The Air Of Economic Uncertainty

timwilliams By timwilliams, 31st Jul 2015 | Follow this author | RSS Feed
Posted in Wikinut>News>World

The United States debt crisis is now a full blown financial catastrophe.

The Air Of Economic Uncertainty


Loneliness, homeless, and hunger were his bedfellows. Three of the greatest scourges of humanity. Yet, even in the 21st century millions the world over face each day lonely, homeless, and hungry. The plight of the poor and the destitute knows no boundaries. Even in the worlds richest country the great wealth divide has only entrenched millions of Americans without any hope of ever rising above to escape the vicious circle of poverty they have been thrust into. Today, there remains that lingering air of economic uncertainty that hovers like a dark cloud over the entire nation.

Be forewarned this has already happened and could still happen to you. The day started out like any other day for Henry James who was filled with optimism this Monday morning. Having had a routine weekend of watching TV and barbecuing Hank was now rested up to tackle the new week at work. But, unbeknownst to Henry trouble was already brewing on the horizon. Over the weekend Henry's company decided to move their operations to India where cheaper labor costs would provide the boost in stock shares and overall company profits. The new TPP treaty had opened the door once again for more corporate gain at the expense of the American worker, namely the Henry James of the remaining American workforce. For Henry was to become yet another casualty of the recent trade agreement approved by our elected officials.

Like the latest rise in foreclosures despite what is being reported by the main stream media and touted by elected officials about decreasing unemployment rates there is an undercurrent of corporate posturing that continues to undermine the economy of the United States. All brought on by corporate greed and the failure by what many Americans feel as an inept Congress to realize what the hell they have been doing for the past 35 years. This, especially with those trade agreements and lack of enforcement of our already existing immigration policies.

As Henry drove up to the front gates he noticed that some of his coworkers were milling around what was now a locked gate. A gut feeling suddenly come over him knowing that something was drastically amiss. Parking his car only to have Sam run up to the car window " Hank you won't believe they shut down the plant without even a text message. Nobody knows anything. We can't even get Tom Jones on the phone to explain what is going on." Hank pulled out a business card with Tom's personal number. " Have you tried this one?" handing the card to Sam. Grabbing the card, "We already tried that one too and all we got was a constant busy single. What are we going to do Hank?" "One thing for sure I am going to do is go home and immediately file for unemployment maybe in that way we can get some kind of information and keep the wolf's at bay with what little unemployment checks we get. Advise all to do the same Sam. I will call you latter" With that Hank turned his car around.

Once home Hank switched on his computer and began filing for unemployment. Within three days Hank got a letter stating he was denied unemployment. Angered to say the least with rent, cable, and electricity all due within a week he picked up the phone only to have the unemployment office confirm the reason he was denied was the fact that he was fired for misconduct therefore any unemployment benefits would be forfeit. Sam called latter that day only to confirm that all employees were terminated. Questions now arose. Why was Henry the only one fired for misconduct? Thinking about the past few weeks sure he had some disagreements with Tom, the division manager, but he didn't think those arguments constituted misconduct. As frustration turned to panic without any resources to fall back on mainly his checking and savings accounts he knew drastic measures had to be taken. His combined savings and checking accounts had less than a hundred dollars. He also knew that his landlord didn't hesitate to evict any one who didn't pay their rent on time. Thinking of all that could go wrong like Murphy's law now sent a clear message of urgency.

The plight of Henry James is by no means an isolated incident either. There are literally thousands like Henry all over the United States who are thrust out into the cold by ruthless greedy corporations. It is these corporations who are hell bent on capitalizing on the pervasive legislation passed by Congress that supports more corporate profits with each trade bill that is passed. Compounding Henry's dilemma is the fact many Americans especially those over 40 is the realization that our own government is complicit with corporate America in rewriting the rules specifically designed to ensure profitability either by shifting labor costs overseas or retarding employees wages, benefits, and hours. As a result what we are seeing today is that the numbers of full time workers are now being replaced by part time workers. And, the majority employed are under the age of 40. Long gone are the days of full time workers who stay the course of their working lives with just one or two employers.

With economic uncertainty in the forefront of conscious thought for millions of Americans the media meanwhile has turned a blind eye to what is actually happening in every part of the country. So tuned in to the Presidential candidates they are in total denial to the real financial catastrophe that is poised to hit. And for all the people like Henry James that air of financial uncertainty will soon become a full blown disaster. Unreported or under reported there are tell tale signs that our complacent world will soon turn our reality upside down. In spite of the fact that our new trade agreements are making those fat cats of corporate America that much fatter it is the rank and file citizen that will bear the brunt of the impending financial cataclysm making it's way across the nation.

We have to face the fact that for the past 40 years this nation has become so immersed in debt whether it is our national debt, state, municipal, individual credit card, student loans and mortgages all have reached the breaking point. The insatiable appetite for easy credit has pushed this nation at the very edge of falling in an abyss where we will very likely never be able to climb out of. Nationwide, greed has been growing for decades and for most of us the time to pay the piper is long overdue.

