Tag Archives: Great Depression

Like his predecessor FDR…

Today’s article by Bob Unruh says what nobody in the main stream media is willing to say. ~TD

WND EXCLUSIVE

OBAMA LEADING NATION INTO ‘FULL-ON DEPRESSION’

Pollster: ‘I cannot remember a time when America was this despondent’

by BOB UNRUH

Barack Obama has led the nation into a “full-on depression,” according to a new poll that indicates only one in three people believes America is going in the right direction.

Depressed in America

Depressed in America

The poll shows a whopping 38 percent of Democrats believe America in general is “on the wrong track” or they are not sure.

The results are from a telephone poll conducted for WND by the public-opinion research and media consulting company Wenzel Strategies. It was taken Jan. 9-12 and carries a margin of error of plus or minus 3.22 percentage points.

On the basic question, 34 percent said the nation is going the right direction, 60 percent said America is on the wrong track and 6 percent said they were unsure.
Read more at http://www.wnd.com/2013/01/obama-leading-nation-into-full-on-depression/#a1GaTTpv2WdB48wg.99

20% of U.S. households are on food stamps

Last week, the U.S. Department of Agriculture issued a report (in PDF format here) that shows just how well our economy is recovering [snark]:

  • As of January 2012, the most recent month available, 46.5 million Americans or 20% (22.2 million) of U.S. households are in the Supplemental Nutrition Assistance Program (SNAP) or food stamps program.
  • The average household in SNAP receives $277/month; the average participant receives $132/month.
  • Less than half of the SNAP benefit paid monthly actually goes to  buying food. 
  • SNAP is not supposed to be the only source of food purchasing for a household in the program. SNAP money represents about 30% of their income. The typical SNAP recipient also receives other “government transfer payments”: Social Security (21%), Social Security Insurance/Disability (21%), and child support payments (10%).
  • Households with children account for 71% of all demand for SNAP. The typical SNAP participant is a child under the age of 18; children account for 47% of the program. Surprisingly, the elderly are only 8% of the program.
  • Food stamps appear to be a long-term dependency. Those who were enrolled in the SNAP program in the early-to-mid 2000s remain enrolled for 7 years on average. Over half of those who left the program returned within 2 years.

Writing for ZeroHedge.com on April 20, 2012, Nic Colas of ConvergEx puts the numbers into perspective for us:

  • If the 46.5 million Americans on food stamps were a state, it would be the largest state in the Union.
  • If the adults enrolled in the SNAP program (about half the 46.5 million total) all voted for one Presidential candidate in the Fall, they would represent over 2x the margin of victory in the 2008 election.

Colas also gives us the historical background.

The SNAP or Food Stamps program got its start in the Great Depression — an effort to give some of the surplus produced by America’s agricultural system to the urban poor. The poor could buy “stamps” that entitled them to buy both regular foodstuffs as well as discounted surplus produce. The program went dormant during World War II but President Kennedy resurrected it in 1960, altering it from a pay-for-stamps system to a straight entitlement. With some tweaks and alterations, this is the program we have today – a nationwide system of evaluating those who are deemed to be at risk of food insecurity (typically those making less than 130% of the poverty line) and giving them money to purchase food.

Mindful that long economic recessions have a way of forming permanent habits among Americans, Colas warns that the Food Stamps program has all the signs of becoming a permanent entitlement:

The trouble, as I see it, is that the SNAP program has become wildly successful.  That is not a slam against the people that use it – I personally agree that no one, especially a child, should go to bed hungry in America.  But it’s not hard to see where this program is creeping its way from counter-cyclical stimulus and support to a lasting entitlement program that will be very hard to change.

[...] a large percentage of the population – 20% of households is a big number – is locked into this program.  There are endless studies in the world of behavioral finance that show that people are very quick to budget increases in disposable income as permanent. And don’t forget that by the USDA’s own numbers, most of the benefit is effectively NOT being spent on food.  In the narrowest sense, the money spent on the SNAP program is tiny relative to the Federal budget – $6 billion a month, or a drop in the $270 billion/month government spend.

But this is where I wonder about the long shadow of the last recession.  Have we reached a point where Americans want a clear and potentially permanent social safety net?  And how far should it go? Again, the current SNAP program is a cheap way to provide this, so from a budgetary or societal standpoint it is hard to argue that it breaks the bank.  But what if it is an emblem of something greater?  In many ways I think this is a big chunk of what the November election will be about, and at least the Food Stamp program seems to show that Americans have made up their minds.

Add to Colas’ observations the fact that 47% of SNAP recipients are children — and there is even more reason for us to wonder if new generations of Americans are growing up with a permanent sense of entitlement and dependency on Big Government to provide for them.

