The number of Americans living in poverty has surged 27% in the last six years, adding further strains on an already struggling economic recovery.
Forty-six million Americans are now living in poverty, an increase of 10 million since the beginning of the “Great Recession” of 2006. That’s 15% of the country’s population.
“It’s hard to overlook the fact that 1 in 7 Americans are at or below poverty,” said Ron Christie, a Republican political strategist.
Unfortunately, that number could keep growing. With the federal government facing mounting deficits, pressure to make drastic cuts to state and federal welfare budgets will only increase.
Nearly 40 million more Americans are only staying out of poverty with the help of programs such as Social Security, food stamps, and the earned-income tax credit. According to the Center on Budget and Policy Priorities, without these programs in place, the poverty rate would nearly double.
Even Americans fortunate enough to live above the poverty line are facing harder times. The real median household income fell 1.5% in 2011, down to $50,054, and the measure of income inequality rose for the first time since 1993, according to the U.S. Census Bureau.
The most depressing news comes from Indiana University, which recently released a study showing that even when the U.S. emerges from the economic slowdown, poverty rates will continue to rise. The study points to long-term cuts to welfare programs, plus the lack of new, high-paying jobs, that will force many more Americans into poverty over the next few years.
This data has a team of economists, led by Robert Wiedemer, issuing a terrifying outlook for the U.S. economy. No jobs means no consumer spending. And with 70% of our country’s economy dependent on consumer spending, a slowdown will send our stock markets tumbling.
Combine that with the runaway money printing in Washington, and Wiedemer says we have a recipe for disaster.
“The data is clear, 50% unemployment, a 90% stock market drop, and 100% annual inflation . . . starting in 2013.”
The ominous statement came during an interview for Wiedemer’s latest book, the New York Times best-seller Aftershock
When the interview host questioned Wiedemer’s latest data, the author unapologetically displayed shocking charts backing up his allegations, and then ended his argument with, “You see, the medicine will become the poison.”
Before you dismiss Wiedemer’s claims as impossible or unrealistic, consider this: In 2006, Wiedemer and a team of economists accurately predicted the collapse of the U.S. housing market, equity markets, and consumer spending that almost sank the United States. They published their research in the book America’s Bubble Economy.
The interview has become a wake-up call for those unprepared (or unwilling) to acknowledge an ugly truth: The country’s financial “rescue” devised in Washington has failed miserably.
The blame lies squarely on those whose job it was to avoid the exact situation we find ourselves in, including current Fed Chairman Bernanke and former Chairman Alan Greenspan, tasked with preventing financial meltdowns and keeping the nation’s economy strong through monetary and credit policies.
: See the eerie chart that exposes the ‘unthinkable.’
At one point, Wiedemer even calls out Bernanke, saying that his “money from heaven will be the path to hell.”
But it’s not just the grim predictions that are causing the sensation in Wiedemer’s video interview. Rather, it’s his comprehensive blueprint for economic survival that’s really commanding global attention.
The interview offers realistic, step-by-step solutions that the average hard-working American can easily follow.
The video was initially screened for a relatively small, private audience. But the overwhelming amount of feedback from viewers who felt the interview should be widely publicized came with consequences, as various online networks repeatedly shut it down and affiliates refused to house the content.
Bernanke and Greenspan certainly would not support Wiedemer publicly, and it soon became apparent mainstream media would not either.
“People were sitting up and taking notice, and they begged us to make the interview public so they could easily share it,” said Newsmax Financial Publisher Aaron DeHoog. “But unfortunately, it kept getting pulled.
“Our real concern,” DeHoog added, “is the effect even if only half of Wiedemer’s predictions come true.
“That’s a scary thought for sure. But we want the average American to be prepared, and that is why we will continue to push this video to as many outlets as we can. We want the word to spread.”
: For a limited time, Newsmax is showing the Wiedemer interview and supplying viewers with copies of the new, updated Aftershock book including the final, unpublished chapter. Go here to view it now.
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