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Goodbye Benefits... Hello "Interesting" Times
Don’t they
get it?
It’s truly
bizarre to me that the powers that be cannot figure out WHY the average
American is growing increasingly disenfranchised with how things are going.
Let’s do a
quick review of the facts:
1) Food
stamp usage at record highs
2) Real
unemployment around 17%
3) Food
and energy inflation on the rise
4) Incomes
and housing prices falling
5) Wall
Street bonuses at record highs
6) The
Fed continuing to pumping hundreds of billions of dollars into the banks while
proclaiming a “recovery”
Seriously, a
second grader could connect the dots here and see how this will work out (hint:
BADLY).
What’s truly
strange is to see allegedly educated, intelligent people like Ben Bernanke talk
as though the stock market is somehow an economic indicator. I’m sure it’s a
great indicator of prosperity if you work at Goldman Sachs or are a corporate
insider at a publicly traded company.
However, for
those Americans who DON’T have flawless trading records (or stock option grants)
stocks have NOTHING to do with your day-to-day activities.
After all,
your typical American DOESN’T buy food or pay their mortgage with the profits
from their day-trading; they pay with the money they earn from their JOB.
On that
note, get ready for some “interesting” times.
I’ve been
warning for months that things are going to get “interesting” in the US.
After all,
with over 42 million folks on food stamps and millions of others one paycheck
away from being homeless, it was only a matter of time before something broke.
In fact it
just did.
As of
yesterday, people who have been unemployed for more than six months began
losing their unemployment benefits. Whether or not you agree with the concept
of unemployment they’ve been the one thing keeping millions from homelessness
and desperation.
Desperate people do desperate things. And
with two million Americans about to lose their benefits this month, desperation
is going to be on the rise BIG TIME going forward.
On that
note, NOW is the time to be preparing. I’ve been urging my subscribers to
stockpile some food, water, cash, and bullion for well over a year now. I do
not believe we’re heading into some Mad Max/ Armageddon times, but I DO think
that there will be periods of shortages in the US in the future. And those
shortages will not be handled well by most folks.
As a
personal anecdote, earlier this year the area I live in suffered a severe snow
storm that made it difficult for shipping trucks to get in to town. The grocery
stores were virtually picked clean within 24 hours. I shudder to think what
would have happened if this has lasted more than a day or two.
Be careful,
Graham
Summers
PS. If
you’re getting worried about the future of the stock market and have yet to
take steps to prepare for the Second Round of the Financial Crisis… I highly
suggest you download my FREE Special Report specifying exactly how to prepare
for what’s to come.
I call it The Financial Crisis “Round Two” Survival
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protection, which investments to own and how to take out Catastrophe Insurance
on the stock market (this “insurance” paid out triple digit gains in the Autumn
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Again, this
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Corrrect - the stock market is not the economy. Stock market leads the economy. It crashed in 2008 before the economy did in 2009, and it rebounded in 2009 before the economy did in 2010.
Newsflash: stocks keep going up. What does that mean for 2011's economic outlook?
:D
Organized crime has zero to do with education.
Smart people with an agenda to steal from everyone else is still stealing.
The rule of law has been circumvented by bailouts for failure because of greed and corruption. Pick a branch.
Rome is burning becuse of these premises.
Most of these comments are f**king unbelievable....
You can't "live" on unemployment. Try living on $225 a week. Just try it. Try it for a month and come back here and make your asinine remarks. I dare you.
It's not easy but I'm doing it now. If you already own a class a motorhome or good sized travel trailer, you can stay comfortably in most cities for less than $500 a month, all utilities included. Another $350 for food and you're set.
It's out of most peoples' comfort zones to live this way, but if you survived college, it's not much different.
You are aptly named. Speaking the truth no one wants to hear.
http://fileunemployment.org/unemployment-benefits-comparison-by-state
Few individuals are able to collect the maximum benefit offered by their state.
Some states barely pay anything.
If you have a working spouse or are living at home with your parents you won't fall into poverty immediately.
If you are a single parent, you are in real trouble.
Also note that states often Cap Unemployment Insurance payments to certain percentage of the Average wage. In a low wage state this means someone who loses a good job gets a pittance. Not enough to keep up with the payments. Yet I'm seeing a cry to cut off the Unemployment at the earliest gets top billing vs. curbing corporate welfare and payments to foreign leaders.
