Talk:Worldwide economic collapse
There's a difference between crisis and collapse
When the economy collapses,
it will happen quickly,
because the surprise factor is a one of the likely causes of a potential collapse.
The signs of imminent failure are difficult for most people to see.
Trucks will stop rolling,
grocery stores will run out of food,
and businesses will shut down.
The Federal Deposit Insurance Corporation insures banks,
so there is little chance of a banking collapse similar to that in the 1930s.
But the money will not be worth anything.
The military can respond to a terrorist attack, transportation stoppage, or rioting and civic unrest.
When the economy collapses,
you will lose access to credit.
Banks will close.
Demand will outstrip supply of food, gas, and other necessities.
The collapse will affect local governments and utilities,
water and electricity might no longer be available.
An economic collapse will create global panic.
It will create not just inflation, but hyperinflation.
As painful as it was, the 2008 financial crisis was not a collapse.
Millions of people lost jobs and homes, but basic services were still provided.
Other past financial crises seemed like a collapse at the time, but are barely remembered now.
1970s Stagflation The OPEC oil embargo triggered double-digit inflation.
The government responded to this economic downturn by freezing wages and labor rates.
The result was a high unemployment rate.
1981 Recession The Fed raised interest rates.
That created the worst recession since the Great Depression.
President Ronald Reagan cut taxes and increased government spending to end it.
1989 Savings and Loan Crisis
One thousand banks closed after improper real estate investments turned sour.
The government bailed out some banks to the tune of $124 billion. (Banksters in control)
Post-9/11 Recession
September 11, 2001 sowed nationwide apprehension (Banksters in control)
The United States’ response, the War on Terror, has cost the nation $6.4 trillion, and counting.
2008 Financial Crisis
The 2008 Financial Crisis with rapidly falling housing prices and increasing mortgage defaults in 2006.
The resulting subprime mortgage crisis,
which panicked investors and led to massive bank withdrawals,
The U.S. government bailed out “too big to fail” banks and insurance companies,
like Bear Stearns and AIG (Banksters in control)
2020 Recession
It is too soon to tally up the total costs of the 2020 global health crisis
Coronavirus pandemic—the crisis is still ongoing.
Already we have seen worldwide supply-chain interruptions,
heightened volatility and steep losses in financial markets,
and sharp slowdowns in the travel and hospitality industries.
