Does anybody remember the financial meltdown of 2008 that began the current depression? (Yes, I mean depression and I’ll explain that in a bit). Does anybody care that it is happening again, but this time on a much, much larger scale?
The United States of America, not just Wall Street, is over-leveraged and operating on what can only be considered pyramid tactics. Continued borrowing to support wasteful deficit spending without a plan in place to do anything but exacerbate the condition is rapidly bringing us to the brink.
Secretary of Treasury, Jacob (Jack) Lew, is calling for yet another raising of the debt ceiling to pay the debts we cannot afford. Why call it a ceiling? Ceiling implies the extent to which something can rise. If we continue to raise the ceiling, there is effectively no ceiling. Why do we make-believe there is a limit for the amount of debt an administration or a country may incur?
There is even a potential plan in place, that could be passed by congress to “suspend” the debt ceiling. What a great plan! Don’t even try to set a limit or quantify a spending amount, just allow spending to go on and wait for the collapse of the country. Now I’m depressed.
The government spins the job reports to make it look like we are in recovery. They put forth that unemployment claims are at a 40 year low. They purposefully fail to state that 37.6% of the eligible civilian workforce is without work and have been for so long that they no longer show on the unemployment rolls. This number continues to rise.
In 1929, 25% of the workforce was idle and that was called a depression. The number of people out of work today is increasing as the available jobs continue to decrease. Among those wage earners fortunate enough to have employment, weekly hours now average just 32 where a 40 hour workweek was the norm just a few years ago.
Today the government sends money straight to people’s bank accounts via EBT and SNAP so we don’t see long bread lines today. It’s all illusion.
Another round of housing foreclosures is on the horizon. Fire sale pricing is already underway in some areas of the country. This will only sink us deeper into the “recession” from which the government claims we’re recovering. It will put more people on the Welfare rolls requiring more assistance from the federal government. This won’t be the last request for a debt ceiling increase to pay the bills.
Just a reasoned cutback on wasteful expenditures by our public employees would help the situation tremendously. A few less billion dollar grants to nations sponsoring terrorism might also be a place to start.