Okay, I understand the entitlements running out. What I don't understand the compliance of a lot of people allow themselves to sit back and do nothing about it. Even as a day trader and general business guy I can find lots of stuff to do. At least around here.
In May, pick strawberries. You hit the field at 5:30-6:00 pick as fast as you can and load the trucks that are going to roadside stands and grocery stores, and make $100 cash for three hours work.
August-Sept, pick apples, same shit. Faster you pick the more money you make.
Of course it's summer time stuff, but it's cash under the table, keeps a body fit, fresh air, sunshine and I get to practice my spanish with the guys they fly in from Mexico because Canadians, especially those on the welfare role, don't work famr labour. Even if it's paid $20 an hour. my guess people are afriad of a little hard work like it'll infect them or something. In May I am one of the only white guys around next to the farm owners.
For year round work, farms are always looking for farm hands. Pay isn't great, but room and board is included. most of the guys I know with dairy farms usually have a house on site for the farm hand and their family. Plus free milk and free/cheap meat.
Good article. What was it Mr. Adams said - Facts are stubborn things...here are a few charts which support the author -
Point #2) US Total Unemployment Rate - Including Marginally Attached Workers Plus Total Employed Part Time for Economic Reasons
Point #3) US Inflation Rate for Food and US Inflation Rate for Energy
...with so many "educated" in the numbers, data, charts, trends, whatever, why is it that they can provide themselves (1 person) or someone they know (1 person) as an adequate sample to negate the millions that are on the verge of homelessness...and completely disregard the unlawful and greedy tactics that have been used to bring about the current state of the global and local economic situations that all are now experiencing? as far as i can tell, these big banks and big name crooks and big name corporations have been on the government dole for well over 99 weeks...but that seems to be ignored in the "i know someone" arguments that i read hear and there and everywhere...and it is obvious this comment will be ignored by them as they keep driving by those they see in desperation as if it is all their fault and perhaps touch a few buttons and send crumbs to a non-profit somewhere to clear their conscience while breaking little laws along the way...so sad that fools are and shall ever be foolish and blind to what stares back at them in the mirror. and i am thankful, so thankful, that i don't think like them.
When people who are ill-prepared to experience deep existential dislocations in their lives lose their jobs, then fall behind on their bills, end up being forced to sell possessions, etc to keep food on the table typically they enter personal emotional depression and lose the ability to think creatively, take risks, etc.
Mental focus stays on old patterns of "survival" such as "finding a job" and "sending out resumes". Such patterns may also include buying stuff to feel better.
Most of us are not the same kind of people our grand parents and great grand parents were when they faced hard times.
In my opinion "sending out resumes" is what people do when they are pretending to look for a job. Because it's easy (you never have to leave your house) and you can tell people how hard you are looking for a job ("I send out hundreds of resumes and I don't get any responses"). Companies these days do not hire based on resumes. Hell, in most cases a human will never read your resume. A computer may scan it for certain keywords but I'm guessing 99% of resumes received are discarded immediately. To find a job these days you have to get out there and make contacts, go to job fairs, use your family and friends to get contacts that lead to other contacts that might possibly point to a job.
Good advice.
@What’s truly strange is to see allegedly educated, intelligent people like Ben Bernanke talk as though the stock market is somehow an economic indicator
still I think you're an idiot.
why would Mr Bernanke give a shit about useless rednecks ???????
half population of US dont even pay federal income taxes..
they shit, they use roads, they use all of it around but dont put a cent for it..
if tomorow somehow all those unempl suckers will disapper who would notice ?
i wont.. they just junkies.. no use at all..
alx
they shit, they use roads, they use all of it around but dont put a cent for it..
Bullsh*t. They pay gas taxes (both state and fed) for the road, and property taxes for the sewer and schools, and sales tax to pay for whatever is left over.
They may not pay income tax, but the income tax revenue is a match to the welfare transfer payments. Don't forget that they pay 15% or so to SocSec.
And one thing thing the 'redneck' tends to do, is volunteer for the military. Hard to put a price on that.
That half of the income tax filers don't pay income tax doesn't mean they get off free.
Dude you can't be serious. You seem like your trying so Ill cut you some slack. Income taxes have nothing to do with roads. There is supposed to be a tax for every function of our society that inturn off sets it, IE: Tax on gas(state/federal) = (state/federal) roads fixed or expanded.
