Monday, March 9, 2009

Welcome To The Depression

Time to start a new series, this one chronicling the nascent depression.

Here is the link and video I've already posted on Facebook:

And a cheerful post from The Moderate Voice.

Choice cut:
Longtime readers know that I have long thought a depression was inevitable for the US and the world in general because of the enormity of our debt.

Meanwhile, the country is seeing record home vacancies. “More than 14 million housing units are vacant. That number does not include an estimated 4.8 million seasonal or vacation homes, most of which are occupied part of the year.” This is completely insane.
And the financial system? It’s still as close to complete collapse as ever for the United States, and in worse shape in developing countries and Europe. I would be very surprised if we didn’t see sovereign bankruptcies (even Ireland and Spain are increasingly at risk) of rather important countries in the next year, bankruptcies that could potentially lock up the European and hence global financial system to the extent it was for a few days last fall — but this time for much longer. I have a feeling the tent cities are going to get a lot larger.
A little something from The UK's Daily Mail:
With America's economy in freefall and its housing market in crisis, California's state capital has become home to a tented city for the dispossessed.
Those who have lost their jobs and homes and have nowhere else to go are constructing makeshift shelters on the site, which covers several acres.
As many as 50 people a week are turning up and the authorities estimate that the tent city is now home to more than 1,200 people.

Foreclosure rates last year rocketed by 327 per cent, with up to 500 people a day losing their home.
And a slideshow from MSNBC.

Strap yourselves in, folks, it's going to be a bumpy-ass ride.

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