Tag Archives: Economic Depression.

THE BEADY EYE SAYS: WE HAVE THE DREADED C – WORD AND SOON WE WILL HAVE THE DREADED R-WORD WHICH WILL TURN INTO THE DREADED D- WORD.

16 Saturday May 2020

Posted by in #whatif.com, 2020: The year we need to change., COVID-19, Economic Depression., How to do it., Modern day life., Pandemic, POST COVID-19., Purchasing Power., Survival., The common good., The Future, The Obvious., The state of the World., The world to day., Truthfulness., Unanswered Questions., WHAT IS TRUTH, What Needs to change in the World, World Economic Depression.

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(Four-minute read)

Unless you already live in a cave or you are a complete and total mindless follower of the establishment media, you should be able to see very clearly that our society is more vulnerable now than it ever has been. Just as the course of the virus is uncertain, so too is its likely economic impact.

The reality is that very many people will be caught totally unaware and totally unprepared when the Economic Depression befall our generation…

Although we have all seen recessions most of us have little or no concept of an economic Depression.

A recession persists for 2 or more years.

Its starting gun is.

Two consecutive negative quarters of GDP over 6 months. A rise in unemployment of around 2%.Falls in GDP, Stock Markets, Real Estate prices, Exports/Imports, Real income, Savings rates, Industrial production, Corporate investment, Wholesale/retail sales, Interest rates falling. 

A Depression is altogether another kettle of fish.

Depression means the downturn has lasted a much longer time—usually years—with a much deeper impact.

I am not being alarmist but it’s time to start calling the current situation what it is: A Depression and it will drag on for many years.

True, that this one will not be a full replay of the Great Depression, but that’s cold comfort considering it lasted some 23 years.

Its starting gun is.

When GDP experiences a serious decline greater than 10%.

The Unemployment Rate spikes dramatically sometimes up to 25-40% in some sectors. Credit Liquidity dries up. Banking and Financial Crises rock the world.
Corporate and personal bankruptcies escalate. Corporate and personal bankruptcies escalate. Sovereign Debt Defaults and Bank closures cause a flight to cash, gold, or silver. International commerce and trade are curtailed as Trade Wars break out.
Desperate Currency Devaluations between nations result in a desperate “race to the bottom.” Entrenched Price Deflation replaces concerns over Inflation or Stagflation.
Civil strife sees law and order break down, crime and rioting escalate. Political tensions result in wars and a break down in societies.

Running the money printing presses day & night will not stop a Global Economic Depression. 

Unemployment in both the United States and Europe remains disastrously high. Leaders and institutions are increasingly discredited. And democratic values are under siege. 

It’s no wonder that working-class person is scared to death they’re going to lose their house, and scared to death they’re going to lose their job and it may prove almost impossible to find another quickly.

So here are a few beady eye possible suggestions:

The sad truth is that the vast majority of people would last little more than a month on what they have stored up in their homes. 

Falling asset values and falling wages or income are a killer if you’re lumbered with high debt and interest repayments. Cash Is King in a Deflationary Environment.

Now is the time for preparation to form buying Co-ops/ Neighborhood Aid associations, Growing clubs. 

The greatest responsibility for healthcare will have to be taken on by community-based organizations and family networks, which would provide services more efficiently than the formal health system. 

Everything comes to an end, including Depressions

All human suggestions and comments appreciated. All like clicks and abuse chucked in the bin.

 

THE BEADY EYE’S: HOW TO SURVIVE THE COMING ECONOMIC DEPRESSION.

30 Thursday Apr 2020

Posted by in #whatif.com, 2020: The year we need to change., Economic Depression., How to do it., POST COVID-19.

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(Two-minute read)

Ok, This post is to encourage suggestions as to the best practices 

That last the Great Depression lasted for 10 years so you will have plenty of time to add your suggestions.

Since the start of the COVID-19 pandemic, countries have poured funds into saving their economies.

You don’t need a Bachelor’s in Economics, to know that where the demand goes out the window so does the supply. Just watch the Unsustanianle Advertising Industry desperately trying to create demand. It would not surprise me before long if they will be promoting Bio corona free recycled paper to wipe your troubles away.  

At the intersection of social science and mathematics is economics, the science of money.

COVID-19 is exposing the weakness of money and the lack of attention to what should have been valued in the first place to make social science with the result that the great lockdown is now on course to turn into the great slump. 

So here are 10 steps to personally take to prepare for a deflationary depression. 

  1. Don’t sign up for a tracking App unless it is 1000% transparent.
  2. Don’t trust the banking system. Don’t think bank runs can’t happen- they can. “Cash is king” as average joes like you and I will not be able to depend on credit to get the things we need.
  3. Gain some control over the necessities of your own existence if you can afford it.
  4. Be prepared to work with others as that will give you far greater scope for resilience and security. Form buying clubs. Growing Coops.Independent food security as much as possible.
  5. Be worth more to your employer than he is paying you.
  6. Look after your health!
  7.  Hold no debt (for most people this means renting)
  8. If possible Pay off your debt and do not take on a new debt no matter how low-interest rates may appear to be. 
  9. Instead of focusing on debt and credit, pay attention to your liquid assets.
  10. If times get tough, you’re gonna want like-minded people to work, trade, and barter with. Don’t rely too much on internet “prepper groups.” Instead, you’re going to turn to family members and friends you already know and trust. Invest in relationships with people who actually live near you and will be able to physically lend a helping hand when you need it.

(Deflation, for those of you who don’t know, is the phenomenon when prices for goods and services get lower and lower and lower during a given period of time.) Much worse than inflation because debts, in real terms, become far harder to pay off.

All contributions appreciated. All like clicks and abuse chucked in the bin.