www.infowars.com/articles/economy/economic_crash_us_officially_begun.htm

http://www.vlead.net/articles/business02726.htm

So, the tips to minimizing personal liability during a crash such as this, which analyists are predicting will last DECADES - not just months or years - are:

- Buy an economical car and pay it off.
- Pay off your credit cards.
- Get out of the housing market if you bought your house within the last five years and the value of your house exceeds by more than three times your annual gross income.
- Rent instead of buy, if you're considering buying a home.
- Store up two years of food, particularly non-perishables.
- Quit smoking and exercise to ensure maximum health for when health care also collapses during the crash.
- Own a gun.

Interesting, yet disturbing, stuff.

Wow....I actually...well....am thinking along the same lines as lazur.

I dont know about mass chaos like lazur described but I have a bad feeling about all of the money we are pouring into Iraq (that we know about). Hundreds of billions of dollars are being pumped into trying to stabilize that little sandbox and we keep refusing to raise taxes or stop borrowing money from China and Japan. Hate to say it, but the best way to put this into a picture is to have China b*tch slapping the USA and a big OWNED over the pic.

 

[GoldenAgeHero]

The thing that's out of whack right now with the U.S. economy is the prime lending rate. It's getting too high (though certainly not as high as it's highest points have been), and it's killing the market for real estate, auto purchases, and other high-end loans. Also, a lot of the higher paying jobs such as engineering have been off-shored, reducing the average American's salary so people can't afford to spend like they once did. If we keep offshoring American white collar jobs and knowledge wholesale and doing things to drive the prime lending rate up further, we could wind up in some serious trouble.

jag

wow, I'm ****ed. well i already knew this wa shappening, but damn.

 

[Venom'sDad]

OMG!!!.... you all don't have a clue of what you all are talking about, nor the understanding of what is happening. LOL!

 

[BAH HUMBBUG!]

"Don't, don't believe the hype!"