Almost Half of Americans Endure at Least One Aspect of Poverty: The Hidden Recession Continues to Hit Americans Hard.
Poverty is portrayed in a very simplistic fashion in the media. It is usually something that impacts other people far removed from your immediate family. However, poverty is incredibly widespread. This shouldn’t come as a surprise. We already know that half of the country lives paycheck to paycheck and is simply one small emergency from being out on the streets. We also know that in 2015 45,000,000+ people were assisted by food stamps. The number is still incredibly high but this year, nearly 1 million will lose access to food stamps because of how the unemployment rate is reported. Poverty is very real. The Brookings Institute just did a study and found that virtually half of Americans have endured some form of poverty. The report runs counter to the “great recovery” narrative.
The education and employment myth: Almost two-thirds of people in the labor force do not have a college degree.
There is an ongoing perception that most of the workforce has a college degree. When we say college degree we mean at a minimum a bachelor’s degree. You would think that with $1.3 trillion in student debt outstanding a good portion of the work force would be college educated. The opposite is the truth however. Almost two-thirds of the workforce does not have a college degree. That might be surprising to you especially for a country that pushes nearly everyone into college. Yet this blind pushing of people into college has created problems for those choosing careers and paths that simply lead into more debt and very little marketable skills. It is also a case where the younger workforce is more educated but also more indebted. They are paying more for their education and their incomes are simply showing paltry gains. This is why talks of the minimum wage are actually bigger than you think. Many people are what we would consider “working poor” even though the media fails to acknowledge real inflation that is hurting the standard of living. So how does this look on a nationwide scale?
Mancession: Men lost 2 times more jobs than women from the Great Recession and have gained half as many jobs since late 2007.
It should be clear that the Great Recession took a toll on most people. This is reflected in household incomes and savings. But one thing that is abundantly clear is that the Great Recession took a massive toll on male employment at a rate twice that of females. We’ll get into the charts and figures later in the article but suffice it to say that the recession didn’t hurt people equally. Some took on the brunt of the damage. When splitting out job losses and gains by gender, it is clear that something else was going on. One reason for this has to do with the big losses in construction and manufacturing that tend to be heavily dominated by men. The housing bubble imploding didn’t help in this respect. In many ways this has been a Mancession even in the midst of a recovery that started in early 2009.
1 out of 3 American households can no longer afford rent, food, and transportation. The biggest rise in expenditures comes from rising housing costs.
The driving force in this political movement is anger and many American families need only look at their bank statements to understand why. Since 2004 median income has fallen by 13% while expenditures have risen by 14% according to latest figures pulled by Pew Research. That strikes at the heart of why the middle class is now a minority. People are struggling to get by and while the Fed is obsessed with interest rates, most families are seeing the impact of crony capitalism devastating their wallets. One perfect example is the banking bailouts. The bailouts simply allowed the too big to fail banks to get even bigger and allowed large investors to purchase many homes as investments. This happened while regular families were struggling. The end result is higher housing costs but no real underlying gain in income. Since housing eats up the biggest part of your budget this has had a major impact. 1 out of 3 American can no longer afford rent, food, or transportation.
China owns the Canadian real estate market: Chinese account for one-third of all Vancouver home sales volume in 2015.
he Canadian housing market makes the U.S. housing bubble seem like a tiny pricing discrepancy. There have been talks for years that Chinese investors were buying up desirable properties around the globe and many pundits pushed these fears aside. Their claim was that only a tiny portion of the market was made up by investors. Well in Vancouver, one-third of all sales in 2015 went to Chinese buyers based on cash volume. That is absolutely not a small group and enough to make home prices in many Canadian cities go into even deeper bubble territory. There is no doubt the Canadian housing market is deep in a bubble. The middle class in America now realize that owning a home is a pipe dream given stagnant incomes. Do you want to own a home? Too bad. You are too broke unless you go into big debt and become a slave to our banking overlords. In Canada, local households have zero chance of competing in places like Vancouver unless they go into comedic levels of debt. How big is the Canadian real estate bubble?
The housing bubble is getting ready to implode: The scariest chart in real estate shows an impending correction because you can’t afford to buy a home today.
“Definition of economic bubble: A market phenomenon characterized by surges in asset prices to levels significantly above the fundamental value of that asset.” We are definitely in another housing bubble. First, most Americans can’t afford to buy a home without utilizing artificially low interest rates and even then they are stretching their budgets like spandex. Second, home prices are surging in the face of stagnant household incomes. That is the biggest sign of a bubble. The underlying asset in housing is moving up even though incomes are not. So what is driving prices up? Speculation, flipping, investors, and what we would categorize as fickle money. This is the ultimate sign of a housing bubble. Homeownership is near a generational low because most households are living month to month unable to buy. If you want to see the housing bubble in one chart look no further.
The Great Inflationary Lie: How you’ve been lied to about inflation and the cost of living since 2000.
You’ve been lied to about inflation. That is the truth. The banking apparatus wants you to believe that there is little to no inflation so they can continue with their money expanding ways but all you need to do is look at your spending and income and you will realize that yes, life is getting much more expensive. Media pundits operate in an enclosed bubble of information and have a hard time imagining that half the country is living paycheck to paycheck. Exit polls continue to “shock” them when people state that they are angry about the economy. “But housing is up and so are stocks!” Sure, but homeownership is down and half the country doesn’t own stocks. There is serious inflation going on. All we need to do is look at 2000 as a starting point.