Another easy one: Property Tax = Public Schools
I just tried to look up what prepared food tax is used for and can't find it. This I suppose highlights what our issues are in the States: Our governments (state and federal) are increasing taxes on everyone. Adding more taxes while re-routing existing taxes to pet projects all while going above and beyond borrowing from foreigners. All to simply spend year after year with what seems to be no actual return on investment.
We all pay taxes in one form or another and multiple times, its just a matter of how much more. I would also throw in quality of life, which I think is getting worse for most.
That little bunny avatar sure looks tasty.
We have become the "United States of Malfeasance" - anyone who has lost their livehood as a result of such malfeasance should not be derided. Right on, Fernley Girl!
In both Zimbabwe and Serbia massive inflation was preceeded by massive monetary give aways to political supporters.
I live in a town where the gubmit unemployment rate is 19.1%. The lumber yard, the hardware store, the video store, and more, are all gone. There are at least 30 NOD's in the paper every week.
In many of the families here both the husband and wife have lost their jobs. In the last two years the line at the food bank has gone from a handful of people to a line wrapped around the building. These people had an average American life...nothing fancy. It doesn't take long to lose everything when you didn't have much to start with.
For those of you who think people on unemployment benefits are out buying flats screens and sitting around on their arses, think again. They're losing their homes, their families are being split up when they send the kids to stay with their grandparents. They've sold their car (and some are living in the other one). They're not bums.......they are the face of the restructuring of America. And, if the banks have their way, they'll eventually get to all of us. They just need a little bit more money....right?
Here's my question to you and them. If things are so awful where they live and there is no hope to find work of any kind, why don't they move somewhere where they can find work? People used to do that all the time. I'm not being flip or callous. Some industries and some town are never coming back to their previous levels. Staying in a dying town until you starve and/or freeze to death doesn't sound like a good plan.
Dog, Becareful. Shhh....
Many people will figure this out sooner rather than later now that the thin, thin safety net of extended unemployment is pulled-out from under them.
Hundreds of thousands will walk away from leases and mortgages.
This may well be the the tipping point for a double-dip and lead to a full on crash.
Last week in January 2011 will see more than 2+ M without extended benefits.
But, what is really important is that no millionare is left behind on the extension of the Bush Tax Cuts.
Yes FG, they will get to all of us if we are not careful
And our self-righteous friend sbenard, who started his/her own business, may well find himself without customers.
I know a lot of people like him/her who were suddenly "self employed" entrepenurial geniuses and latched on to some low barrier to entry "business" with a power washer, trailer and mower, etc...
If they weren't undercutting long time established businesses, they'd have no work at all.
If they didn't have an employed spouse, they'd be out on the street.
That about explains it. Those numbered items represent my sentiments exactly!
While the rest of us were saving a little each month for a rainy day, the 99ers were buying iPods and big screen TVs so they could vegitate like couch potatoes while waiting for another unemployment check. Sorry that I don't feel much sorry sentiment for them! Now, they may have to get off the couch and pound the pavement to WORK for their daily bread!
And for those who think I'm just cruel for saying this, I will remind them that I was laid off a few years ago, and my unemployment benefits ran OUT after just 26 weeks. But I had saved my money for years, so I was able to survive and eventually start a business. You don't achieve that by feeling "entitled" to the fruits of someone else's labor, but by working your butt off instead! Now get out there and DO IT instead of crying about how entitled you feel!
Your story is great. And having been through it you know that it can be hard to just find work. Instead of passing judgment on all those who didn't quite do it your way, realize that you might have been on the higher end of the bell curve. Take pride in that. But don't go passing judgement on others who weren't as "smart" as you.
Why so much rage at the unemployed. Last I checked the only people around here that feel entitled is the Politicians and Bankers.
Confused, yes you seem to be. If you really want to find a job, 99 weeks is enough time if you at least at all hirable.
A little bit of gov help for them, yes. But to get paid to do nothing at all for all times, NO. The rage is that all the people that are doing the right thing by working hard and paying all their taxes are getting the shaft by the lazy buffoons that won't get off their asses to find work.
Sorry if that offends you but if so it is that the truth hurts methinks.
http://www.nytimes.com/2010/11/30/business/global/30lanka.html
Apparently its not just manufacturing jobs.
