Worst drop EVER: US economy plunges over 31% in second quarter

[blueazure]

USA is a large mostly self sufficient country. If their is a major global economic crisis, smaller and developing countries countries be impacted first and more severely. This is not something we should be looking forward to. USA will shrug it off better than most nations.

soviet union -

abundant natural gas and oil

vast and fertile farmland of wheat

strong military


yet?


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collapsing empires have little to do with resources sir ,

 

[INS_Vikrant]

soviet union -

abundant natural gas and oil

vast and fertile farmland of wheat

strong military


yet?


---------

collapsing empires have little to do with resources sir ,

Having abundant resources means squat if your policies suck and you cannot manage it well, look at Venezuela. Simply put communism doesn't work in long run and eventually sooner or later the system collapses. USSR was also bound to collapse but it wouldn't have happened so soon if they weren't locked in expensive space race, arms race and many race with western world which they could not afford.

 

[PakFactor]

Having abundant resources means squat if your policies suck and you cannot manage it well, look at Venezuela. Simply put communism doesn't work in long run and eventually sooner or later the system collapses. USSR was also bound to collapse but it wouldn't have happened so soon if they weren't locked in expensive space race, arms race and many race with western world which they could not afford.

Venezuela wasn’t in that bad of a shape economically, what killed its economy was sanctions and total blockade by the west. Had that not happened they would’ve been just fine which doesn’t have squat to do with democracy or communism.

 

[CrazyZ]

soviet union -

abundant natural gas and oil

vast and fertile farmland of wheat

strong military


yet?


---------

collapsing empires have little to do with resources sir ,

Having abundant resources means squat if your policies suck and you cannot manage it well, look at Venezuela. Simply put communism doesn't work in long run and eventually sooner or later the system collapses. USSR was also bound to collapse but it wouldn't have happened so soon if they weren't locked in expensive space race, arms race and many race with western world which they could not afford.

USA is not USSR or Venezuela. In addition to resources..... It has a highly innovative private sector with great financial/business acumen. USA will do better than most countries in any global economic crisis. It may lose its top position but will not collapse.

 

[letsrock]

The biggest advantage of usa is not so much natural resources or corporate capability - though they are factors. But a proper well defined nation with a language. Its basically a protestant nation with well defined sense of right and wrong. While it did not treat minorities right at sometimes it essentially works very well for whites who are 70 percent of population.

Also protestantism in 16th and 17th century was a major reformation and promoted equality, encouraged literacy among people. It eliminated power of priests, encouraged independent thinking and literacy (as everyone was expected to read and understand bible for themsevles), discouraged waste (seen as signs of ungodliness) and laid the foundation of capital.

Interestingly many other succesful countries used other means to increase capital stock (infrastructure) in their nations. China with communism for example, Japan with meiji reformation, Russia again with communism became a super power.

 

[Indos]

The biggest advantage of usa is not so much natural resources or corporate capability - though they are factors. But a proper well defined nation with a language. Its basically a protestant nation with well defined sense of right and wrong. While it did not treat minorities right at sometimes it essentially works very well for whites who are 70 percent of population.

Also protestantism in 16th and 17th century was a major reformation and promoted equality, encouraged literacy among people. It eliminated power of priests, encouraged independent thinking and literacy (as everyone was expected to read and understand bible for themsevles), discouraged waste (seen as signs of ungodliness) and laid the foundation of capital.

Interestingly many other succesful countries used other means to increase capital stock (infrastructure) in their nations. China with communism for example, Japan with meiji reformation, Russia again with communism became a super power.

That is maybe the reason of why Protestant nations are progressing way more than Catholic nations.

 

[Nasr]

This interview was given in 2018, by a "Pulitzer Prize Winning Journalist" Chris Hedges. His explanation on how and why the american empire will collapse, hits the nail on the head!!

He explains the fundamental principle on which the U.S stock markets are rallying, is because of the corporate tax cuts, that will erase $1.5 trillion from the american budget, over the course of the next ten years. At present, we are a quarter the way through this period, as we approach 2021.

 

[Nasr]

The death of the American Empire will come from suicide – Max Keiser

The hosts of RT’s Keiser Report say that the US Treasury market is now so large that the only way to keep it under control is for the Federal Reserve to intervene.

