A number of disastrous policy and failed strategy have contributed to our current economic vulnerability. Our one-way "free trade" agreements for instance the KORUS (Korean - U.S. Free Trade Agreement), NAFTA (North American Free Trade Agreement) also our relationship with the World Trade Organization (WTO), have opened our doors to a flood of foreign goods.
Everybody losing their jobs and a number of valuable businesses has shut down. Whole industries have been decimated. As U.S. market continues to be bombarded by foreign goods entering our country tariff and free from duty. Even more disturbing the WTO has a track record of favoring foreign nations leaving the United States (US) open to unfair strategies, backdoor protectionism also constant threats to our sovereignty. When United States (US) 1st emerges as world's wealthiest and most productive country it was all because of our leaders safeguarded our domestic jobs and industries. Customers bought American made products and taxes were placed on foreign made goods.
Regrettably, those days are long gone. While it is true the US residue the largest consumer of goods in the world, our damaging "free trade" agreements are responsible for the thousands losses of job, sky rocketing trade deficits and outsourcing of many dominant US businesses. Nobody can sit idly by and allow this to continue.
What Is a U.S. Economy Collapse?
A U.S. economic collapse is when the economy no longer functions to present the daily necessities. Any of following scenarios could generate an economic collapse.
1. If the US dollar rapidly loses value it would create hyperinflation.
2. A bank run could force banks to close or even go out of trade, cutting off lending and even cash withdrawals.
3. The internet could become paralyzed with a preventing emails, super virus and online transactions.
4. Preventing emails interstate trucking stop thanks to parallel terrorist attacks or a massive oil embargo and grocery stores would run out of food.
In the worst case, the U.S. economy collapses due to widespread violence, likely the Watts riots in the 60s the Arab Spring uprisings in Egypt or even a civil war.
When Was the U.S. Close to Economic Collapse?
In modern U.S. history there were two times when the economy was close to collapse -
1. The Great Depression of 1929 and the 2008 crisis finance. As, in the Great Depression, at least 25% of the labor force lost their occupation. There were no Social Security or redundancy benefits, so they depended on soup lines to survive. Many families lost their. Many others lost their life savings in the 1929 stock marketplace crash as a result some even committing suicide. Others could not get their money out of banks that closed on Friday opened on Monday to offer only ten cents on the dollar ($). It gets a decade before the economy started functioning again.
2. The second time was freshly, during the crisis finance. The US was within weeks of economic collapse on 17th September 2008. The day that panicked investors withdrew a record $140 billion from money market accounts. The short-term cash is what businesses rely on to fund everyday operations. If this panic had continued for even more than a week rolling of trucks would stop, stores of grocery would run out of food and businesses would shut down.
In this case, quick thinking by Chairman of the U.S. Federal Reserve Ben Bernanke and Treasury Secretary Hank Paulson supplied the cash to keep banks afloat and stem the panic.
Most of the people did not realize how close the US economy came to a real collapse or how susceptible it is to another one.
What will happen if the U.S. Economy collapses?
If the U.S. economy collapses, nobody will have access their credit. Even cash will be undervalued which means high demand and low supply of gas, food and other requirements. If the collapse affects local governments and utilities then water as well as electricity is no longer be available. As people fright self-defense becomes more important. The economy reverts quickly to a traditional economy where those who can grow food barter for other services.
It is possible that a mixture of events could overwhelm the government's ability to avoid or respond to a collapse. Others are convinced that the President, the Federal Reserve also an international conspiracy is driving the United States (US) toward economic ruin. If that is the case, the economy can collapse in as little as a week. All will happen because it is basically run on confidence that debts will be repaid, that food and gas will be available whenever one's required that you will get paid for work of this weeks. As if a large adequate piece of that stops for even numerous days it produces a chain reaction that leads to a rapid collapse.
A US economic collapse would create global panic. Demand for the dollar ($) moreover U.S. Treasuries would plummet sending interest rates skyrocketing. Financier would move to another currency like the Euro, Yuan, also even gold. This would not just create inflation also hyperinflation as dollar became dirt cheap.
Another huge depression when the Economy Collapses?
If the economy collapses, where political leaders meet citizens will set commotions through barricades. Currently, millions of Americans believe that the United States (US) is on the edge of economical collapse also soon there is another huge depression.
How one's can Protect Themselves?
It's difficult to completely protect them from a U.S. economic collapse as it can happen very quickly.
In mainly catastrophes people endure through their wits, knowledge moreover by helping out each other. Consequently, make sure one's understand basic economic concepts so they can see warning signs of instability.
One's keep as many assets as liquid as much possible, so that if needed they can withdraw them within a week. In addition to your normal job make sure ones have skills that are required in a basic economy such as farming, repair or cooking. Make sure passport is completed and know where you would go in case you'd need to leave the country quickly. To be completely prepared, research target countries now and travel there on vacation so you are familiar with your destination. One should keep them self in top physical shape also always in a good idea. Know essential survival skills like self-protection, farming and hunting.