This article was written by Michael Snyder and originally published at his Economic Collapse blog.
Editor’s Comment: As the country continues to come to terms with Trump’s White House victory, it is worth keeping a sober note about the economy. Regardless of politics, the stimulus QE train is coming to an end, and there is nothing else to keep the economy alive. It seems that the megabanks are prepared to pick up the pieces, as the debt super cycle comes to term.
What is coming will hit the American people very hard. Trump and his new party will make the perfect scapegoat, as the elites will tie rising populism to what may prove to be a new wave of the economic collapse – despite the fact that the problems are systemic and span back decades.
11 Very Depressing Economic Realities That Donald Trump Will Inherit From Barack Obama
by Michael Snyder
It would be a grave mistake to understate the amount of damage that has been done to the U.S. economy over the past eight years. In this article, I am going to share some economic numbers with you that are extremely sobering. Anyone that takes a cold, hard, honest look at the numbers should be able to see that our economy is in terrible shape. Unfortunately, the way that we see things is often clouded by our political views. Up until the election, Democrats were far more likely then Republicans to believe that the economy was improving, but now that is in the process of completely reversing. According to Gallup, only 16 percent of Republicans believed that the economy was getting better before the election, but that number has suddenly jumped to 49 percent after Trump’s election victory. And the percentage of Democrats that believe that the economy is getting better fell from 61 percent to 46 percent after the election. Here are some additional details from Gallup…
After Trump won last week’s election, Republicans and Republican-leaning independents now have a much more optimistic view of the U.S. economy’s outlook than they did before the election. Just 16% of Republicans said the economy was getting better in the week before the election, while 81% said it was getting worse. Since the election, 49% say it is getting better and 44% worse.
Conversely, Democrats and Democratic-leaning independents’ confidence in the economy plummeted after the election. Before the election, 61% of Democrats said the economy was getting better and 35% worse. Now, Democrats are evenly divided, with 46% saying it is getting better and 47% saying it is getting worse.
The truth, of course, is that the result of the election did not somehow magically alter the outlook for the U.S. economy.
We still have a giant mess on our hands, and the following are 11 very depressing economic realities that Donald Trump will inherit from Barack Obama…
#1 Nearly 7 out of every 10 Americans have less than $1,000 in savings. That means that about two-thirds of the country is essentially living paycheck to paycheck at this moment.
#2 Reuters is reporting that U.S. mall investors are poised to lose “billions” of dollars as the “retail apocalypse” in this nation deepens.
#3 Credit card delinquencies have hit the highest level that we have seen since 2012.
#4 Approximately 35 percent of all Americans have a debt that is at least 180 days past due.
#5 The rate of homeownership has fallen for eight years in a row and is now hovering near a 50 year low.
#6 The total number of government employees now outnumbers the total number of manufacturing employees in this country by almost 10 million.
#7 The number of homeless people in New York City (where Donald Trump is from) has hit a brand new record high.
#8 About 20 percent of all young adults are currently living with their parents.
#9 Total household debt in the United States has now reached a grand total of 12.3 trillion dollars.
#10 The total amount of corporate debt in the U.S. has nearly doubled since the end of 2007.
#11 When Barack Obama entered the White House, the U.S. government was 10.6 trillion dollars in debt. Today, the U.S. national debt is currently sitting at a staggering total of $19,842,173,949,869.58.
Despite nearly doubling the national debt during his eight years in the White House, Barack Obama is going to be the only president in United States history to never have a single year when U.S. GDP grew by at least three percent.
So will Donald Trump waltz in and suddenly turn everything around?
Just like when George W. Bush was elected, there is a lot of optimism about the future right now among Republicans.
And in 2017, Republicans are going to have control of the Senate and the House in addition to being in control of the White House.
But does that mean that they will actually get anything done?
For a moment, let’s review what didn’t happen the last time the Republicans were in this position. The following is an extended excerpt from an article by author Devvy Kidd…
—–
The Republicans had control of both houses of Congress part of the time during Bush, Jr.’s two terms. Did they lock down our borders? NO.