No, it doesn't offend me. And yes, there is merrit to what you are saying. But lets be honest, finding work at this point in time isn't that easy. The relocation of jobs overseas sort of ties into this no? (along with a ton of other factors)
And for the record, I don't feel entitled. I no longer live in the US. So I've voted with my feet as it were. I also haven't junked anyone related to this conversation. Thank you for your response though, I appreciate that it wasn't an attack on a difference of opinion.
Desperate unemployed for 99 weeks, yfkm?
Sorry but unemployment benefits should have a pre-set cut-off date right from the start date. Or a phase-down payment rate at least.
Problem is that too many unemployed (not all) have become way too comfortable living on the government tit. Many have now lost the will to work and have become far too lazy to probably even hold a job if they got one.
I know it's tough love but it's time politicins to make the hard choices but in the end, the right choices.
Will it happen, no, because politicians are, well politically motivated and serve only to their own best interests. Not the country's, unfortunately.
Still pushing the "lazy unemployed" are the problem crack eh?
3 junk-n-runners at this point. effing cowards.
@Moe
I look around and wonder how many Americans could even handle a job requiring even modest exertion. If all those offshored jobs returned tomorrow, who the heck would fill them?
Thats a bit unfair, I would think. In the last few years, have you lost a job? Do you know how difficult it is to find one? Sending out hundreds of resumes, only to get a few responses. It can be quite disheartening. So before you make statements like "too many," remember that we are really not all that different from each other. Your ability to empathize is what sets you apart.
And what is the "right" choice. Because I'd guess the only thing keeping people from burning cities down is that they aren't starving.
Unfair?!? JHC. Seriously?
Yeah. I was. Thanks for helping to further the discussion.
I think it's difficult for a lot of unemployed to find work because many of them have a narrow criteria for jobs they will accept. What 99 weeks of unemployment benefits allows you to do is to be picky about job opportunities. As an anecdote, I know a woman who has been unemployed for 9 months. She has an MBA. She was recently offered an administrative job at a company with a starting salary of $30K (she's 23 years old by the way). She turned the job down because as she put it "I won't take a job that offers less than $60K". She is exactly the kind of person who complains about how difficult it is to find a job. Now, if she wasn't getting $2000 a month in unemployment benefits she probably would have been more motivated to lower her standards a bit and take the $30K job.
I understand what you are saying. There are a few posts beneath this that articulate what I cannot in a way that is more meaningful.
But to your point: Why should this individual be forced to settle for less, when so many others (ie - TBTF, Politicians, etc.) are not forced to do the same? I know my argument is weak. I'm not arguing for it. I'm just suggesting that perhaps some of this anger is misplaced somewhat.
Someone correct me if I'm wrong, but I believe politicians can collect unemployment if they lose an election. Additionally, they can collect if they choose not to run for another term.
This is why they should settle for a paying job - because nothing has changed with our boom-bust economic system. If anything, the instabilities are fragilities are greater than they were in 2008. When the next bust comes, and it will, what do you think will happen to unemployment benefits when federal, state, and local government revenues collapse? And if you have been unemployed for years, with atrophied job skills, and no business contacts then you are screwed. Then you literally will be homeless and starving. If you're waiting for justice to rain down on TPTB, forget about it. They will be on their private islands sipping Mai Tais. The little guys need to look after themselves, and the best way to that is to have a useful (useful, not necessarily high-paying) job.
Fair enough. I can't dispute that logic. Well stated sir.
jobless benefits will be extended...then what?
Rinse and repeat.
Until the bond market and then the currency collapses.
We got the memo. While Rome been burning, my family's been fiddling with our growing supply of "food, water, cash and bullion for over a year now." Whee, this survival stuff is easy.
Mogambo Guru! There you are!
MG is my Master, I but a Grasshopper.
Jobless benefitss WILL be extended, no way they let them expire
Benefits will be extended in return for Bush Tax Cut extensions.
Sounds fair don't you think?
</sarc>
Absolutely fair, as long as you think an Airstream is the same thing as a Gulfstream.
I think the BenBernank is afraid people will take their 401Ks out of the market.
Mine is already out. I gotta get off the sidelines before the end of the year.
Summer '07. Including selling my house in VEGAS.
You have NO idea how many times I had to hear people call me crazy for selling my house and pulling out my 401k at 29 years old, now you have NO idea how many times I have to hear them call me "lucky". Connect the fucking dots people.
You mean before the FEDS force the sheeple to put them into USTs?