Economists are stating that the next economic crisis will be fueled by Americans’ obsession with and overburdening of themselves with debt. While a staggering number of Americans live paycheck to paycheck with little savings, they also owe massive amounts of money that many will never be able to pay back.
The only saving grace for many American households is that artificially low interest rates have reduced the average debt service levels, according to a report by Seeking Alpha. Americans have been tapped out for a while now, and with many increasing their debt load as opposed to reducing it, a debt crisis could be on the horizon.
Low Interest Rates Won’t Solve The Coming Corporate Debt CRISIS
While the American consumer won’t be solely to blame when the entire economy comes crashing down, many are doing their part to make it overly difficult when it does. The next collapse will be much worse than the Great Recession of a decade ago, as it will be caused by a combination of household and corporate debt combined with underfunded pensions, according to Real Investment Advice.
Americans have come to believe that they are entitled to “the American dream” and many go deeply into debt to accomplish their version of that utopian ideal. The idea of “maintaining a certain standard of living“ has become a foundation in our society today.
Americans, in general, have come to believe they are “entitled“ to a certain type of house, car, and general lifestyle which includes NOT just the basic necessities of living such as food, running water, and electricity, but also the latest mobile phone, computer, and high-speed internet connection –Seeking Alpha
This entitlement is there whether the income to provide it is there or not. American consumers are not funding their lifestyles with their income, rather with debt. Americans hola a record amount of debt, which totals roughly $1 trillion more than it did in 2008. While Americans are piling on debt, the cost of living has gone up while the purchasing power of the dollar is continuing downward thanks to money printing schemes and the national debt.
“In fact, despite some ups and downs over the past several decades, today’s real average wage (that is, the wage after accounting for inflation) has about the same purchasing power it did 40 years ago. And what wage gains there have been have mostly flowed to the highest-paid tier of workers.” –Pew Research
The data shows that debt is a huge problem in this economy, which is already a debt-based economy and built to fail. The other point far too many don’t want to admit is that Americans would have a lot more money to fuel the economy if the government stopped stealing a substantial amount of their income before they are even paid.
https://www.shtfplan.com/headline-news/income-tax-is-government-theft-and-irs-is-a-lawless-thief_04092015
The next “crisis,” will be the “great reset” which will also make it the “last crisis.”
THE NEXT ECONOMIC CRISIS’ FUEL: AMERICANS OVER-BURDENED BY DEBT
Wasn’t that the root cause of the last economic crisis?
THE NEXT ECONOMIC CRISIS’ FUEL: AMERICANS OVER-BURDENED BY DEBT
That’s what happens when your a complete MORON lol.
Kevin2, that’s correct. It appears that a lot of people just never learn. Being debt-free is awesome. I paid cash for this old dodge Ram 4WD and paid for all the repairs in cash. I’m living proof a person can get a decent vehicle for less than $10000. Pay cash for it and be done with it. No payments or repo man for me to worry about. Most of my other transactions are cash except for occasional online shopping I do and I do that as little as possible. No economic crisis for me personally.
The Deplorable Renegade, congratulations on getting a good 4 WD Truck. I hope that you get many years of pleasure and service from her. A Four wheel drive truck is a great SHTF vehicle.
Can’t Slavo find something else to talk to death?
@Stuart, I agree 100%, this site has become a very active anti-Trump site. I don’t think anyone who is conservative really agrees with all of the BS Mac the KGB agent serves up. Which is why only the Loons and Kooks pretty much are the only people posting.
Like this guy lol ^^^^^^^
I find it amusing to say the least when people say real conservatives and Trump in the same sentence.
DJT wasnt elected because he was the best, or the most conservative or any of that nonsense.
He was elected because he was the biggest arrogant prick and the biggest middle finger to the established political class. A giant FU !
I read it somewhere else that the only thing libs hate more than DJT is someone who identifies as Libertarian.
That whole D/R thing, is bullshit, two sides of the same worthless coin.
We need a solid, non polititian, Libertarian to run for pres, and i bet they would wipe the slate clean,,,,
The most close to a Libertarian is Rand Paul a diluted version of his father Ron.
Kevin2, agreed about Ron Paul. I would’ve supported Ron Paul had he been allowed to run. but when TPTB make death threats against you and your family what do you do? You back off to keep yourself and your family alive. He did what he believed he had to do. I know how to respect that.
I think of Dr Ron Paul MD message (had to get in that MD, he earned it) to the American public would be closely described by a famous movie quote from “A Few Good Men”.
“You Can’t Handle The Truth”.
By and large both party’s are in fantasy land. The Democrats however always at the top, have as of late reached stratospheric heights that are reminiscent of children.
I found a great place to.get gear so maybe the Econimic crisis wont hit so hard. But hey guys be ready for anything. Who knows whats next
https://bit.ly/2Ublgof
Buying stocks on credit was also a major contributor of the crash of October 1929 ushering in the Great Depression. Debt just isn’t a good idea.
Sounds like amerikans have been stupid fools for a long time huh?
TPTB control the overall money supply that even back then, when fully transferable to gold on demand was still flexible with interest rates and its bastard child, “fractional reserve lending”. The public wants something for nothing so they buy in. In the end the bankers are essentially drug dealers with the public addicted to their product.
The run on the banks, even back then, showed that more currency was produced than gold available. They been “cooking the books” since there were books and cooking.
They wrote the “cookbook” lol.
”living from pay check to paycheck ”,who doesn’t ??? unless you are rich !!!
A lot of people don’t. Im not rich and I can go a long time between paydays. It’s called being RESPONSIBLE.
Attorney Invictus (spelling?) is running for President of the USA in 2020 with NO USURY as part of his platform.
.
The president or any of us don’t control the fed reserve. The only way is to print our own currency and get rid of the fed. If he tried that he would be offed like everyone else that tried it.
Genius
I figure don’t try and reinvent the wheel just go back to the rule book the US Constitution.