I foresee a bleak future for the middle and working classes in America. The government relief efforts I've already proven inadequate. Opportunists will swoop down to buy up foreclosed on real estate, and other assets people will be losing in 2020. Even the upper-middle-class will be affected.
I predict increased power in the hands of the already powerful. There are influential billionaires who will continue to increase their wealth.
There may be unrest, as various factions feel the pinch. I don't think we've even seen a small part of what could be possible in the near future.
Our infrastructure is definitely starting to unravel a bit. Here in Washington State, the largest potato producer in the nation, there have been huge free giveaways of potatoes by farmers who cannot get their product to market. This is because the food distribution has been disrupted with this crisis. I had trouble finding potatoes in the store. There are problems in the warehouses that are distributing our food and other necessities. The shortages we are seeing in the stores are not because people are hoarding.
Unless the authorities start releasing the economy, I don't think things are going to be well by the end of the year. The deaths from the coronavirus might pale in comparison.
I have 12 months in savings socked back for my mortgage. My only bill. My hubby has every play toy under the sun, and I've explained if it comes to it, they will go. Eating and having a home are important; toys, not so much. The money that he would want for payment of said toys wouldn't be there, at least not from me. He's in debt to his eyeballs, and gets ticked because I refuse to have joint accounts. Too many people in the US living in debt. If I can't pay cash, other than house, then I don't need it!
On 5/3/2020 at 7:30 PM, A Hit With The Ladies said:
I've given up on politics altogether. I observe it, and voted in the primaries for Bernie, but will not be participating in November or any future elections. America is a democracy in form, but a plutocracy in function. Everything is meant to legitimize class divisions.
Actually we're a Constitutional Republic....not a democracy....but I get your point and have to agree.
I had this discussion with my husband just yesterday. He has an MBA and minored in global economics, so he understands this stuff much better than I. Being more of a fatalist, I asked him what the chances of a total economic fallout, and he laughed. I then asked, s'o maybe it's more like another great depression?' and he said no, and then said he doesn't even think it'll be as bad as the Great Recession. He said the biggest reason this won't be as bad is because the banks aren't going under like during the depression and recession. He said while lots of sectors are being affected, he believes it's temporary and while some will suffer in the short term, it's really just short term. He had lots of big words to support his claims, but that is what I took from the conversation. He also mentioned that some inflation would actually benefit people with debt, making it easier to pay down, a concept I found interesting.
Anyway, I'm not sure I am as optimistic, but just thought I'd share our conversation on the matter.
Actually we're a Constitutional Republic....not a democracy....but I get your point and have to agree.
Constitutional federal republic...at least according to the CIA. See my earlier post for the link if you care to see it.
I did point this out earlier and got my head chopped off for it. Nice to know someone else actually knows what form of government America has and nice you got away unscathed for mentioning it. ?
10 hours ago, lifelearningrn said:
I had this discussion with my husband just yesterday. He has an MBA and minored in global economics, so he understands this stuff much better than I. Being more of a fatalist, I asked him what the chances of a total economic fallout, and he laughed. I then asked, s'o maybe it's more like another great depression?' and he said no, and then said he doesn't even think it'll be as bad as the Great Recession. He said the biggest reason this won't be as bad is because the banks aren't going under like during the depression and recession. He said while lots of sectors are being affected, he believes it's temporary and while some will suffer in the short term, it's really just short term. He had lots of big words to support his claims, but that is what I took from the conversation. He also mentioned that some inflation would actually benefit people with debt, making it easier to pay down, a concept I found interesting.
Anyway, I'm not sure I am as optimistic, but just thought I'd share our conversation on the matter.
I tend to agree with your husband.
I think it is short term only and we'll bounce back.
Specializes in NICU, PICU, Transport, L&D, Hospice.
My guess would be that, yes, this event will result in a general transfer of wealth from the working class to the wealthy. If there is a spat of bankruptcies and/or foreclosures that will be largely a loss of wealth in the working and middle classes. The majority of vulnerable small businesses are owned by people existing in the working and middle classes. Homes and property loss represent a higher overall percentage of total wealth for us than loss of a home or piece of property represents to someone with great wealth.