Did they pass legislation to stop ALL funding for illegals which would self-deport millions of liars, cheats and thieves? NO. (READ, please: How to Self-Deport Millions of Illegals)
Did they stop trillions in unconstitutional spending? NO.
Did they get rid of any of Clinton’s unconstitutional Executive Orders? One or two but otherwise let Comrade Bill Clinton crap in our faces.
Did they get rid of one unconstitutional cabinet like HHS, Department of Education and EPA? NO.
Did they stop the unconstitutional foreign aid? NO.
Did they stop unconstitutional spending for Planned Parenthood? NO. Congress just continues to use borrowed money to spend more debt.
Did they stop unconstitutional spending for the gigantic hoax called global warming or climate change? NO. Trump: The Left Just Lost The War On Climate Change
Did Bush, Jr., get us out of all the destructive trade treaties killing American jobs? NO.
Did they crack down on visas bringing in tens of thousands of foreign workers when American workers who want to work are left in the unemployment line? NO.
Did they stop more and more federal regulations strangling America’s businesses? NO.
Did they impeach one single activist judge destroying our freedom and liberty? NO.
A Republican controlled Congress with a Republican in the White House and they did virtually NOTHING to restore America to a constitutional republic and constitutional spending.
—–
So will things be any different under a Trump administration?
We shall see.
There will be tremendous pressure to maintain the status quo in many instances, because the process of fixing things would undoubtedly make conditions worse in the short-term.
A great example of this is the national debt. As I discussed yesterday, the only reason why we are able to enjoy such a massively inflated standard of living in this country is because we have been able to borrow trillions upon trillions of dollars from the rest of the world at ultra-low interest rates.
If the federal government started spending only the money that it brought in through taxes, our ridiculous debt-fueled standard of living would begin collapsing immediately.
We consume far more wealth than we produce, and the only way that we are able to do this is by borrowing insane amounts of money.
Either Donald Trump will continue to borrow money recklessly, or we will go into a major league economic downturn.
It really is that simple.
But when our politicians borrow money, they are literally destroying the future of this country. So the choice is pain in the short-term or greater pain in the long-term.
There is a way out, and that would involve shutting down the Federal Reserve and going to a completely debt-free form of money, but that is a topic for another article.
And unfortunately that is not something that is even on Donald Trump’s radar at this point.
No matter who won the election, the next president was going to be faced with some very harsh economic realities.
There are many out there that have faith that Donald Trump can pull off an unprecedented economic miracle, but there are others that are deeply skeptical.
Let us hope for the best, but let us also keep preparing for the worst.
This article was written by Michael Snyder and originally published at his Economic Collapse blog.
Michael T. Snyder is a graduate of the University of Florida law school and he worked as an attorney in the heart of Washington D.C. for a number of years.
Today, Michael is best known for his work as the publisher of The Economic Collapse Blog and The American Dream.
If you want to know what is coming and what you can do to prepare, read his latest book [amazon text=Get Prepared Now!: Why A Great Crisis Is Coming & How You Can Survive It&asin=150522599X].
Yes, we all know the economy is very precarious.
I’ve been taking lots of herbs in my diet.
I had stopped using curry and turmeric with cur cumin. What a fantastic opportunity to prove the value of cur cumin in health. I got really physically messed up. I started putting a ton of curry and turmeric with a lot of black pepper in my food every day, and practically all my symptoms have cleared up. Inflammation is a root cause of disease. Cur cumin reduces inflammation. It really works.
—
“B”
Thanks for the Info.
Sgt.
I put this in everything and always have a jar in refrige:
GOLDEN PASTE
1/2 cup turmeric powder
1 cup water and 1 cup in reserve if needed
1/2 cup cold pressed Olive or Coconut oil
1 1/2 (one and a half) teaspoons fresh ground pepper
Place turmeric and water in pan, stirring over gentle heat until you have a thick paste. This should take about 7-10 minutes and you will to add additional (reserved) water along the way.
