US Credit downgrade could lead to Depression

Higher car loan rates, higher credit card rates, higher student loan and higher small business loans and consumer mortgages. That is the result of a credit downgrade for the USA

The cost for the US to fund its capital will be higher and every single person on the planet is affected.

If capital funding costs more, then the follow on effect means everything costs more.

Small business lay off workers, who in turn can not afford to pay their higher mortgage and in turn are evicted. With no job and no home and no money to buy food, bread lines and soup kitchens feed the hungry and the homeless. Even those with a home use the soup kitchen as they can not stretch the dollar far enough to buy food.

The follow on effect is an economy that has no available money for spending and as such a chain reaction occurs as more people lose work and less money goes back into the economy.

The final result is a depression unlike anything ever experienced.

There is no way to prevent it. They have tried, they have failed.

Who is profiting from this?

Unemployment rates goes from 24 million to 50 million people?

this is not a fearmongering thread , this is just some thoughts.

If credit costs are higher everything is higher!

US debt clock

Originally posted by guessing
Higher car loan rates, higher credit card rates, higher student loan and higher small business loans and consumer mortgages. That is the result of a credit downgrade for the USA

The cost for the US to fund its capital will be higher and every single person on the planet is affected.

If capital funding costs more, then the follow on effect means everything costs more.

Small business lay off workers, who in turn can not afford to pay their higher mortgage and in turn are evicted. With no job and no home and no money to buy food, bread lines and soup kitchens feed the hungry and the homeless. Even those with a home use the soup kitchen as they can not stretch the dollar far enough to buy food.

The follow on effect is an economy that has no available money for spending and as such a chain reaction occurs as more people lose work and less money goes back into the economy.

The final result is a depression unlike anything ever experienced.

There is no way to prevent it. They have tried, they have failed.

Who is profiting from this?

Unemployment rates goes from 24 million to 50 million people?

this is not a fearmongering thread , this is just some thoughts.

If credit costs are higher everything is higher!

US debt clock

edit on 6-8-2011 by guessing because: added link

They aren't profiting.. they are controlling

call this phase one of many.

Am I missing something love ? Please explain to me how we're not already in a depression. We've been in a depression for a few years if my memory serves me right, I might need more B12 to remember though. Elaborate?

reply to post by ConspiraCity



Someone has got to be profiting.

Precious metals? Treasury bonds? War games?

reply to post by guessing


War games perhaps?

Russian Envoy: NATO Is Planning Attacks on Syria, Iran



These are interesting times my friends.

reply to post by Heartisblack


here is a link to Wiki explaining recession.

Recession


it is debated as to the crossover from a recession to a depression.

I believe the best indicator is unemployment figures.

reply to post by Heartisblack

I agree we have been and already ARE in a depression. The thing we are about to hit isn't a depression, its a total economic collapse

Originally posted by XJMatt
reply to post by Heartisblack

 

I agree we have been and already ARE in a depression. The thing we are about to hit isn't a depression, its a total economic collapse

Okay now I'm up to speed! Thank you.

This is needed. Sorry, but it is. We were/are spending beyond our ability to pay. A correction is required. To sit and cry about what may happen is an option.
Another?
Try thinking/acting/working for yourself. Just LOOK at what govrnment dependence has brought us!

We are better than this. We are strong. We are smart. We will survive.
Screw goverment. To the devil with their plans, their forecasts, their budgets.

We can do it without them.

reply to post by beezzer


It was inevitable. There is nothing that can be done anymore. It is official today

Your right.. look after ourselves and do the best we can

reply to post by guessing
oh DBL face palm, you believe in that???? we are in a Depression have been for the past 10 years, money wise that is, some might think it is because of all the anti depression pill ads, not so, look at the Market the Dollar, the Job market, oh sure the price of gold is up, but for how long??? No things are going down hill fast, the only way out is?????? I do not have a clue. How about we the US pull all IOU's and demand payment no pay the no more loans bail outs, International debit we owe they owe we call it good if they do, but what about interest, 10% of 0 is 0. Then there is china, lets say they say," pay up now in full with interest" how would we, the US, deal with this???

reply to post by bekod


Well if the US is currently in a depression, what is coming will make the depression a very desirable place to be part of.

What ever it is at this time, it will be doubled. That's double everything unpleasant and painful.

The only solution is to go to war with someone. But it needs to be a world war.

reply to post by guessing


And starting a fight with Syria and in turn China, would do just that.

Got us out of the Great Depression, should work this time too, right?

reply to post by guessing
5 things to look forward to in the coming weeks /months if not days abcnews.go.com... I love how they say rescission, it is a depression, from the link

3. Needless to say, increasing costs for consumers and businesses tends to slow their economic activity. Some estimates put a downgrade like this as likely to shave 1 percent off GDP. This slowing certainly increases the risks that the U.S. will have a second dip into recession. It also means less tax revenue, so the potential for additional debt increases.

yea no TAX income= less spending= Less needy get help= means, less buying= less jobs = biz that go belly up= more unemployed, = less, means no TAX income to US, I would say that is a depression.

reply to post by guessing
All out ww3, just drop the big one and start from scratch, this time no gov no money just mans word for mans word, need truck, take 2 sheep 3 donkey 1 cow and a Goose, no, goose lay no golden egg! Ammo = for 100 rounds= truck

reply to post by bekod


it may happen sooner rather than later at the rate this is going.

hold onto hats

reply to post by guessing
hats= one duck, 2 eggs, and one tap dance, me not like tap dance you get 2 eggs back, that why one duck.
one must learn international "me speak no english", keep it straight and simple, wish they could do that in DC, yea i know that is asking to much, one can wish.