Whats happening to US Economy? - Not Good!

[Asian.Century]

Interesting.....................

 

[Asian.Century]

Dollar & pound collapse in evitable!!!

 

[Asian.Century]

The Economic Collapse

 

[Asian.Century]

I think this happening right now.

1) US economy has been really slow, so the federal reserve (the central US bank) has kept interest rates artificially low so people would borrow money and spend it more (because low interest rates make borrowing money cheap).

2) The no-money-down mortgage loan was introduced and lots of people rushed to get a house without paying any money up front. While interest rates were low they could "maybe" afford to make mortgage payments every month, but their rates started going up and many of them are getting kicked out of their houses.

3) Now there is a surplus of houses/condos on the market because everyone is trying to unload those houses they bought and now can't afford. That is driving down home value rates and making people less wealthy.

4) Lots of those no-money-down loans are now not being paid by the people who took them out because they can't afford them. That means that the banks have basically been giving their money away to people who aren't paying them back. What's more, the banks have been either lying about it to make themselves look better, or they just don't know how much debt they have on their books.

5) Banks are afraid to loan to anyone including each other because they are afraid they won't get the money back, which means that you may not be able to pull out the money in your bank account.

6) The chairman of the federal reserve proposed a plan to pour $700 Billion (that's a lot of freaking money) into the banks that are failing, including Lehman Brothers, Fannie Mae and Freddie Mac. Basically the government has bought the stock of these companies, allowing them to have money to lend and spend again, and then when the stock goes back up (which is pretty worthless now because the companies were going bankrupt) the taxpayer money should in theory be returned to the government with some extra.

7) There has been a lot of controversy about this because a lot of Americans don't believe we should be spending our public funds to rescue corrupt lying bankers from bankruptcy. However, people in government and banking/investing say that literally Americans wouldn't be able to withdraw their money from the bank. No one would be able to get loans, your credit card would stop working, and there would be mass panic because no one could buy anything. Whether either of these viewpoints is true is up for debate, and technically we'll never know because Congress approved $350 Billion for the banks immediately.
Also see Wikipedia, I'm sure they have a great article on it.

 

[boomslang]

I love how all the anti-American geniuses on this site predict the U.S. collapse year after year, and nothing happens. Wishfull thinking my jealous friends. HAHAHAHAHA !!!

 

[Asian.Century]

Who Destroyed the Economy? The Case Against the Baby Boomers - The Atlantic

 

[Asian.Century]

Why The Collapse Of The U.S. Economic & FInancial System Has Accelerated


http://www.zerohedge.com/news/2016-07-01/why-collapse-us-economic-financial-system-has-accelerated

 

[Hassan Guy]

DEBT is too high

 

[anon45]

Why The Collapse Of The U.S. Economic & FInancial System Has Accelerated


http://www.zerohedge.com/news/2016-07-01/why-collapse-us-economic-financial-system-has-accelerated

This thread is such gold. year after year.