FU flu goes VIRAL
March 18 (Bloomberg) -- U.K. unemployment rose at the fastest pace since at least 1971 in February, deepening the plight of Prime Minister Gordon Brown as he struggles to stop the economy’s downward spiral.
This will be without a doubt the most unsettling phase of Alstrynomics concentric contraction and the one I have been warning you to prepare for.
There are two types of FU:
1. FU by necessity
2. FU by desire
FU by necessity will be the most common. It happens when there is simply an inability to pay ones counterparty obligation. A city tells its workers FU...your fired..or we can't afford to pay you as much even though we have a contract. A business tells another business...FU we can't pay your invoice because we can't pay our rent. An individual tells the credit card company..FU we can't pay our credit card bill because we need to pay rent.
But FU by desire will raise its ugly head as well. For example, when the credit card company raises the interest rate from 18% to 32%...many will say FU and not pay even though they may have the funds to do so...same with mortgage rates going from 6% to 9%....FU too. Taxpayers will revolt telling government FU..I am tired of using my tax dollars to give executives of private bankrupt companies millions in bonuses.
We are seeing the the beginning of the epidemic right now:
The city of Valejo CA has been judically authorized to break its union contracts with workers.
GM considering bankruptcy and likely to say FU to workers, corporate debt holders, and retirees.
Commercial Retail tenants closing down shop and saying FU to landlords everywhere.
Employers telling employees FU...we can't afford to have you around.
Employees telling credit card companies and mortgage holders in record numbers FU...we are not going to pay.
Insurance companies telling doctors...FU for a variety of reasons
Doctors telling patients FU..if you don't pay me first I am not going to treat you
Vendors telling customers..FU we are not going to supply you any more
Once enough people say FU...the stream of commerce grinds to a halt the plane lands on the Hudson...the problem now is we don't know if it stays together or not....
The FU flu is going viral and soon to be an epidemic...the current treatment plan is doing nothing to arrest it...LOANING MORE MONEY TO A PERSON WHO CAN'T PAY ONLY COMPOUNDS THE PROBLEM!!!!!!!
Is there a COMPETENT doctor in the house?????
Anyone want to share their personal encournter with the FU flu please feel free to comment below...I do have a minor background in psychology.