Add the pepper and oil at the end of cooking.
Stir well (a whisk is ideal) and allow to cool.
Store in sterilized glass jar (i use canning jar) and refrigerate..
Will keep for up to four weeks, refrigerated – best used within two. Use for golden milk, smoothies, stir in yogurt … add to your dinner plate as a condiment.
We use it in soups, scrambled eggs.
Note: this same recipe may also be used for animals.
enjoy 🙂
Yes, this really is great stuff. I’ve used it off and on for a while now and it always makes me feel better .
For now the economy will be all over the map in the next few months, ups and down as speculation picks up steam of what a Trump Administration will look like and actions he takes for immediate changes. Today the US Dollar reach a new high in 14 years, crushing PM’s Gold and Silver to Dollar Values. A lot can happen in 2 months. December Fed Interest rate increases. Who knows. I would just sit tight and keep your eyes and ears open and not make too many sudden financial decisions. Of course keep looking for opportunities for multiple streams of income. Every person in your household above the age of 16 should be employed or be seeking employment just in case. Even part time seasonal Holiday Jobs will help. Stock up on savings and food preps, as all of this could come crashing down yet. The Era of Free Money is still out there.
Not wishing anything bad just to pump up my PM’s Values, but as more Countries like India and now Australia outlaw Cash, what is there left to preserve one’s wealth. Paying off any and all debt is one way, just to be debt free as much as possible. Preserve your Credit Score and position yourself properly, opens up many more opportunities.
Patience and Good Luck. Hey Mr M Snyder, thought you said Obama was going to cancel the elections? Why didn’t he? lol
Check this article out. This is how its all going to go down. Beta Testing to a Cashless Society in India.
On 8 November, Prime Minister Narendra Modi gave only four hours’ notice that virtually all the cash 86% in the world’s seventh-largest economy would be effectively worthless.
Why India wiped out 86% of its cash overnight
ht tp://www.bbc.com/news/world-asia-india-37974423
Look at the lines at the ATM Machines, which placed limits of like $36 per pay for withdraw limits.
You want to wait and see what happens in America, with all the Armed people demanding their Bank deposits with in a few hours. Lots of dead people that’s what we will see. Will this be the false flag? Can Trump stop it? Will this happen before Trump even takes office?
Got your Silver and Gold Yet? Get working on it. Perfect time to buy, when its dipped low. A couple hour too late and its game over.
ZEUS,
I read about this too. This is huge! This major change hit them like a hammer.
Title:
Indian economy grinds to a halt after cash-ban: “Faith in system shaken”
Over 90% of all transactions in India were done in cash.
About 300 million do not have basic ID’s and cannot access the banking system.
Farmers have been hard hit. Many of their 260 million farmers have no bank accounts. Traders have no cash to pay for produce. Many farmers are now not sure how they will afford to sow the winter crops.
-Zerohedge
Have seed for food crops, and cover crops. And more seed.
Even if you don’t like or use them, have some insecticides. In times of troubles, nature becomes imbalanced, you will need to save trees and gardens. Buy only stuff rated for food crops.
I have used natural where ever I can. Milky spoor works great for grubs. BT is questionable, but it’s still hell on caterpillars.
“Today the US Dollar reach a new high in 14 years, crushing PM’s Gold and Silver to Dollar Values”.
Temporary condition, PM prices in the US are currently driven by “paper gold”, not physical. That will change overnight. Gold in India is $2800.00 an oz., if you can find it.
Hi B from CA,
Would you agree with Brandon Smith on a comment of his on his blog in regards to an interview request:
“I’ll usually be happy to participate in an interview if a show makes a request, as long as they aren’t involved in any stormfront-style nonsense (blaming the Jews collectively for everything).”
B from CA,
I stir-fry fresh corn that I have cut/shaved off the cob, and mix in some carmelized onions, soy sauce, and sprinkle some turmeric and a little Tony Chachares at the very end. It is yummy! I use turmeric in a lot of my cooking as well. It is great as an anti-inflammatory, so they say. I believe it. You can grow turmeric, looks like a smaller version of ginger. I have grown turmeric but have not been very successful.