My guess would be that, yes, this event will result in a general transfer of wealth from the working class to the wealthy. If there is a spat of bankruptcies and/or foreclosures that will be largely a loss of wealth in the working and middle classes. The majority of vulnerable small businesses are owned by people existing in the working and middle classes. Homes and property loss represent a higher overall percentage of total wealth for us than loss of a home or piece of property represents to someone with great wealth.
Exactly right. I don't listen to Fox or the Whitehouse or even my portfolio manager now. I go right to the sources like Forbes and Fortune and see what their experts are saying.. And they agree with you. Truly I really don't want to be a raincloud but I just don't see how burying your head in the sand is helpful. Best to be realistic and prepared.
Of course this is all about massive transfers of wealth to the oligarchs. Do think that all of the world's developed nations (save Sweden) immediately decided to take the unprecedented action of totally shutting down their economies and then in virtually lockstep fashion began the process of "reopening" them up? I'm shocked that we aren't left with negative interest rates at this point. But no matter, the middle class was well taken care of----just don't spend that one time $1200 stimulus check in one place, and try not to go on a wild spending spree with that extra $600/wk enhancement to your unemployment checks (which ends in July) out of the TRILLIONS of dollars that was printed up to be redistributed. And as many previous posters have already noted the financial markets (and in turn your retirement/investment accounts) have likely taken hit. Where do you think all that wealth went? And that's just an intermediate step I can assure you; Many people are totally unaware that those retirement accounts are uninsured as well as subject to market losses. Oh, and I see that several of the major hospital systems wasted no time in stopping their retirement contributions/matches. But no matter, the federal government is reimbursing the hospitals billions of the costs of coronavirus patients. and I'm SURE that money will be passed along to the caregivers and.....ooooppps I forgot....In anticipation of the influx millions of coronavirus patients which in many parts of the country never materialized, the "Powers That Be" preemptively closed down all nonessential surgeries/procedures creating a huge hit to their bottom lines. Oh well, guess now we're forced to send our hero caregivers on furlough for a while during the pandemic. And so it goes. ?
Specializes in ED, ICU, MS/MT, PCU, CM, House Sup, Frontline mgr.
On 5/3/2020 at 4:30 PM, A Hit With The Ladies said:
I've given up on politics altogether. I observe it, and voted in the primaries for Bernie, but will not be participating in November or any future elections. America is a democracy in form, but a plutocracy in function. Everything is meant to legitimize class divisions.
Nah.. Russian trolls who support Putin and his oligarchs want to ensure that people in the US either vote for Trump or don't vote at all. So, not voting is not an option. I don't care how bad American politics will get! I will vote!
Specializes in Psych, Corrections, Med-Surg, Ambulatory.
On 5/6/2020 at 6:57 AM, Hoosier_RN said:
I have 12 months in savings socked back for my mortgage. My only bill. My hubby has every play toy under the sun, and I've explained if it comes to it, they will go. Eating and having a home are important; toys, not so much. The money that he would want for payment of said toys wouldn't be there, at least not from me. He's in debt to his eyeballs, and gets ticked because I refuse to have joint accounts. Too many people in the US living in debt. If I can't pay cash, other than house, then I don't need it!
Your hubby sounds a lot like my ex. He should be grateful to have you; at least he won't starve. I agree that the hardest-hit will be those living paycheque to paycheque and not because they're low-income earners. However, I doubt this will be the wakeup call so many need. As soon as the crisis is averted the big spending will resume.
I think opening up the economy is just going to hurt workers more in a different way. The thing that is frustrating to me is that we have the resources to have made the stay at home orders non-devastating to workers and small businesses but funneling money to the top tier is the American Way.
I feel very lucky and privileged for my job and the security of it, high exposure risks aside.
Hoosier_RN, MSN
3,968 Posts
I have 12 months in savings socked back for my mortgage. My only bill. My hubby has every play toy under the sun, and I've explained if it comes to it, they will go. Eating and having a home are important; toys, not so much. The money that he would want for payment of said toys wouldn't be there, at least not from me. He's in debt to his eyeballs, and gets ticked because I refuse to have joint accounts. Too many people in the US living in debt. If I can't pay cash, other than house, then I don't need it!