Opening Insights: Economic Realities
... Do you ever feel—despite the supposed economic "recovery" of recent years—that something in America is still not quite right?
If so, you are not alone.
After all, how can things be "OK" when nearly half the men ages 18-34 now live with their parents—the highest level since the Great Depression?
How can it be "normal" when in one of America's richest cities (Seattle) there are now 400 unauthorized homeless camps under bridges and along freeway medians?
How can it be a "recovery" when 78% of the U.S. population now lives paycheck to paycheck, with essentially zero savings
How can you explain things like the dramatic rise of the militant left-wing group ‘Antifa'... the resurgence of White Supremacists... and the booming popularity of the Democratic Socialists—they've doubled membership in recent months.
Sure, some people—CEOs, tech entrepreneurs, and other members of the "1%"—are doing great. There's never been a better time for wealthy Americans. But the truth is, for most people, the situation is getting much, much worse.1
These are the words of Frank Porter Stansberry, the American financial publisher and author, who nearly 20 years ago founded Stansberry Research (previously Stansberry & Associates Investment Research,) a private publishing company based in Baltimore, Maryland. Stanberry is the author of the Stansberry's Investment Advisory, a monthly newsletter covering investments and investment theory in commodities, real estate, and the stock market.
With offices in U.S., Hong Kong, and Singapore, Stansberry Research serve more than half a million paid customers in virtually every country (172). What sets the organization apart in the financial industry is their independence - they don't accept advertising OR manage money. They are not "hamstrung like major newspapers who can't offend advertisers. And we're not beholden to politicians for financial licenses. We operate under the protection of the First Amendment—so we can afford to be brutally honest about whatever is most important to our subscribers."1
Stanberry is extremely concerned about the economic and cultural situation within America (and the rest of the world). He has not hidden his opinion and concern for people and the society as a whole. He takes a libertarian approach to to publication and expresses a principle-based approach to supporting people with factual and truthful information, in the false news era.
Informational Insights: The Coming Collapse
...Now, you might hear the mainstream press and politicians talking about "wealth inequality" when referencing our country's social problems and political polarization.
But what they don't tell you is that the growing disparity between rich and poor in America is a symptom of our problem... not the root cause.Yes, today the richest 10% of America owns 75% of the nation's wealth... a level we have not seen since the 1930s...
So what's the real problem then?
Well, it isn't that a small number of Americans have done well. The real problem is how they've done well. And I'm going to explain this secret to you in just a minute: How the tremendous gains in wealth for the few have come directly at the expense of most working-class folks.
This is what's driving the anger, the radical politics, and the growing racism in our society.
You see, while the rich are getting richer, everyone else is losing ground. Look at this chart, which shows how for most Americans, real wages have been stagnant or falling for decades...
The middle class—the most politically and economically stable part of our society—is disappearing.
The foundation of the middle class in America was a long history of consistently rising wages. For millions of Americans, life got a little better, year after year, as the value of their wages increased and our economy grew into the world's largest.
But this is no longer happening. Low income earners now make LESS in real terms than they did in 1980! And middle income earners make just 6% more than they made back in 1980. That's an increase of just 0.00172% a year!
Can you imagine your boss telling you for 34 straight years that you're never getting more than a 0.00172% raise each year?
No wonder people are so angry and stressed.
They've been going to work, year after year, but instead of earning more over time, they've actually been earning less, in terms of what their wages can buy.
Despite the boom in the U.S. economy and financial assets over the past 30 years—which boosted the wealth and incomes of the wealthiest Americans like never before—average Americans are actually worse off than they were decades ago.
And so, they've been forced to borrow more and more money simply to keep up.
You can see that in the data—and I'll show it to you below.
But I bet you don't even need to see the data. Just think about your friends and people you know, and how much more debt these folks have to take on, just to keep their heads above water.
It used to be that most Americans didn't hold debt, outside of a mortgage on their first home. But after almost 40 years of declining real wages, Americans now have to go into serious amounts of debt for just about everything they buy.
Americans now have more than $1.5 trillion in college debt, for example...
And it's not just college loans that have soared.
Americans also have more than $1 trillion in credit card debt, and more than $1 trillion in auto loan debt—all record highs.
It's gotten so bad, 73% of Americans now die with debt... with an average total of more than $60,000!
Being in debt is an incredibly stressful way to live. You're in a hole and there is simply no way out. So it's no surprise that deaths by drugs and poisoning for the bottom 60% of American's population have doubled since the year 2000... and suicide rates have doubled as well over the same period.
This is incredibly sad—and it's unfathomable that this is happening in the greatest country on earth.
Unfortunately, the problem is going to get much, much worse.
You see, tens of millions of people in America are desperate. They have no way out. And sooner or later this hopelessness and desperation are going to lead to violent and radical politics.
And this enormous political powder keg is leading to THE biggest political event our country has seen in decades. I'll explain exactly what's going to play out in just a second.
But first, like I promised above...I want to explain the secret reason why investors and the rich have become so much richer... while so many Americans have become trapped in a cycle of poverty...
[...]
The Truth About America's Wealth Gap
The underlying economic problem in America today is that money no longer flows to everyone equally in the way that it used to.