Louisiana Eagle
I have read all of these comments. They all make a lot of since. Except Bong whatever… . I also have learned an idea or two. The bottom line for all this to work is that the U.S. has to put GOD back in the country. No I am not on the wrong website. Donald J Trump, HRC, Tom, Dick, or Harry in politics cannot and will not solve this broke country, unless, they get right with the GOD of this universe!!!!! P.S. ” Let it be written, let it be done.”
The Left didn’t “just lose the war on climate change”… the young people just lost the war on climate change– with trump in office. But then, under Obama, it was lost too. The young people never had a chance.
The DemoRats will do everything that they can to cause a CRISIS!
When SHIT Happens blame it on Obullshit he had 8 years to F$%K it up, and he did a good job. Would you believe I heard a guy just before the election around Nov. 2nd. still blaming Bush. NO SHIT.
Time will tell if the worlds economy crashes, It just might, but now we have a chance with TRUMP. I pray he does something so that they fall and we don’t.
Sgt.
The economic realities would be the same under Hillary – I would rather have Trump and a conservative Supreme Court to deal with picking up the pieces.
I think grabbing low hanging fruit should be done first.
Kill everything Obama has done and urinate on it afterwards.
If Trump has any balls he can cut the budget for every non-essential alphabet agencies(like EPA) power, water, and sewer.
This can be done by the GSA which he controls. He can’t fire them and may not be able to eliminate them, but they will have to go back to candles, pen and paper to do their work. They will then self re-locate.
That is just the first few days.
Here we go with the economic doom again !! So I’ll go out on a limb again and say that another year will pass and we will still be ok and you won’t be running around with your ak looking for food or WHATEVER !!
It is really sad to know that people’s memories are very short term. The economy cannot be maintained at this level with the national debt being so high . Most folks here know that a downturn is coming . We knew this would happen regardless of who became president . It will be interesting to see how the businessman, Trump , handles the challenges he will be facing as a result of this . I’m just very grateful we don’t have a Clinton in charge at this point . Hey, nobody promised as a rose garden .
What’s up with Trump and his son law? Are we going to show the obvious Israeli control of the JSA?
I’m all for a balanced budget, but over 40 cents out of every federal dollar is borrowed. The discretionary portion of the federal budget doesn’t even approach 15 cents of that dollar.
We can rant about NPR and the Dept. of Education all we want, go right ahead and name your top two budget busters, DOD, DOE, Corporate Welfare, Welfare, Social Security, employees, whatever you want to name.
The reality is there is absolutely no way to balance the federal budget without deep and decisive cuts in spending across the board. Name your top two favorite programs, the ones you like. Now cut them in half. Unless you can do that, the budget will never be balanced.
Look at the budget for your town or county. Cut out all federal money from it, then pony up the difference in local taxes.
Smoke,
You make good points about debt.
I stand by my dismantling of government
agencies. Yes it does not save a
lot of money, but we get our freedoms
back. Debt fix is going to be really
painful. SS cuts will be very difficult,
as most people did not or could not
prepare for the upcoming disaster.
Debt service will have to happen,
but lets get our freedom back and see
how much we can get our system fired up
to pay for it, without using inflation
to cheat people in order to get out of
debt.
Hey Smokey, How about I cut all the Income Taxes I pay the Feds annually, and watch my standard of living skyrocket. Lets start there and see how every body fairs. No Free Shit here from anybody, but my sweat and toil.
Why do my posts always sit in moderation for a half o day? I did not swear but one time in this post? lol We should all get at least a few cuss words free of charge and let it post instantly. Who is in charge of this anyway?
SHTFPlan Web site Host. The link on the left “Value Investing Pro” is no longer a website and the domain is up for sale. lol Probably many sites like this are dropping like flies after the Trump victory and no more fear to hack out there. Probably more if you click them are out of business.
