by Jeff Davis. Despite months of propaganda from the liberal media about a “recovery”, it looks like all the real financial news is seriously discouraging. An ABC news article reports “In the wake of the worst financial crisis since the Great Depression, the government agency that insures bank deposits announced today that 702 banks are on the brink of failure, the most in the last 17 years. The Federal Deposit Insurance Corporation, in its report for the fourth quarter of 2009, said 702 banks are on their so-called “Problem List” as of the end of last year, a 27 percent increase from the end of the third quarter. Both the 702 banks and their combined $402 billion in assets are the highest since the second quarter of 1993. In the first two months of this year, 20 institutions have already collapsed. In 2009, 140 banks were taken over by federal regulators as the economic downturn took its toll on banks nationwide.”
It’s not just banks that are floundering, we’ve had massive lay offs that put 7.2 million more Americans out of work in 2009. Some economists estimate the real unemployment at 17.5 to over 20 percent –basically Depression era unemployment.
A CNN article reports: “The number of Americans filing for initial unemployment insurance surged to just below the 500,000 level last week, and have climbed more than 12% over the past two weeks, the government said Thursday… Continuing claims reflect people filing each week after their initial claim until the end of their standard benefits, which usually last 26 weeks. The figures do not include those people who have moved to state or federal extensions, or people whose benefits have expired. On Wednesday, the Senate passed a $15 billion bill to spur job creation and give businesses tax breaks for hiring the unemployed, but the bill does not extend unemployment benefits.”
But there’s no guarantee anyone will even be hired. Will this $15 billion simply disappear just like that $787 stimulus package last year?
The article continues “More than 1 million people will run out of benefits after Feb. 28 if the application deadline is not extended. Lawmakers are trying to pass a short-term extension by the end of the week in order to give them time to enact a longer fix.”
This vague plan seems to be some kind of nationwide dole which will eventually make the entire population dependent on a government check of some kind, rather like a nationwide version of the old Chicago Democrat patronage system. But the question is, once the private sector has been slaughtered like the goose that lays the golden eggs, how will all this be paid for?
The answer is that Obama’s little Jewish friend Ben Bernanke over at the Federal Reserve will just print him off more trillions and trillions of inflated dollars. So don’t worry, if you’re unemployed, you’ll eventually get some kind of check courtesy of the Democrats. But it will be paid in inflated dollars.
Zimbabwe, here we come.
