Economic Collapse Blog
Wednesday, December 28, 2011
Well, it is time to raise the debt ceiling again. Right now we are about to hit the current limit of $15.194 trillion and the Obama administration is going to ask that it be raised by another 1.2 trillion dollars. Unfortunately, Congress has already promised not to stand in the way, and so soon the debt limit will be raised to a staggering $16.394 trillion. Considering how much debt we have already placed on the backs of future generations, what is another 1.2 trillion dollars? After all, if we are going to sell our children and our grandchildren into debt slavery, we might as well go all the way, right? Such is the thinking in “the Obama Nation”. During “the Obama Nation”, the federal government has already accumulated more debt than it did from the time that George Washington took office to the time that Bill Clinton took office. Of course the Bush administration was nearly as bad at piling up government debt. Between Bush and Obama (with a big helping hand from the Federal Reserve), they have done a pretty good job of wiping out the financial future of the United States. If there are future generations of Americans, they will look back and curse those that did this to them. It is absolutely immoral to steal trillions of dollars from future generations. Unfortunately, there are very, very few members of Congress that are even objecting to this madness.
Today, more debt just seems to be the answer to everything. The truth is that debt is not just a government problem. We are a nation that is addicted to debt.
As of October, total consumer credit in the United States had increased for 12 of the past 13 months. We simply have not learned the lessons of the past and we are making the same mistakes all over again.
We are living in the greatest debt bubble in the history of the world, and this false prosperity that we are enjoying is simply not sustainable.
But even in the midst of this false prosperity we are seeing a huge number of store closings.
For example, it was just announced that Sears has decided to close between 100 and 120 Sears and Kmart stores.
Once upon a time, Sears was the dominant force in the retail industry, but those days are long gone. Sears stock has declined more than 45 percent so far this year, and many are wondering how long the company is going to be able to survive.
And there have been other high profile store closings announced during this holiday season as well. A while back it was announced that all Syms stores and all Filene’s Basement stores will be closing.
Will we all eventually be relegated to shopping only at Wal-Mart?
In the middle of this “economic recovery” that Obama keeps talking about a staggering number of retail stores are closing up shop. The following is a list of store closings in 2011 that I recently found. The first number represents the total number of stores being closed for each chain….
117 Anchor Blue
117 Foot Locker
71 A.J. Wright
60 Rite Aid
52 Destination Maternity
50 Abercrombie & Fitch
50 Hot Topic
45 Big Lots
45 Family Dollar
43 Select Comfort
43 Sonic Drive-In
32 Great Atlantic and Pacific Tea Company, Inc. (SuperFresh, Pathmark Super Market)
30 Ultimate Electronics
25 Superfresh (Great Atlantic & Pacific Tea Company)
Sadly, it looks like things are going to get even worse next year. One consulting firm is projecting that there will be more than 5,000 store closings in 2012.
The United States is piling up unprecedented amounts of new debt at a time when our economy is dying and our ability to produce wealth is diminishing.
All over America right now, poverty is absolutely exploding. Millions of people that never dreamed that they would have to reach out for help now find that they have no other options. The following comes from a recent article in the Fiscal Times….
For years, the food pantry in Crystal Lake, Ill., a bedroom community 50 miles west of Chicago, has catered to the suburban areas’ poor, homeless and unemployed. But Cate Williams, the head of the pantry, has noticed a striking change in the makeup of the needy in the past year or two. Some families that once pulled down six-figure incomes and drove flashy cars are now turning to the pantry for help. A few of them donated food and money to the pantry before their luck soured, according to Williams.
“People will shyly say to me, ‘You know, I used to give money and food to you guys. Now I need your help,’” Williams told The Fiscal Times last week. “Most of the folks we see now are people who never took a handout before. They were comfortable, able to feed themselves, to keep gas in the car, and keep a nice roof over their head.”
But not everyone will ask for help nicely. As the economic numbers continue to get worse, desperate Americans will lash out in wild and unpredictable ways.
The following is from a local NBC station down in Texas. In the days to come, this type of report will become quite common….
A 19-year-old Houston-area man says he was beaten and a friend was slashed in the face as a group of men robbed him of his new pair of expensive Air Jordan shoes.
Check out this video of a massive brawl that erupted inside Mall of America the other day. Soon scenes such as this will become so common that they will not even be newsworthy anymore.
In response, many Americans will get sick and tired of waiting for the police to protect them and will take matters into their own hands.
In fact, we are already starting to see this. For example, just the other day a store clerk down in North Carolina knocked a would-be robber out cold and then forced him to clean up his own blood after he woke up.
There are millions of Americans out there that are not going to put up with a whole lot of nonsense. When desperate criminals try to rob from their homes or businesses it might not end well for the criminals.
Of course it would be much nicer if the federal government would do some things to actually fix the economy and avoid some the problems that are looming on the horizon.
Ah, but that would interrupt their vacations. Right now, the U.S. House of Representatives is on vacation until mid-January.
If you can believe it, Congress does not work for most of the year. Normally they are scheduled to be in session for about a third of all the days on the calendar.
And Obama is certainly taking it easy. He is enjoying yet another vacation. As I wrote about yesterday, it has been estimated that the Obama Hawaiian vacation this year will cost somewhere in the neighborhood of 4 million dollars.
Yes, it is tough being the head of the Obama Nation.
Sadly, a lot of Americans still have faith in these jokers.
According to a Gallup poll that was just released, Barack Obama is the most admired man in America by far and Hillary Clinton is the most admired woman in America by far. If you can believe it, Barack Obama has held the top spot for men for four years in a row, and Hillary Clinton has held the top spot for women for ten years in a row.
When are we going to learn?
Someone once said that insanity is doing the same thing over and over again and expecting different results.
Well, the American people keep sending corrupt politicians such as Bush and Obama to the White House and they keep expecting things to get better.
It just isn’t going to happen.
If we stay on the current path that we are on, there will be a lot more store closings, the economy will continue to crumble and government debt will continue to skyrocket.
Minor changes are not going to cut it. We need massive changes on a fundamental level.
Unfortunately, neither political party is offering massive changes. The Republicans and the Democrats just keep offering the same tired solutions and they keep promising that they can “fix things” if we will just send more of them to Washington.
Hopefully the American people will wake up and see through these lies because time is running out.
This article was posted: Wednesday, December 28, 2011 at 3:35 am