~Eowyn

Dire Warnings and 100 Items You Need to Survive

Now that we’ve done our cheery “Happy New Year” greetings, it’s time to get more serious.

I’m a boomer. In my lifetime, I can’t remember a new year beginning with such dire warnings and grim outlook.

This morning, the UK’s The Telegraph reports that Americans bought record numbers of guns last month amid an apparent surge in popularity for weapons as Christmas presents.

Another UK paper, Daily Mail, is grimmer still. Dominic Sandbrook writes that a “loss of faith in politicians and democracy could make 2012 the most frightening year in living memory.” Sandbrook goes as far as to compare our time with the Great Depression:

“For the most chilling parallel, though, we should look back exactly 80 years, to the cold wintry days when 1931 gave way to 1932…. It was in 1931 that the Great Depression really took hold in Europe, bringing governments to their knees and plunging tens of millions of people out of work. Then as now, the crisis had taken years to gather momentum. After the Wall Street Crash in 1929 — just as after the banking crisis of 2008 — some observers even thought that the worst was over. But in the summer of 1931, a wave of banking panics swept across central Europe.”

Last November, it was reported that survival stores across the US and on the Internet are reporting larger than usual sales in survival supplies. Ammo and gun sales are also increasing. People are stocking up on MREs (Meals Ready To Eat used by the military), freeze dried foods, and dehydrated foods.

Steve Dorsey, the manager of Uncle Sam’s Safari Outfitters Inc., told CBS St. Louis business has been brisk since the spring uprisings in the Middle East, as customers share concerns about political uprisings, the world economy and the future of the United States. Dorsey said some customers talk of stocking up on freeze-dried meals for the home, while others confide they are stashing supplies at a remote location away from the city where they would go in an emergency:

“We had to order fifty cases of the meals ready to eat to keep up with the demand in the past three months. That’s not normal.  Usually we sell 20 to 30 cases in a whole year. I’ve had people in here that are very wealthy and they’ve spent thousands of dollars just on backpacks that they fill with survival gear, one for each person of their family. And something where they can just grab a bag and get out of Dodge.”

If you’re serious about survival supplies, here are “The One Hundred Items To Disappear Off The Shelves First”:

  1. Generators (Good ones cost dearly. Gas storage, risky. Noisy…target of thieves; maintenance etc.).
  2. Water Filters/Purifiers.
  3. Portable Toilets.
  4. Seasoned Firewood. Wood takes about 6 – 12 months to become dried, for home uses.
  5. Lamp Oil, Wicks, Lamps (First Choice: Buy CLEAR oil. If scarce, stockpile ANY!).
  6. Coleman Fuel. Impossible to stockpile too much.
  7. Guns, Ammunition, Pepper Spray, Knives, Clubs, Bats & Slingshots.
  8. Hand-can openers, & hand egg beaters, whisks.
  9. Honey/Syrups/white, brown sugar.
  10. Rice – Beans – Wheat.
  11. Vegetable Oil (for cooking. Without it food burns/must be boiled etc.)
  12. Charcoal, Lighter Fluid (will become scarce suddenly).
  13. Water Containers (Urgent Item to obtain. any size. Small: HARD CLEAR PLASTIC ONLY – note – food grade if for drinking).
  14. Mini Heater head (Propane; without this item, propane won’t heat a room.)
  15. Grain Grinder (Non-electric).
  16. Propane Cylinders (Urgent: Definite shortages will occur.)
  17. Survival Guide Book.
  18. Mantles: Aladdin, Coleman, etc. (Without this item, longer-term lighting is difficult.)
  19. Baby Supplies: Diapers/formula. ointments/aspirin, etc.
  20. Washboards, Mop Bucket w/wringer (for Laundry)
  21. Cookstoves (Propane, Coleman & Kerosene)
  22. Vitamins
  23. Propane Cylinder Handle-Holder (Urgent: Small canister use is dangerous without this item)
  24. Feminine Hygiene/Haircare/Skin products.
  25. Thermal underwear (Tops & Bottoms)
  26. Bow saws, axes and hatchets, Wedges (also, honing oil)
  27. Aluminum Foil Reg. & Heavy Duty (Great Cooking and Barter Item)
  28. Gasoline Containers (Plastic & Metal)
  29. Garbage Bags (Impossible To Have Too Many).
  30. Toilet Paper, Kleenex, Paper Towels.
  31. Milk – Powdered & Condensed (Shake Liquid every 3 to 4 months)
  32. Garden Seeds (Non-Hybrid) (A MUST)
  33. Clothes pins/line/hangers (A MUST)
  34. Coleman’s Pump Repair Kit
  35. Tuna Fish (in oil)
  36. Fire Extinguishers (or large box of Baking Soda in every room)
  37. First aid kits
  38. Batteries (all sizes…buy furthest-out for Expiration Dates)
  39. Garlic, spices & vinegar, baking supplies
  40. Big Dogs (and plenty of dog food)
  41. Flour, yeast & salt
  42. Matches. {“Strike Anywhere” preferred.) Boxed, wooden matches will go first.
  43. Writing paper/pads/pencils, solar calculators
  44. Insulated ice chests (good for keeping items from freezing in Wintertime.)
  45. Workboots, belts, Levis & durable shirts
  46. Flashlights/LIGHTSTICKS & torches, “No. 76 Dietz” Lanterns
  47. Journals, Diaries & Scrapbooks (jot down ideas, feelings, experience; Historic Times)
  48. Garbage cans Plastic (great for storage, water, transporting – if with wheels)
  49. Men’s Hygiene: Shampoo, Toothbrush/paste, Mouthwash/floss, nail clippers, etc
  50. Cast iron cookware (sturdy, efficient)
  51. Fishing supplies/tools
  52. Mosquito coils/repellent, sprays/creams
  53. Duct Tape
  54. Tarps/stakes/twine/nails/rope/spikes
  55. Candles
  56. Laundry Detergent (liquid)
  57. Backpacks, Duffel Bags
  58. Garden tools & supplies
  59. Scissors, fabrics & sewing supplies
  60. Canned Fruits, Veggies, Soups, stews, etc
  61. Bleach (plain, NOT scented: 4 to 6% sodium hypochlorite)
  62. Canning supplies, (Jars/lids/wax)
  63. Knives & Sharpening tools: files, stones, steel
  64. Bicycles…Tires/tubes/pumps/chains, etc
  65. Sleeping Bags & blankets/pillows/mats
  66. Carbon Monoxide Alarm (battery powered)
  67. Board Games, Cards, Dice
  68. d-con Rat poison, MOUSE PRUFE II, Roach Killer
  69. Mousetraps, Ant traps & cockroach magnets
  70. Paper plates/cups/utensils (stock up, folks)
  71. Baby wipes, oils, waterless & Antibacterial soap (saves a lot of water)
  72. Rain gear, rubberized boots, etc.
  73. Shaving supplies (razors & creams, talc, after shave)
  74. Hand pumps & siphons (for water and for fuels)
  75. Soysauce, vinegar, bullions/gravy/soupbase
  76. Reading glasses
  77. Chocolate/Cocoa/Tang/Punch (water enhancers)
  78. “Survival-in-a-Can”
  79. Woolen clothing, scarves/ear-muffs/mittens
  80. Boy Scout Handbook, also Leaders Catalog
  81. Roll-on Window Insulation Kit (MANCO)
  82. Graham crackers, saltines, pretzels, Trail mix/Jerky
  83. Popcorn, Peanut Butter, Nuts
  84. Socks, Underwear, T-shirts, etc. (extras)
  85. Lumber (all types)
  86. Wagons & carts (for transport to and from)
  87. Cots & Inflatable mattress’s
  88. Gloves: Work/warming/gardening, etc.
  89. Lantern Hangers
  90. Screen Patches, glue, nails, screws, nuts & bolts
  91. Teas
  92. Coffee
  93. Cigarettes
  94. Wine/Liquors (for bribes, medicinal, etc,)
  95. Paraffin wax
  96. Glue, nails, nuts, bolts, screws, etc.
  97. Chewing gum/candies
  98. Atomizers (for cooling/bathing)
  99. Hats & cotton neckerchiefs
  100. Goats/chickens

A daunting list indeed. If you are stocking up, you will need to be  prepared to defend your supplies from marauders with violence. Are you?

~Eowyn

 

America’s Free-Fall Into A Depression

Has the Greatest Depression Already Begun?

by Wayne Allyn Root

I am a successful small businessman and a patriot who loves America and always sees its greatness. I am also an optimistic, positive thinker who always sees the glass half full.

But not this time.

I predicted doom if Obama was elected. Sadly the results are far worse than imagined. The economy is in shambles. America is staring at economic disaster — Armageddon. Even me, the eternal optimist is scared at what the future holds. We are the Titanic, headed straight for the iceberg.

America has always been a land of boom and bust. It’s just part of business cycle. But Obama and his socialist cabal have channeled Hoover and FDR, who turned an ordinary bust into The Great Depression with a toxic strategy of more government, more spending, more debt, more rules and regulations strangling business, higher minimum wages, more power to unions, more entitlements, higher taxes, more printing of money by Fed, and trade tariffs. This is the Obama blueprint squared.