Max Keiser says that “The market for Treasury bonds – the thing that keeps America afloat – is again cut dramatically because nobody else wants American Treasury bonds, and then the US Federal Reserve bank got in the business of buying its own US Treasury bonds and monetizing the debt.”

Max explains that they hope that one day they’ll be able to start diminishing their balance sheet. “Now they are at the point where they have no option but to keep selling worthless US government Treasury bonds and then, of course, having to print more and more fiat money, worthless paper money… in this vicious cycle of self-destruction.”

According to Max, “Empires really never die from without, they always die from suicide. And I think that’s pretty much the US Treasury market and the US.”

The death of the American Empire will come from suicide – Max Keiser

The death of the American Empire will come from suicide – Max Keiser

www.rt.com

 

[LeGenD]

@Nasr

Virtually every economy of the world contracted due to COVID-19 outbreak. This does not suggest that recovery is improbable down the road.

 

[W.11]

If the US economy collapses you can kiss Europe goodbye too, and that means the Middles East and China would go down too because Oil exports from the middle east would fall, no foreign tourists and investors anymore and China is an export oriented economy so if the US and EU go down, China would too.

lmao

regards

To add to that, america's current military budget has swollen to $1.4 trillion. With a 31% drop in america's GDP, the highest in recorded history. It is only a matter of time when america will go to war, in order to avert total economic collapse. Germany did that in 1937, america is doing it since the end of the Cold War, in 1990. The total economic collapse of america is not a matter of "if", rather it's a matter of "when."

america would go to war with swords and sticks this time. if they go t war we can already se 51 countries in USA.

regards

 

[Nasr]

@Nasr

Virtually every economy of the world contracted due to COVID-19 outbreak. This does not suggest that recovery is improbable down the road.

Not when the state in question, has a cumulative public debt of $27 trillion, private debt of $50 trillion, the degradation of the Petrodollar and the creation of adjacent institutions/systems to challenge the likes of World Bank, International Payment System, Petrodollar and the International Monetary Fund. For such a state, Covid-19 act as the final few nails in the coffin of the american ... sorry zionist-american empire!!

 

[LeGenD]

Not when the state in question, has a cumulative public debt of $27 trillion, private debt of $50 trillion, the degradation of the Petrodollar and the creation of adjacent institutions/systems to challenge the likes of World Bank, International Payment System, Petrodollar and the International Monetary Fund. For such a state, Covid-19 act as the final few nails in the coffin of the american ... sorry zionist-american empire!!

Modern economic system is increasingly DEBT driven worldwide.

American DEBT is also a source of revenue generation (e.g. Treasury Bonds):

How the Federal Government Borrows Money
The federal government borrows money from the public by issuing securities—bills, notes, and bonds—through the Treasury. Treasury securities are attractive to investors because they are:

• Backed by the full faith and credit of the United States government
• Offered in a wide range of maturities
• Exempt from state and local taxes
• Mostly marketable, meaning they can be resold in the financial market (a small portion are nonmarketable and can’t be resold, like U.S. Savings Bonds).

Investors can easily trade Treasury securities because there are many people interested in buying and selling them at any given time. Investors are willing to pay more for this safety and liquidity—leading to lower borrowing costs (interest on the debt) for the government.

Here is a breakdown of the investors and holders of intragovernmental debt (debt held by government accounts):

Details in the following link: https://www.gao.gov/americas_fiscal_future?t=federal_debt

Important considerations are BALANCE OF PAYMENTS and Managing the DEBT respectively.

Modern economic system is a complex mix of POSITIVES and NEGATIVES in theory and practice. Things are to be balanced and managed in the long-term.

Russian DEBT is very small (POSITIVE?) but this does not suggest that Russian economy is in good shape and/or worth investing in (NEGATIVE?).

Look at the sheer size of American economy in comparison to that of others:

Some of the greatest minds are in the works to manage a economy that big.

There are contingency arrangements in place as well:

Modern economic system is also subject to SPECULATIONS in practice. You are taking these too seriously... Economists think differently - they have the mindset to take on challenges.

 

[VCheng]

Modern economic system is increasingly DEBT driven worldwide.

American DEBT is also a source of revenue generation (e.g. Treasury Bonds):

If there is any country whose demise has been predicted more often on PDF than Pakistan itself, has to be USA.

(Neither demise has come about yet, nor is likely to anytime soon.)

