It doesn’t take many brain cells to figure out there’s an upcoming Great Depression brewing our way. All you have to do is look around you. Forget about what the mass media is telling you. Look at the facts!
To figure out if we’re heading towards a Great Depression, let’s unveil what the obvious tell-tale, proven signs are. According to this article (click here) from CPI (Corporate Financial Institute) here are the obvious events we should be looking for:
Causes of an Economic Depression (Note: my comments are in bold italics)
An economic depression is primarily caused by worsening consumer confidence that leads to a decrease in demand, eventually resulting in companies going out of business. When consumers stop buying products and paying for services, companies need to make budget cuts, including employing fewer workers. CHECK Layoffs are happening now.
1. Stock market crash
Changes in shareholdings can be a reflection of how an economy is doing. When the stock market crashes, it can be an indication of investors’ declining confidence in the economy. CHECK The stock market has lost 40% of its value and is down 20% putting it in bear territory and leading towards a depression.
2. Decrease in manufacturing orders
When manufacturing orders reflect a decline, especially for an extended period of time, it can lead to a recession and worse, to an economic depression. CHECK Factories are shutting down. They can’t get parts nor can they get workers.
3. Control of prices and wages
When wages are controlled by the government (forced minimum wage) and companies are not allowed to lower them, businesses may be forced to lay off employees to survive. CHECK Layoffs have already started.
Deflation is basically the lowering of consumer prices over time. It may seem like a good thing because people can now afford to buy more commodities but underneath it is the fact that prices are lowered because of a decline in demand, too. This is coming. No body is buying anything. Just ask Walmart, Target, Lowes and Home Depot, etc. All down in sales between 20% to 40%.
5. Oil price hikes
How oil price hikes can cause a ripple effect on almost everything in the market is common knowledge. When it happens, consumers lose their purchasing power, which can lead to a decline in demand. CHECK No gasoline to formulate fertilizer to grow food. No diesel to unload cargo ships, move cargo, fill up trucks to move product across the country.
6. Loss of consumer confidence
When consumers are no longer confident in the economy, they will alter their spending habits and eventually reduce the demand for goods and services. CHECK Do you have confidence in this current admin to guide this economy? Didn’t think so. In only 1.5 years they’ve managed to destroy our way of life and make every one of us poorer than we were a year ago (despite stimulus). Americans have $9,000 less this year in savings than last year (click here for info). Americans will also be spending $5,000 more this year just to pay for gas, food and energy. That’s a total loss of $14,000 in wealth.
What to do? How to prepare? Well, you just can’t stand there and wait for it to happen to you. You need to prepare. And I don’t mean stockpile food. Most people have already stockpiled a years worth of groceries. What are you going to do on day #366? The last Great Depression lasted 10 years. This time around looks like it is going to be worse because they’ve taken away our gas, our diesel, our ability to travel and move about the country. Food is almost unaffordable. Crime is on the upswing in every single state.
Since the latest fear mongering scheme has been the potential of upcoming power outages and shortages, we’re putting in a solar field. If you don’t have land, but own your own home, you can probably have solar panels installed on your roof. If you live in an apartment or multi-family dwelling, you may not have any options. You might be able to purchase solar directly from a supplier.
We planted fruit trees (peach & apple, that will produce now after a 3 year wait). We also put in several raised garden beds to grow other vegetables & herbs that will be canned this fall. All our neighbors have egg-laying chickens (so we will be buying at least 4 to 6 chickens from them. Hubby is building a hen house). Two of our neighbors are raising both pigs and rabbits as a food source (I don’t think I can eat a rabbit but I sure can chow down on some baby back ribs on the BBQ). We are banding together with ALL our neighbors on our road and setting up a survival community to get us through our darkest days. Some hunt deer. Others hunt turkey. We will probably barter if need be. We all have both ponds and a free-flowing stream running down our properties. In fact, one of the homesteads actually has a waterfall!!
We’ve either stopped or have limited our current electricity usage. We’re in the middle of a two day heat wave here up north and we’re using fans instead of our air conditioner to keep cool. All the bedrooms have ceiling fans. I just put in these free standing, oscillating fans in the living and dining room. I have been waiting for hubby to install a clothes line but he is just too busy with other things. In the interim, I put in an $18 foldable clothes rack on our back deck and it’s getting the job done. No more use of our expensive clothes dryer!
I’ve purchased a few sewing patterns. For Christmas, I’m sewing my daughters, granddaughters and their dolls (yes!) their very own matching aprons! I’ve gotten patterns to sew flannel PJ bottoms (I have another pattern on order to sew knee-length flannel night shirts). I’ve gotten patterns to make a warming tea cozy, oven mitts, place settings……..etc. All perfect gifts for the holidays and upcoming birthdays. It’s time I put my new sewing machine to work! No more buying expensive gifts! Everything is going to be either DIY or hand/home made (peach or apple pie/preserves anyone?)
Lastly, I’m also cutting back on taking care of our animal. My little maltipoo to be exact. And no pun intended. I’ve mastered the self-grooming art of doggie hair cutting. This alone saves our budget $72 every 4 to 5 weeks. For the price of just one grooming visit, I was able to buy my little girl a round turnstile grooming table, scissors, comb, brush and pet buzz cutter. Over the course of a year, that’ll be a savings of $1,008, at least.
Eventually, I am going to have to learn how to take care of chickens, a minimum of two goats and perhaps there’s a pony or horse in my granddaughters future. We already have the barn. Now we just need the animals.
Stay tuned for Part Two. The Tell-Tale Signs of an Inevitable Upcoming Economic Depression. Sorry folks. But it is definitely coming.
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