The question this time is, is Obama doing it because he understands nothing about business? Or does he understand exactly what he’s doing? Is Obama’s goal to overwhelm the system, incite crisis, sow doubt about capitalism, and force the citizens to beg for government to save them, thereby opening the door to Socialism? Is Obama’s plan to redistribute the wealth, and at the same time to bankrupt the people with wealth and power, thereby crippling his political opposition?

Does it really matter?

 

Here’s where the story gets downright frightening. This time the results are going to be dramatically worse than 1929. This time we are facing The Greatest Depression ever.

Why? Because The Great Depression had NONE of problems and obligations we are now facing:

In 1929 America was not $100 trillion in debt and unfunded liabilities.

In 1929, most of our states were not bankrupt, insolvent and dependent on the federal government to survive.

In 1929, we had far fewer government employees living off taxpayers. Today 1 out of 5 federal employees earn over $100,000. California lifeguards and Las Vegas firemen earn $200,000. 77,000 federal employees earn more than the Governors of their states. Government employees retire at age 50 with $100,000 pensions for life. The postal service – without competition- loses $8 billion annually. Protected by their unions and the politicians they elect, government employees are bankrupting America. Even FDR said he could not imagine allowing public employees to unionize.

In 1929, Social Security, Medicare, and Medicaid didn’t exist. The federal government had no such obligations threatening to consume the entire federal budget within a few years.

In 1929, there was no such thing as welfare, food stamps, aid to dependent children, or English as a second language programs. American’s didn’t consider it the responsibility of government to pay for breakfast and lunch for school students – let alone illegal immigrants.

In 1929, we didn’t have millions of illegal immigrants and their children collecting billions of dollars in entitlements from U.S. taxpayers.

In 1929, legal immigrants wanted only to work. My grandparents from Russia and Germany received no government benefits. They worked day and night to provide for their family and become American citizens. It was sink or swim.

In 1929, we had 150 million citizens with a strong work ethic- all motivated to earn the American Dream for their children and grandchildren. Americans were hungry in 1929. Today the hungry, motivated citizens and entrepreneurs are in China and India.

In 1929, we had an education system that was the envy of the world. Today our public schools are in shambles. We spend the most in the world, and get among the worst results. The difference today? Teachers unions are in charge, instead of parents

Our students are taught socialism and the great benefits of big government. They graduate with few skills, qualified only for low paying manufacturing jobs that no longer exist- they’ve been shipped to China and India. What will this workforce do for the rest of their lives? Live off the government dole? Who will pay for it?

In 1929 children had hope for the future. Today they are hopeless, helpless, and clueless – an entire generation that only knows drugs, gangs, rappers, government handouts, teen pregnancy- and it goes downhill from there.

In 1929 taxes were much lower. Forget the tax rates- they were meaningless. In those days we had a cash economy, so most businesses paid little or no taxes. Sales and FICA taxes didn’t exist. Today the combined local, state, property, gas, sales, FICA and federal taxes are the highest burden in history. This stifles entrepreneurship and hinders the financial risk-taking necessary to create jobs and get out of a Great Depression.

Do you get the picture? Disaster looms. We are staring at the Greatest Depression ever.

Still doubt me? Did you read the recent news report of 80 teen girls all pregnant in one Memphis high school? That’s 80…eighty…in one high school. This is happening all over the USA. Who will pay the bills?

We are in deep, deep trouble. There is no easy way out. The noose is tightening. The economy is crumbling. The situation is turning more hopeless by the hour. The more government gets involved, the worse it gets. Coincidence?

The solution is simple- cut government, cut spending, cut entitlements, cut taxes, stop the wars, end the Fed, term limit politicians, and back the dollar with a gold standard. Or, like so many other great empires of history, America may never recover from this Greatest of All Depressions that Obama is driving us directly toward.

We are living in scary times, more than likely the endtimes.  All we can do now is pray, pray for an end to this madness and an end to this dictatorship.

Tom in NC

 

This is What a Double-Dip Recession Looks Like

Still on the fence as to whether the United States is in a double-dip recession?

Data through March 2011, released today by Standard & Poor’s for its S&P/Case-Shiller1 Home Price Indices, the leading measure of U.S. home prices, show that the U.S. National Home Price Index declined by 4.2% in the first quarter of 2011, after having fallen 3.6% in the fourth quarter of 2010. The National Index hit a new recession low with the first quarter’s data and posted an annual decline of 5.1% versus the first quarter of 2010. Nationally, home prices are back to their
mid-2002 levels.

The nationwide index fell for the eighth straight month. Prices have now fallen further since the bubble burst than they did during the Great Depression. It took 19 years for the housing market to regain its losses after the Depression ended. [Source]

And this is what our double-dip recession looks like:

Have you had enough of “Hope and Change” yet?

~Eowyn