Alstrynomics...One Year Later
A little less than a year ago, I started blogging on CAPs warning that our Ecomomy was going to be facing a Tsunami with a force not seen in at least two generations. Back then I was chastised as being a doom and gloomer, or an extremist. The flip flopping bi polar manic depressive psychotic blogger fka FloridaBuilder was at top of the list....now curled up in the fetal position sucking his thumb hiding in a corner somewhere behind his identity de jour.
My friends, I was characterized this way even though I was sanitizing how I really saw the destruction of the upcoming storm. If you look to your left, then look to your right, it is very likely one of your neighbors will be unemployed this year.
Today, Toyota shut down ALL of its factories in Japan for 11 days. This has NEVER happened before. NEVER Alcoa announced it is laying off 13% of its entire workforce. 20-30% of all retailers are expected to go bankrupt this year. Half of mortgage brokers have been released. Incomes of many real estate agents and airline workers have been cut by over 40%. Auto company revenues are down around 40%. States are on the verge of running out of money and cities are in the brink of bankruptcy.
This is where I saw things going last year. We have arrived and the worst is still ahead, .....although reported unemployment, at this time, is lower than I expected.....there is little doubt now that unemployment is about to skyrocket....just wait until the BLS backs out birth/death adjustments and spouses and retirees return to work to supplement income and are added to the unemployment roles....the numbers are goiing to be out of this world.
The problem is when nations don't have enough money to meet needs, military intervention is often seen as a potential solution. With tensions rising all around the world, simutaneously, we are on the edge of something potentially very dangerous.
We are rapidly running out of money, unless we restructure very very soon.....expect to see things degenerate very very quickly.....very very quickly.