I’m all for it, I recall taking a tour of an aircraft carrier back in the 1960’s, the Ensign guiding the tour said ‘this is the reason you don’t own a second car’. He was right, of course.
Still, cutting taxes just means the borrowing goes up beyond 40 cents out of every dollar. Spending is going to have to be cut, and cut everywhere.
Smokey, cut off all benefits for all of these foreigners on the programs and kill 2 birds with one stone. 1. We save a ton of money and 2. The foreigners will leave on their own. The money is what attracts them here.
Keep in mind that the national debt isn’t “our” debt, it is the debt of corp America, or USA Inc. They have tricked you into thinking it is your(our) debt by calling you a US citizen and getting you to go along with it and getting you to agree to pay for it. You are not supposed to be American citizens, you’re supposed to be “state nationals” from whichever state you hale from. You have been fooled, and you’re being played for that fool, goes with the territory.
Do the research to confirm this while we still have time. I, for one, don’t think Trump will do anything to turn things around. I think he’ll do whatever benifits Trump and that is to just keep “playing the game”, (and you along with it). But I am very grateful that we doudged the demon. But look into who you really are and how this country is really supposed to work, we have a little time but not much.
Mr. Charlie out.
I agree with you. However, these cuts will have to be made incrementally over time or they will cause an immediate crash . I doubt this will happen , but it needs to happen . Else, we will have the crash , like it or not .
Curry is king! It is true: eat garlic, turmeric, ginger every day and you will never get sick.
As for the economy, there are only two ways out: total default and starting from zero (enormous pain and ALL Americans become as poor as an Albanian), or, hyperinflate and money print to infinity. Spin the machine high and hard and hope other countries can’t keep up. This requires significant information technology advances. I think Trump is going to spin that bitch like a merry-go-round.
Snyder still regurgitating his crap? Where’s that absolute collapse before 2015 is over?
I’ve said it all along, and saying it again. They will continue to borrow and print to fund everything. If they can’t borrow, they will just print more. The fed won’t raise rates…in fact their likely to go to negative rates. IN short, they will inflate the old debt away, whilst creating even more new debt. Yes, this will destroy the value of the dollar by inflation over time; as it has done for 100 years. Expect the cost of all essential goods & services (food, power, water, healthcare, fuel, etc…) to continue to rise, and expect the cost of luxury non-essential goods & services (cruises, sports cars, McMansions, etc…) to collapse.
We’re going into the greatest inflationary period in history, and the end result will be hyper-inflation and currency collapse. Think Wymar republic or Zimbabwe. That said, it should be obvious what to do. Buy food, medicine, ammo, toilet paper, gold…..anything of hard assets that people will need, but can’t afford.!!!!!
Actually sometimes I think they are all really one party and when Democrats are voted out and Republicans voted in it is like you or I going to the closet and instead of getting a Blue coat, we choose a Red Coat for the season.
And in regard to the people who come here to this site
I know it was just a one day stop to prepping plans(Nov 8)and resumption on Nov 9th because the swamp has yet to be drained if it will ever and the alligators have arrived in force.
And so it goes
Hopefully Trump has to deal with a broke Starbucks too.
https://www.youtube.com/watch?v=i4rofKlCHfE
What happened ? Inquiring minds want to know !?
It IS Mathematically IMPOSSIBLE to pay off our Debt. Can’t be done. Even though Trump is in Office; look for the Globalist PTB to try and succeed in blowing up the economy; and go for their coveted Reset to achieve their Agenda.
Personally, I think we should force the world to pay for our police keeping all these years and the many wars we went to to set people free (haha)…Kuwait springs to mind as do all of the countries that we build up after World War II . If we charge interest since World War II and we slice our economy to the bone , over time I think it might be doable .
Dave,
You are absolutely correct, it is impossible to pay off the debt. Obama did this on purpose. Progressives want a collapse. It is now an unstoppable monster. These communists didn’t just empty the treasury, they left America with 20 trillion in debt.
I believe Trumps election has bought us a little time, use it wisely.