As a nation we no longer have any values or morality, to put it simply we worship money. Some have pointed out that the Ayn Rand movement has lead to a selfishness epidemic. It is the selfishness of individuals that has only perpetuated into the society that we have today. Most Americans are being led to believe that the U.S. economy will fully recover from this recent recession and will soon become stronger than ever, courtesy of our elected officials and the main stream media. The reality facing us is much darker, pretty much the reality that Henry James is already facing. The fact of the matter is that the very foundations of the U.S. economy are coming apart and a massive financial and economic tsunami is headed directly toward the United States

It has to be noted that collectively, our government, businesses and millions of Americans have secured the largest amount of debt in all of history. This unfathomable amount of debt which has enabled so many of us to enjoy a spectacular standard of living has been increasing every year. What is happening though is the fact that at some point in time like death and taxes debts become due. The realization today is that the media and our own government can't comprehend the enormity of the financial disaster that is already at our front door.

Whether it is shrewd manipulation or a blatant cover up of the true nature of this nations debt crisis there remains tell tale signs the indicate the enormity of the disaster that will unfold unless immediate revolutionary reforms are implemented. To substantiate the findings that we are faced with a full blown crisis is that it is not widely known that the FDIC is opening a satellite office in Chicago. This office will accommodate up to 500 temporary part time staffers and contractors to manage receiverships and liquidate assets from what they are expecting will be a massive wave of failed financial institutions and banks. Meanwhile the US Treasury Department quietly announced that foreign holdings of U.S. Treasury securities continues to fall at a record pace. China alone has reduced its holdings of US Treasuries by over $35 billion. With all this under reported findings there should be a real discussion on what is happening when the largest economy in the world which is now China stops buying US treasury notes? Believe it or not one Republican Presidential candidate has even mentioned the seriousness of our financial distress. The problem is who is going to buy if China won't? You can bet your last dollar it won't be Russia either.

Other signs of impending financial calamity is that mortgage defaults in the United States have continued to hit record highs and housing prices are continuing to fall, yet again. Now, a massive “second wave” of adjustable rate mortgages has already peaked. Remember the first wave in 2007 and what a disaster that was. If this second wave has already peaked what does that tell us about the immediate future of our economy? It is estimated that five million homes and condominiums will go through foreclosure over the next few years. We are being led like sheep by the total distortion of our reality by the main stream media, corporate American and our politicians. If that amount of foreclosures becomes the reality that it is poised to be the implications are far more devastating than one can imagine.

There are other indicators that are so troubling that can't be denied which indicate all is not what the media keeps reporting. Every year the sheer number of Americans who file for bankruptcy protection continues to grow. More questions have to be asked especially in light of what we here on the TV news or read in the paper. How is it that our economy is growing if so many Americans have to file for bankruptcy, face foreclosure, or have to rely on food stamps just to survive? How can Americans pay their bills and keep pace with the ever rising cost of living without good paying full time jobs? In Detroit alone the real unemployment rate still hovers close to 50%.

In their zeal to globalize economies Congress rushed to pass the TPP. This latest trade agreement is much like what Congress did in 1994 when NAFTA became the driving force in whittling down middle class America jobs. They also ushered in unemployment insurance taxes that have only increased. As a result what we continue to see today is that those increased taxes on business have continued to discourage small and mid-size companies from hiring full time workers or even recruiting part time employees. According to the National Association of State Workforce Agencies, companies in most of the states continue to increase their unemployment insurance taxes. This is itself makes it more costly to hire even a part time employee let alone one being full time.

One of the real concerns facing the United States is the plain fact of the matter there are so little middle class wage jobs available. Another issue of grave concern is the fact that many of the jobs now require skills that too many of our population are ill prepared to do. Unless we address these two contingencies now other facets of our economy will only deteriorate faster than we realize. Social Security, Medicare, and other safety nets that are essential will suffer sending shock waves all across the country. When there is an acute wage and employment crisis that is underway there can be no other recourse other than borrowing which is precisely what our government has been doing for the past 35 years.

The hard cold reality is that today the United States faces an economic Armageddon like scenario the likes of which has never before been seen. The fact is the US is drowning in it's own debt, the American consumer is flat broke, more American businesses are becoming insolvent, State governments are in the same boat as the Federal government. All are in acute financial distress. The nation is running on borrowed money and time. The sad reality is that by borrowing even more buries the United States even further in debt and into the abyss of financial and economic ruin. The crisis of unprecedented magnitude has in fact arrived.













Tags

Economic Crisis, Jobs, National Debt, Wages

Meet the author

author avatar timwilliams
I am a feature writer for The Tampa Bay Examiner and The American chronicle. Earned Ph.D in Economics

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