 

[Nasr]

Modern economic system is increasingly DEBT driven worldwide. American DEBT is also a source of revenue generation

american debt as a source of revenue? That would have been true until the Petrodollar started losing its value. Treasury Bonds are losing their value in the face of rising challenges from cryptocurrency, Chinese digital Yuan, Russia's alternative to the International Payment System and China's ADB that directly stands as an alternative to WB/IMF. Treasury Bonds thrived under the ecosystem of IMF/WB, Petrodollar, Swift, Rating Agencies and america's defacto stranglehold over Europe.

Today the reality shows a grim picture of where america is really headed. America's credibility lay hand in glove with its ability generate revenue from its treasury bonds. Mounting debt, a vaporized Middle Class America, Wars and the rise of China and Russia, makes it america stand in negative territory. When america dictates to Europe on whom it should buy it's natural gas from, you know that you lose allies fast.

Some of the greatest minds are in the works to manage a economy that big.

Really!? Well they sure are doing a spectacular job at keep america at the helm. When america experiences the worst ever financial quarter, in recorded history. Someone isn't doing their job right!!!

US economy posts its worst drop on record

The US economy contracted at a 32.9% annual rate from April through June, its worst drop on record, the Bureau of Economic Analysis said Thursday.

edition.cnn.com

And speaking of revenue, if the debt is actually benefiting america, then how is it that america is witnessing record breaking unemployment? Would the "brilliant minds" have the interest of the american people, at heart? Or is the truth really so fugly, that they only have their own interest at heart, while americans can literally get screwed over.

Unemployment Claims Reach Over 3.2 Million, Highest Level In US History

U.S. unemployment claims reached the highest level in history last week to more than 3.28 million claims due to the impact of the coronavirus.

www.ibtimes.com

There are contingency arrangements in place as well

Are we talking about the same contingencies that worked so well in 1973, which brought down the Brethren Woods System. That saw america renege on its responsibility of redeeming dollar for gold? Worked well back then eh?

Bancroft Library

The Bancroft Library is the primary special collections library at UC Berkeley, and one of the largest and most heavily used libraries of manuscripts, rare books, and unique materials in the United States. Bancroft supports major research and instructional activities and plays a leading role in...

bancroft.berkeley.edu

 

[Hamartia Antidote]

american debt as a source of revenue? That would have been true until the Petrodollar started losing its value. Treasury Bonds are losing their value in the face of rising challenges from cryptocurrency, Chinese digital Yuan, Russia's alternative to the International Payment System and China's ADB that directly stands as an alternative to WB/IMF. Treasury Bonds thrived under the ecosystem of IMF/WB, Petrodollar, Swift, Rating Agencies and america's defacto stranglehold over Europe.

Today the reality shows a grim picture of where america is really headed. America's credibility lay hand in glove with its ability generate revenue from its treasury bonds. Mounting debt, a vaporized Middle Class America, Wars and the rise of China and Russia, makes it america stand in negative territory. When america dictates to Europe on whom it should buy it's natural gas from, you know that you lose allies fast.



Really!? Well they sure are doing a spectacular job at keep america at the helm. When america experiences the worst ever financial quarter, in recorded history. Someone isn't doing their job right!!!

US economy posts its worst drop on record

The US economy contracted at a 32.9% annual rate from April through June, its worst drop on record, the Bureau of Economic Analysis said Thursday.

edition.cnn.com

And speaking of revenue, if the debt is actually benefiting america, then how is it that america is witnessing record breaking unemployment? Would the "brilliant minds" have the interest of the american people, at heart? Or is the truth really so fugly, that they only have their own interest at heart, while americans can literally get screwed over.

Unemployment Claims Reach Over 3.2 Million, Highest Level In US History

U.S. unemployment claims reached the highest level in history last week to more than 3.28 million claims due to the impact of the coronavirus.

www.ibtimes.com

Are we talking about the same contingencies that worked so well in 1973, which brought down the Brethren Woods System. That saw america renege on its responsibility of redeeming dollar for gold? Worked well back then eh?

Bancroft Library

The Bancroft Library is the primary special collections library at UC Berkeley, and one of the largest and most heavily used libraries of manuscripts, rare books, and unique materials in the United States. Bancroft supports major research and instructional activities and plays a leading role in...

bancroft.berkeley.edu

People have been making your same dire collapse predictions every year about the debt since Ronald Reagan was in office in the early 1980's. Why is the collapse so imminent now vs one of the previous 40 years?