Today the Standard & Poors reduce the US rating from stable to negative. Not that it effects the country's ability to borrow, we just have to pay higher interest. Right now the money the government takes in will cover about 57% of what they spend, the other 43% is borrowed. If something cost $20 and you only have $10 you can't afford to buy. I don't think Berneke has enough tricks left in his magic hat to cover up for this one. Prepare for the worst and Pray for the best.
Its funny, if I post this on FB, noone comments. But a post about 'my baby's poopy diaper' gets a million comments. The average American (Norte) has no idea whats coming. Its just an abstract idea that has no impact on their daily lives. Pretty sad.
What will be the immediate impacts?
The dollar falls.
Commodites go through the roof.
Interest rates as well, on everything from cars to houses to credit cards.
Prices on all imported goods (oil!) skyrocket.
I got the link to the above video from a relative via a chain email. They know nothing about prepping or what I may be doing so this was simply a "pass it along" email. It included the link and a message before it "Is this BS or not?"
After watching I confirmed the dire financial situation and how there really is no other way out other than collapse. Haven't heard their response yet.
It was interesting to me to see this coming from a sheeple source, but a bit disappointing that the message was "is this legit?" rather than "You have to see this".
Our government is demanding we report any money we have in foreign banks with a penality of 25% for all that is found. However companies like GE, Campbells, Stanley Tools, and many others can move all their business and bank accounts out of the country with no penality. Somethings not right with this picture.
We don't use banks except for cashing our paychecks. Right now if we cash our check at the bank the check was drawn on there is no charge, (that may change in the future). I would advise anyone with any goodly amount of money in the banks to gradually remove as much as you can with out raising suspicion. The government control of the banks will come over night with no warning. You will be limited as to the amount you can withdraw per 24 hr. period.
We are already living a very low profile life. Both of us drive older cars, our little home is nice but nothing special, we don't do fancy vacations, any thing we can to stay out of the governments radar. They are spending 43% above the income we provide for them and I for one refuse to give them any more without a screaming fight.
Not only no penalty, they get rewarded for it! Thats how GE paid no taxes. What a joke.
We would love to leave the country for good when the future wife retires, maybe somewhere sunnier and warmer, with no dogs in the oil fight. I have freinds already planning to retire in Central America.
If we dont end up leaving, we will end up out West somewhere, where the winters arent brutal, and there arent earthquakes or wildfires. And West or at least away from Jellystone. And not in a floodplain. And on and on.
I have seen extreme poverty, and I'll say they seem happier leading a simple life then most of us.
Got off track there...
The plan for getting out of debt, according to this Ryan cat is to raise the debt ceiling to 19T in 5 years. Sounds good.