There are those who actually believe we emerged out of the recession and are worried we are going into another. Well, we aren’t. We never got out of the first one and it isn’t a recession, but the early stages of another Great Depression. While we have more social safety nets in place, they aren’t going to last very long at this rate.
One myth on the Left is that Social Security is a “lockbox” and all the funds are safe there to pay it out. If that were true, how could President Obama threaten to not send checks out next month? Note that this is a threat in political speak and his verbal tones suggest he was eager to issue it. While it is a despicable thing to do, it does unmask the fallacy of the lockbox. Another Democrat President ended that isolation of Social Security funds from the general fund back in the 1960’s – Lyndon Baines Johnson. They are now controlled at the whim of our government and are not guaranteed.
But the most interesting thing about this is that there will be money to spend on Social Security and other needed things even if we can’t borrow money. It means drastic cuts elsewhere, but that is at the discretion of the Treasury. Which means it is at the discretion of the President. In other words, Obama is threatening to cut off benefits for political gain in the 2012 elections. Some servant of the people he is.
Being on Social Security Disability, this hits me directly. Loss of Social Security means no food, no shelter, no Internet, and the loss of everything I have. I can’t say I’m surprised how cavalier the President is about the people who will be affected as he is part of the Chicago Machine which is all about thuggery. The willingness to hurt the elderly and disabled just to damage the Republicans shows the quality of Obama’s character.
Sadly, that is only the beginning of our problems. The debt ceiling will mean nothing in the near future because an economic catastrophe has already begun across the globe. Large things tend to be slow moving and people don’t notice the changes until they hit critical mass. And much like an avalanche, they can’t be avoided.
The jobs report for June in the United States is an unmitigated disaster. 18,000 jobs were purportedly created when we need 150,000 new jobs created each month just to match population growth. Notice I used the word “purportedly.” At The NY Post it is revealed that 131,000 jobs were estimated out of thin air to pad the number upwards. In the United Kingdom, their latest report on employment isn’t quite as grim, but it isn’t good.
Meanwhile, the PIIGS crisis in the European Union continues unabated. Ireland just got relegated to junk bond status and Greece continues to be a bottomless sink hole despite hundreds of billions of Euros dumped into it. I don’t even want to discuss the problems China is having with inflation and bad loans. Two ballyhooed stimulus packages have failed to do anything positive at all and now they are talking about another one, QE3. Throwing money that doesn’t exist at something caused by spending money that doesn’t exist is not a sign of intelligent or even sapient behavior.
What will the second Great Depression look like? That’s hard to tell, since there has been so much wealth generated worldwide since the end of World War II. As mentioned before, there are safety nets in place that weren’t previously in developed countries. But there has never been so much debt in place as we have today. It will hit slower than in the 1920’s and 30’s and it has already begun.
We have much more to lose, so the possibility of it being more dramatic and catastrophic increases due to the simple fact the masses aren’t acquainted with real hardship anymore. What happens when food supplies become permanently disrupted? What happens when fuel is too expensive to allow easy migration to better places? What happens when electricity becomes unreliable with rolling blackouts the norm? What happens when groups begin hoarding resources? Those are all questions the world is going to have to face very soon.
Here in the U.S., we have a cultural divide that is now unbridgeable. The Left have gone so far away from common ground with the middle and right that the political frictions we see now are going to look quaint by comparison when the real crisis hits fully. Though the truth is the middle will do whatever the group in charge tells them to do, so really they don’t matter. It is a sad thing, but the result of apathy/fence sitting is the loss of any real say in things.
My prediction is greater division and rising violence, both of which have already begun. Frustrations will continue to grow and the political class will continue to play games as long as they are comfortable. By the time anything will be attempted seriously, it will be too late.
So where does that leave the little guy? Up a creek without a paddle in most cases.
All we can do is prepare ourselves for the worst outcome and pray for the best. Storing food for more than threes days of supplies is a beginning. Having the ability to protect yourself wherever you are means exercising your 2nd Amendment rights here in the States, no matter how you feel about firearms. Most of all, you need to be spiritually prepared.
In God you can trust, but not man. I wish people would remember that whenever the latest demagogue of any political persuasion shows up.