That much is obvious, right? As our country has gotten richer than ever... the income disparity widens every year.
But most Americans don't understand why this is happening.
And here's the secret:
The real underlying cause of our wealth and income disparity in America is that wages are no longer connected to gains in productivity.If you can grasp this concept, you will be way ahead of 99% of the population, and it will help you make a heck of a lot of money and avoid enormous losses.
So let me explain what it means. It's not complicated...You see, back in the early part of the 20th century, economic gains were shared by both owners and workers.
Ford—and his employees—got rich boosting productivity. A new book by Porter Stansberry explains why only corporate executives get rich today.
Think about Henry Ford.He got rich making the automobile affordable with the assembly line—a huge increase in productivity. And these gains in productivity flowed directly to Ford's employees. Ford made headlines across the nation when he more than doubled his minimum pay, overnight, in 1914.
But that doesn't happen anymore. Real wages have declined for most Americans, despite huge gains in productivity over the last several decades.
Get ready America, The Jubilee is Coming
Very soon, millions of Americans will be calling for the government to "do something."
Specifically, they'll be calling for a clean slate... to wipe out their debts and "reset" the financial system.
The crowds will cheer and march like never before. The violence will escalate. Our politicians will promise this reset of the financial system as a way to a "new and better prosperity."
And while it might sound like good news to those who have gotten in over their head—what will really happen is a national nightmare.
You see, this idea of erasing debts to reset the financial system is not new. In fact, in the Bible, it's referred to as a "Jubilee."
If you're unfamiliar with the term, it comes from The Old Testament, the Book of Leviticus, Chapter 25.
A Jubilee in the Jewish tradition was said to occur roughly every 50 years.
It was a time for total forgiveness of debt, the freeing of slaves, and the returning of lands. Pope Boniface VIII proclaimed the first Christian Jubilee in 1300.
Since then, it's been used dozens of times, when anger among a population hits extreme levels, typically because of an explosive divide between the wealthy and the working class.
And very soon, millions will be calling for a new Debt Jubilee here in America.
Believe it or not, many are already doing so...
[...]
What will this Jubilee mean for you and your family?
You see, around the world today, the idea of a Jubilee has become the de facto solution for extreme financial problems... when debts can't be repaid.
[...]
But of course, this time around, the Jubilee won't be tens of thousands of people like it was in 1841... it will instead be tens of millions of people, and trillions of dollars.
Now, if you don't think a debt Jubilee is possible in America, you haven't studied U.S. history... and you aren't paying attention to the current political climate...
Look at the staggering figures behind student loans alone...
Over the past ten years, students (most of whom are young and have virtually no income) have racked up enormous debts, which currently total about $1.5 trillion.
Incredibly, that's what our entire federal government owed a little more than 30 years ago.
And these debts have ballooned to absurd amounts. The number of students with debts over $100,000 has quadrupled in the last ten years. Most of this money will never, ever be repaid.
And most Americans don't realize that the Millennials (who hold nearly 65% of this debt) are now our country's largest generation, outnumbering Baby Boomers.
Just think about the political implications...
These people have an enormous stake in whether or not a national Debt Jubilee is declared.
You see, when the rich—a very small percentage of the population—get in trouble with debt, it's an economic problem.
But when the poor and middle class—a huge percentage of the population—get in trouble with debt, it's a political problem.
And there will be major consequences...
[...]
When the Debt Jubilee arrives, the problems with all this bad consumer debt will hit at once.
Everyone will freak out.
And that's the biggest problem—the uncertainty.
No one will know for months how it will all get sorted out. So the markets will react violently.
[...]
No one can know exactly how it will be done, but through one mechanism or another, the government will seek to reset the financial system... and they will start by wiping out trillions of dollars in bad debt.
Car companies, homebuilders, credit card companies, insurance firms, banks, other lending institutions, and any business operating with leverage, will take a huge hit.
Stocks will fall considerably. Banks will close. There will be trillions in losses.
In fact, at the end of the day, I believe the losses at an institution like Wells Fargo could be enough to start a bank run...
Source: [1]https://orders.cloudsna.com/chain?cid=MKT342135&eid=MKT343296&affId=1355&s1=102cb1b683db7ce2113fb4ec3303b1&step=start&hpmv=2#AST74018
Possibilities for Consideration: Unite or Fall
The realities of the economic situation we are in are not knew. As Stansberry said, they are historic dating back to Biblical times, yet the realities of the social chaos that has and will perpetuate if we continue down this economic and social path is grave. It is likened to the fall of Rome, WW1 and WW2, yet on a global scale. So what are we going to do... unite or fall?
Take a moment and examine…
- Do you want answers?
- Do you want more information?
- Do you understand and accept the research above?
- How much of the information provided above did you know about?
- Are you concerned about the impact of the Debt Jubilee: socially, economically and personally?
- If you could be a part of a solution for yourself, business and community would you embrace it?
- If you could be a part of a movement to protect and secure oneself, and others of like mind from the manipulations of the "Shadow Culture" would you embrace it?
Add Your Insight: Together, Be the Change
The highest use of capital is not to make more money, but to make money do more for the betterment of life.
HENRY FORD