Have you been paying attention, or have you just been
watching the establishment media for your information. Well today is your lucky
day because for whatever reason you landed here, you have the opportunity to
put your nose in the air and take a good waft of the fumes coming off the
excrement being touted as the negotiations to avoid the fiscal cliff.
What we have going on in Washington is nothing more than
political theater. Of course it’s been going on for a century or more, but
right now it’s time for some adults to stand up and say “Enough, enough of this
grandstanding, political maneuvering and posturing for the next election. All
of which may be meaningless unless we find some real leadership on the issue of
the fiscal cliff.
Now if you have had your head in the sand … particularly all
of those who voted for Obama this time around … you don’t have a clue as to
what is about to occur. You no doubt think that he’s going to magically fix
things by making those evil rich people pay more in taxes. News flash … he
could confiscate every penny of their wealth, and then some for the next
decade, and it would only run the federal government for 9 days. So let’s just
get off the notion that taxing the rich is going to fix anything. So, if you do have
your head at least partially out of the sand, let me enlighten you as to what
is likely to happen even if we solve this so called “fiscal cliff” challenge.
1. Our currency is going to collapse. It’s already a done
deal. It’s no longer a matter of if it will happen, it’s now a matter of when
it will happen. Bruce Porteus, Head of Financial Risk with Standard Life Bank in Edinburgh, Scotland,
writes: “The $US has declined 40% against the Euro over the last 2
years, and during this time America's trade deficit has continues to
deteriorate. There is now nothing the USA can do to prevent the collapse of its
currency, and its economy. It has no reserves to support its value, and has the
most indebted country in the world, is dependent of the credit from America's
former enemies.”
He’s not the only one raising the flag. “… foreign countries
own $5 trillion in U.S. debt (as of December 2011). If China, Japan or other
major holders started dumping these holdings of Treasury notes on the secondary
market, this could cause a panic leading to collapse. China owns more than $1
trillion in U.S. Treasuries. That's because China pegs its currency, the yuan,
to the dollar. This keeps the prices of its exports to the U.S. relatively
cheap. Japan owns more than $800 billion in Treasuries, also keeping its
currency, the yen, low to stimulate exports to the U.S. Japan is trying to move
out of a 15 year deflationary cycle, and the 2011 earthquake and nuclear
disaster hasn't helped.” Kimberly Amadeo, About.com. Time and space will not
allow me to list the number of experts and economists that are trying to warn
us of the coming crises. Funny … none of them are being invited to tell their
story in the establishment media.
2. We, Americans, have already spent the wealth of the next
two generations. It will take another generation to recover from this calamity.
Our culture has grown far too dependent upon government. According to research by Ranking Member of the Senate Budget Committee,
Jeff Sessions, the number of Americans on welfare has increased from 97 million
to 107 million since President Obama took office,. The number of Americans on
food stamps during the president’s term has risen by more than 14 million. The
Heritage Foundation found that on average, Americans who depend on federal
assistant received $32,748 in annual benefits, which is more than an average
American worker makes in a year. In 2011, the median annual paycheck was
reported as $26,364. You don’t have to be an economist for those numbers to
trouble you. If those numbers don’t trouble you, you do have to be something
other than smart.
3. Social Security and Medicare are in serious trouble. Medicare, which will provide health insurance
to more than 50 million elderly and disabled Americans this year, is expected
to start operating in the red in its largest fund in 2024, according to the
annual assessment by the trustees charged with overseeing the programs. And the Social Security trust fund, which will
provide assistance to more than 45 million people in 2012, will be unable under
current trends to fulfill its obligations in 2033, three years earlier than
projected last year. My prediction is that if something isn’t done now, SS
will go the way of the dodo bird before
this decade ends.
So what does all this have to do with the fiscal cliff? Well, unless we stop spending more money than
we earn, we will go bankrupt. Specifically for 2011, the projected spending is $10.46
Billion per day. This is
based on the projection of Federal Spending of $3.818 Trillion for the year. "Thanks to Washington’s
addiction to spending, the federal government now borrows $4 billion a
day," We don’t have a revenue problem in America, we have a Federal
Government with a spending problem, and it’s going to impact you and your
family in ways you cannot imagine. But let me give you some help.
When the dollar collapses:
- Your 401K or IRA will be worthless, unless you’ve converted to hard assets like gold or silver.
- Gas will increase as much as 3000%.
- Grocery store shelves will be empty within 12 hours.
- Electricity may or may not be reliable, I’m guessing not.
- Water and sewer services will eventually have to stop working for lack of energy.
- No one will have a job, and even if they did, they couldn’t get to it for fear of being hijacked or run out of gas.
- Gangs will start systematically looting high-end neighborhoods and then start working down the economic ladder. Your neighborhood will not be immune.
- Police and fire departments will be tasked beyond their capacity to assist.
- Then it will get worse.
Got your head out of the sand far enough to start sniffing
yet? Good. Now, do what you have to do to
get ready.
