Are Black Friday Riots A Preview Of The Civil Unrest That Is Coming When Society Breaks Down?
If Americans will trample one another just to save a few dollars on a television, what will they do when society breaks down and the survival of their families is at stake? Once in a while an event comes along that gives us a peek into what life could be like when the thin veneer of civilization that we all take for granted is stripped away. For example, when Hurricane Sandy hit New York and New Jersey there was rampant looting and within days people were digging around in supermarket dumpsters looking for food. Sadly, “Black Friday” also gives us a look at how crazed the American people can be when given the opportunity. This year was no exception. Once again we saw large crowds of frenzied shoppers push, shove, scratch, claw, bite and trample one another just to save a few bucks on cheap foreign-made goods. And of course most retailers seem to be encouraging this type of behavior. Most of them actually want people frothing at the mouth and willing to fight one another to buy their goods. But is this kind of “me first” mentality really something that we want to foster as a society? If people are willing to riot to save money on a cell phone, what would they be willing to do to feed their families? Are the Black Friday riots a very small preview of the civil unrest that is coming when society eventually breaks down?
It has gotten to the point where it is now expected that there will be mini-riots all over the country early on Black Friday morning each year. The following are a few examples of the craziness that we saw this year…
To get an idea of where things are headed, just look at Europe. In both Greece and Spain the unemployment rate is over 25 percent and civil unrest has become almost a constant problem in both of those countries.
So what kind of riots will we see in the United States when the economy gets much worse than it is now?
Already there are signs of social decay all around us, and most Americans are completely unprepared for what will happen if a major disaster or emergency does strike.
Desperate people do desperate things, and someday if there was a major economic breakdown in the United States I think the level of desperation in this country would be extremely frightening.
FABER: 44 Charts That Show Why The World Is Doomed
from Mark Faber:
Marc Faber, publisher of the Gloom Boom & Doom Report, is well known for his ultra-bearish commentary.
But he’s not without reason.
In a new presentation given in Hong Kong to the London Bullion Market Association, Faber offers a thick stack of 44 charts that makes him very bearish on the global economy (via ZeroHedge). They include overviews of the emerging and evolving trends on debt, trade, stocks and commodities.
Links to 5 charts out of 51 which I find of most interest:
JIM RICKARDS: FED WON’T STOP PRINTING UNTIL DOLLAR COLLAPSES
Yahoo Finance has released an interview with Jim Rickards discussing QE?. Rickards states that the Fed will continue printing until the bottom falls out of the dollar, and at that point, the chickens will come home to roost, and US citizens can expect MASSIVE INFLATION OVERNIGHT.
Full interview below:
Is This the Last Push Before the Big Collapse?
from Phoenix Capital Research:
With most of Wall Street on vacation, those few traders manning their desks are taking advantage of the low volume to push the market sharply higher. This, combined with a large move up by the Euro has pulled the entire risk trade up forcing the US Dollar lower.
This move was to be expected on some levels. Since 2002, there has been a rally from just before Thanksgiving until the second week of December. This year is shaping up to replay this move. Stocks and other risk assets were certainly oversold from the preceding week and needed a breather.
However, from a larger perspective there is no shortage of truly horrible developments in the world. EU budget talks failed to accomplish anything. This comes on the heels of failed Greece debt talks from last week (there is another meeting next week on this).
Meanwhile, France has lost its AAA credit rating, Spain’s bad bank plan has been dropped due to lack of interest. And then there is Cyprus Portugal and soon to be Italy’s issues to deal with.
At the end of the day, the whole issue in the EU boils down to whether or not Germany will foot the bill for everything. The fact of the matter is that it won’t. If Germany were to agree to fund things as they are (assuming nothing worsens in the EU), it would amount of over 30% of its GDP.
Never in history has one country issued a transfer of that amount to another. The single largest transfer in history (on a GDP basis) was the German Marshall Plan, which represented only slightly over 6% of US GDP.
So forget about Germany writing the check. There will be political machinations and games played to maintain the house of cards that is the EU… but when push comes to shove, Germany will leave before it foots the bill for everything.
And then of course there is the fiscal cliff in the US: the single largest tax hike increase in US history (on a % of GDP basis). Ignore the media’s spin on this, no one has a clue how to fix the problem, largely because math is not partisan and we’ve been living beyond our means for far too long to fix this with one deal.
European ‘Austerity’ Update
As we highlighted a few months back for Spain, the word ‘austerity’ appears to mean something different than we thought. Portugal just announced:
- *PORTUGAL SAYS JAN.-OCT. SPENDING RISES 0.7% :1174Z PL
and to help cover that anti-austerity ‘rise’ in spending:
- *PORTUGAL SAYS REVENUE FROM INDIRECT TAXES DROPS 4.5% :1174Z PL
- *PORTUGAL SAYS REVENUE FROM DIRECT TAXES FALLS 3.7% :1174Z PL
Hhhhmm, well at least the deficit reduced modestly thanks to some chicanery transferring pension benefits. We are sure this ‘diligent austerity’ is why the bonds have rallied 100bps this week and everyone is patting the Portuguese on their back for ‘following the Troika program’!
EU Budget Summit Fails in Echo of Debt-Crisis Stalemate
European Union leaders failed to agree on the 27 nation bloc’s next seven-year budget, replaying the clash between rich and poor countries that has stymied the response to the euro debt crisis.
National chiefs plan another summit early next year, when northern countries including Britain and Germany may have the upper hand in seeking to cut subsidies to lesser-developed southern and eastern economies clamoring for EU investment.
“Anything short of admitting that our talks have been extraordinarily complex and difficult would not reflect reality,” Jose Barroso, head of the European Commission, which manages the subsidy programs, told reporters after a two-day meeting in Brussels.
Britain’s defense of its cash-back guarantee and France’s clinging to farm aid gave the summit the flavor of EU negotiations in the 1970s or 1980s, diluting efforts to equip Europe with a budget to make it more competitive. Eastern and southern countries said reduced financing for public-works projects would condemn them to lag behind the wealthier north.
Farage: Europe split in every way possible
from Russia Today:
Japan’s Population Now So Old That Sales Of Adult Diapers Exceed Those For Babies
Less than a quarter-century ago, Japan was the economic envy of the world. In 1989, Tokyo-listed shares represented nearly half the planet’s equity value, while the land beneath the city’s royal palace was worth more than all of California. American nightly news anchors practically misted up when they had to report that Rockefeller Center was turning Japanese.
Two lost decades and massive property- and stock-bubble explosions later, Japan is a one-word cautionary tale. Caught in economic and demographic atrophy—and stewarded by countless false-start prime ministers—the country has become a hub for zombie banks, a generation of disenchanted youth, and fading brands such as Sony (SNE), Sharp (6753:JP), and Panasonic (PC).
Last year, for the first time, sales of adult diapers in Japan exceeded those for babies. Factor in how the strong yen has been making the country’s critical exports more expensive, and you can see why the world’s No. 3 economy (recently pushed into third place by China) has been quicksand for investors; when international markets hit bottom in early 2009, Japan’s Nikkei slumped to levels it hadn’t seen since 1983. A Merrill Lynch survey of global fund managers discovered that their net exposure to Japan is at its lowest in a decade(subscription necessary).
- advertisements -