Don’t Worry, The World is Still Doomed

Don’t worry, the world is still doomed. As we approach the end of December 21, worldwide, we can begin to look back and think to ourselves: what if the world really had ended? Did we live the way we would have wished? Were we focused, altruistic and driven to succeed? Or, did we bide our time? Well, either way, the world is still ending, so you might still get your chance to know what it feels like on the edge of that abyss.

The same forces are at work as ever were, and they spell economic doom ahead. The End of the Monetary System As We Know It, As Dollar Vigilante editor Jeff Berwick terms it.  The U6 reading still puts unemployment around 25%. In a nation of 315 million, that means 69.3 million individuals are unemployed, or three times the amount of the current official unemployment figure.  Now we are left with 245.7 million workers, whom are fewer than the 289 million assuming an official unemployment figure,  28% of whom makes 68, 796,000. So, now, when we add 69,300,000  – that is, those unemployed – to the number making poverty-wages, 68,796,000, we get a total of  about 138,096,000 at the poverty line in the United States today.  That is nearly 44% of the population living in poverty.

And, as Forbes points out, “2014 is Bernanke’s year: unlimited QE and total control of the Fed.” That is one of the main things cemented in the reelection of Barack Obama.  The Federal Reserve, overseen by Bernanke, has subjected the nation and world to its purchasing of unlimited Treasuries and residential mortgage-backed securities (RMBS) until the unemployment rate falls. Surely, these packages will have been packaged by Wall Street so as to ensure extreme risk, for through obfuscation of the financial system can Wall Street and the City of London, etc. wiggle out of this web of destruction they’ve weaved. Otherwise, they’re left out to dry with the rest of us.

Throughout 2013, and probably the following year, rates will remain suppressed, resulting in a depreciation of the dollar at a moderate yet quickening pace, while the stock market will continue to receive  a mass of false liquidity.

Not only Bernanke, but many of his fellow central bankers across the globe have decided to follow the path of most quantitative easing, defined by zero-bound nominal interest rates as well as historical balance sheet expansions.  The Federal Reserve is no longer a market participant, but is literally the market. It can dictate velocity and vector. It can, all on its own, flood markets or cause a drought.  According to Barclay’s economic team, the Federal Reserve is destined to own one third of the Treasury market by the end of the next year. In other words, the US taxpayer.

Forbes anticipates that the Fed will “turn even more bullish in 2013, as its natural rotation sees two centrists and Jeffrey Lacker, head of the Richmond Fed and a lone dissenter in the FOMC, replaced. Set to replace these two are Esther George of Kansas City’s Fed, who is a “moderate hawk,” meaning she’s is somewhat opposed to more easing. The other is James Bullard from the St. Louis Fed, who might oppose, but most likely will go along with the party line. The fiscal cliff is incoming, and the government is divided. The market is totally distorted, and there is really no way to tell ‘true north.’ Goldman Sachs’ research team predicts that economic growth is set to pick up in the second half of 2013, so one could possibly wager the opposite, considering inanity of that institution. Unemployment must fall to below 6.5% for the Fed to stop on its current path. So, from its realistic level of approximately 25%, the unemployment rate must fall approximately 20%.  So, like a shotgun to the head, the US Federal Reserve will print with no underlying assets. The nation is suffering from it, and any indicators that might provoke the Fed to officially stop QE are going in the wrong direction.

As far as food stamps are concerned, whereas in December 2008 31.6 million US citizens were surviving on food stamps, that number stands today at a record 47.7 million individuals in the nation. That means an increase  of over 50 percent in just the past four years even.  The government is having to balloon in order to manage the strife it has caused by disastrous policies feeding war and famine. One recent survey posited that 55 percent of US citizens have received money from a safety net program managed by the federal government at some point in their lives.

It’s not hard to figure out how this strife affects children. We see the violence and bullying of suffering played out on the playgrounds…if only we’d pay attention and recall our experiences on the playgrounds, and how much harder it must be today considering the overall increase in the amount of suffering since the economic collapse. For the very first time in US history, more than a million public school students are homeless in the US, and that number has risen by 57 percent since 2006-2007.

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