Trade Talks Are Dead, And So U.S. Consumers Should Brace For A Long, Bitter, Painful Trade War With China

There is not going to be a trade deal between the United States and China any time soon, and that is going to mean a tremendous amount of pain for the U.S. economy.  For months, hope that the U.S. and China would soon reach a trade deal helped to elevate global financial markets, but now that hope has disappeared.  In order for a trade deal to happen, the two sides have to talk, and at this point no negotiations are scheduled.  And unless one side or the other decides that they are willing to move dramatically from their current positions, there really isn’t any reason to talk.  In fact, the Chinese government is openly saying that it is in “no rush” to negotiate with the United States… (Read More...)

The True Size Of The U.S. National Debt, Including Unfunded Liabilities, Is 222 Trillion Dollars

The United States is on a path to financial ruin, and everyone can see what is happening, but nobody can seem to come up with a way to stop it.  According to the U.S. Treasury, the federal government is currently 22 trillion dollars in debt, and that represents the single largest debt in the history of the planet.  Over the past decade, we have been adding to that debt at a rate of about 1.1 trillion dollars a year, and we will add more than a trillion dollars to that total once again this year.  But when you add in our unfunded liabilities, our long-term financial outlook as a nation looks downright apocalyptic.  According to Boston University economics professor Laurence Kotlikoff, the U.S. is currently facing 200 trillion dollars in unfunded liabilities, and when you add that number to our 22 trillion dollar debt, you get a grand total of 222 trillion dollars. (Read More...)

2019: It Is Going To Be Much Worse Than You Think…

The beginning of a new year is supposed to be all about hope, right?  And I would certainly like to tell you that 2019 is going to be America’s best year ever and that everybody is going to receive a double portion of blessing, prosperity and happiness, but that simply would not be true.  Unfortunately, the truth is that the elements for a “perfect storm” are rapidly coming together and 2019 is going to be an exceedingly challenging year.  Of course 2018 wasn’t exactly a wonderful year either.  I really like how Dave Barry made this point in his most recent article(Read More...)

Hordes Of Anti-Trump Democrats Are Lining Up To Run For Congress In 2018

If Republicans don’t wake up, there is a very real possibility that we could lose control of the House of Representatives in 2018. And if that happens, Donald Trump’s agenda will be dead in the water because the Democrats will use their majority to block everything. Trump’s surprise election victory last November was perhaps the single most galvanizing moment for grassroots Democrats in this generation. Just as the election of Barack Obama gave rise to the Tea Party movement, we are now seeing a tremendous amount of energy among liberals all over the nation. If Republicans cannot match this energy, we are going to be in for quite a shock in November 2018. (Read More...)

The Republicans In Congress Have Betrayed Us Again

I guess by now we should be accustomed to politicians lying to us. For years, Republicans have been promising to repeal Obamacare if we would just give them control of the White House, the Senate and the House of Representatives. We did that, and now they are breaking that promise. Because even if “Obamacare 2.0” miraculously gets through the Senate, most of the essential elements of Obamacare will survive. If you look at the latest Senate bill, most of the Obamacare subsidies are still in there, many of the Obamacare taxes are still in there, and most of the Obamacare regulations are still in there. On top of everything else, the bill would create an absolutely massive health insurance company bailout superfund, and that is something that the Democrats never even dared to do. The bill being pushed by Senate Majority Leader Mitch McConnell wouldn’t actually fix much of anything, and it certainly cannot be called a “repeal” of Obamacare. (Read More...)

5 Trends That Are Destroying The Middle Class In America

The middle class in America has been shrinking for decades, and our leaders seem powerless to do anything about it. Two years ago, the middle class became a minority in this country for the first time ever. In other words, the middle class now accounts for less than 50 percent of the population. But back in the early 1970s, the middle class made up more than 60 percent of the population. I have often compared being in the middle class to playing a really bizarre game of musical chairs. When the music stops playing each month, more chairs are being pulled out of the middle class, and most of us are just hoping that we will still have a chair for the next go around. (Read More...)

A Run On The Banks Begins In Italy As Italian Banking Stocks Collapse

Italy Banner - Public DomainThe Italian financial meltdown that we have been waiting for has finally arrived. For quite a long time I have been warning my readers to watch Italy, and now people are starting to understand why. Italian banking stocks continued their collapse for a fifth consecutive day on Wednesday, and nervous Italians are beginning to quietly pull large amounts of money out of the banks. In particular, Monte dei Paschi is a complete and utter basket case at this point. A staggering one-third of their loans are “non-performing”, and the stock price has fallen a staggering 57 percent since 2016 began. Monte dei Paschi is going to need a major bailout, and the same thing could be said about almost all of the largest Italian banks. But where is the money going to come from? (Read More...)

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