The unwinding of the everything bubble coupled with the global pandemic has real effects. Unfortunately, these massive disruptions don’t just upset a few numbers on some corporate balance sheets, but rather they touch so many people personally. With nearly 30 million Americans out of work just over the last six weeks, this poses many serious questions and causes a significant amount of stress on these individuals and families. We discuss all too frequently here how so many Americans live paycheck to paycheck and use credit cards to make ends meet – this environment only makes things that much worse.
Over the weekend, CBS’ 60 Minutes program and a Fox New virtual town-hall, featuring the President, Vice President, and Treasury Secretary, highlighted some of these real effects happening to real people. Whether it was a small business owner who had to close shop and doesn’t know if or when she’ll be able to open up again to the farmers who have been suffering from the trade war(s) and now COVID19, where some smaller farms are dealing with rising suicide rates, to rural hospitals on the brink of collapse, especially if the outbreak hits these areas in larger numbers in the coming days. These are real people with real lives, just trying to make it. And now, because of so many years of flawed economic and political policies, so many will be paying the price – and this is just getting started.
We learned today that the federal government will need to borrow some $3T during Q2 of 2020! For some perspective, the federal government generates about $3-3.5T in tax receipts over the course of the year. So, we’re about to go through this entire amount in only three months! This is not cheap. This is not free. And the costs of these policies will be devastating to the masses. And despite the calls from many Americans to end the tariffs and from farmers discussing how it’s the bigger farms getting most of the farmer “bailouts,” the President and his Administration continue with their story that it’s never been a better time to be a farmer and that China is paying us billions and billions of dollars in tariffs. We suppose if you tell the lie enough times, people will eventually start to believe it? We hope this is not the case. This is the real economy. These are real people. These are real lives. Where’s the leadership? Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Jobs #Recession #Bailouts #Debt #Gold #Oil #USA