,Too many parasite takers and too few producing makers is not long term sustainable. When SHTF its YOYO. only the self reliant,healthy and lucky will survive the culling.
In the middle ages Kings would foster their children in foreign lands and young people would apprentice to learn a trade . Perhaps we could foster our freeloaders to other parts of the world and apprenticed them there permanent as well .
This is caused by the rich.
Simple solution is to reinstitute high taxes for the rich
Bong star folks thinking like you are what is wrong with America. You cannot elevate anyone by tearing someone else down. No poor person ever provided anyone a job. Robbing wealthy folks doesn’t do anything but enable government parasites. The fair share advocates destroyed the working producing USA middle class. The UN NWO types decided the middle class had too much. they thought the middle class had more than yheir fair share. So they used thing like higher taxes on corporations, the EPA and nafta to redistribute the middle class jobs to other places. Its not evil to be wealthy. Most of the wealthy folks I know try and do things to give back. Trump didn’t need the job of president. He has enough money. He isn’t even taking a salary. Its caused by evil immoral greedy people. Those greedy folks do include some very wealthy and some very poor. Someone who wants to tax the rich so it can be redistributed to them is a greedy parasite. And they could tax the rich at 100% and the government would still run in the red.
OG,
You are spot on! I second that!
Louisiana Eagle
Well no what has caused the mess is the companies and corporations which took control under Reagan and its been down hill ever since, as they changed the tax codes to suit themselves after all under Ike they paid upwards of 90% and didn’t go broke, but then again the top 5% of these companies and corporation heads weren’t recieving millions upon millions in compensation.
Bong star,I think your on the wrong site! No,stay around maybe you’ll learn something!Think before you post,or don’t
Your thought process is a large part of what’s wrong with our economy now!
Be well
Maniac — out
I thought most people had put this idea to bed by now. You cannot get money from the rich . They will move and take their money with them . They will move their industry out of the country . They will bribe the appropriate officials so that they do not have to pay . They will overcharge for the product they create to enable them to pay the increase in taxes levied upon them . You cannot get the money from the rich. However, let us say that you took all of the money from the rich . Studies indicate that if you took all of their money you still could not pay for the running of this country for one year . We have reached levels even they can’t pay .
I have a lot more faith in Donald Trump than I had in George Bush.
The Bush Family are NWO Globalists.
H.W. Bush was the first to openly talk about the New World Order.
W. was a fraud as a Republican.
As a matter of fact I think most Republicans are frauds.
Donald Trump is more of a man of the people than he is a Republican.
He’s got more balls than all the Republicans put together.
If he cant get it done then no one can and either we capitulate or go to war.
Being retired, I watch a lot of news. Someone in the comments mentioned that the Indian government banned cash. I hadn’t heard one word about that in mainstream media. No wonder that everyone is turning to the internet to get their news and the establishment wants to shut internet news sites down. I have heard that Americans have started keeping more cash at home and less in their bank accounts. American families might be better off than the numbers state but who knows? The annoying part is that the people who promote charitable donations keep saying that we’re the wealthiest nation on earth”.
Going back to camp for a few days,have a cold front coming in 80’s yesterday.Rain coming with the front,should make the deer move,yep yep,gonna get wet!Supposed to get down in the upper 20’s Sun and Mon.
Fast changing weather in N La. warm off the Gulf,cold from north.
Sgt doubt 11pt but I’ll settle on a couple of does.There is big boy down in my swamp bottom,ain’t holding my breath.
Life can’t be all serious,be time for that,it’s coming!
Be well all
Maniac –out
Headin for the woods myself, “Ashland co. Wis.” Snow Camo and Orange . Trusty .308 , good to carry the Iron around for a few days . Put the bow up till Dec. , they got Snow Camo in D.C.?
Unless the Zionist banking cartel can be removed, nothing will change, and I mean NOTHING.
If the answers to most of the questions that Mr. Snyder raises is still “no” four years from now, Trump will go the way of Bush the Elder, and the Democrats will control both the Presidency and Congress and probably have more governors.