Spring 2011: Welcome to the United States of Austerity

Over the past 4 or so years that I’ve been following their free economic forecasts, GEAB‘s quarterly reports have rarely been wrong.

Here’s their latest free issue. The information concerning the coming 6 months may be shocking to those who have not been following the dots closely…

The Global systemic crisis – Spring 2011: Welcome to the United States of Austerity / Towards a very serious breakdown of the world economic and financial system

As anticipated by LEAP/E2020 last February in the GEAB No. 42, the second half of 2010 is really characterized by a sudden worsening of the crisis marked by the end of the illusion of recovery maintained by Western leaders (1) and the thousands of billions swallowed up by the banks and the economic « stimulation » plans of no lasting effect. The coming months will reveal a simple, yet especially painful reality: the Western economy, and in particular that of the United States (2), never really came out of recession (3). The startling statistics recorded since summer 2009 have only been the short-lived consequences of a massive injection of liquidity into a system which had essentially become insolvent just like the US consumer (4). At the heart of the global systemic crisis since its inception, the United States is, in the coming months, going to demonstrate that it is, once again, in the process of leading the economy and global finances into the « heart of darkness » (5) because it can’t get out of this « Very Great US Depression (6) ». Thus, coming out of the political upheavals of the US elections next November, with growth once again negative, the world will have to face the « Very Serious Breakdown » of the global economic and financial system founded over 60 years ago on the absolute necessity of the US economy never being in a lasting recession. Now the first half of 2011 will dictate that the US economy take an unprecedented dose of austerity plunging the planet into new financial, monetary, economic and social chaos (7).

More…

Categories: ideas.

Tags: ,

IEA Economist: ‘Era Of Cheap Energy Is Over’

WASHINGTON (Dow Jones)–The chief economist of the International Energy Agency said predicted Tuesday that the “era of cheap energy is over,” with oil supply unlikely to keep up with demand.

Fatih Birol told the National Association for Business Economics that China will be the main driver of global oil demand, which he sees increasing by about 1.5 million barrels a day this year.

Birol said he has “serious worries” about whether future supply can meet demand.

More: http://news.tradingcharts.com/futures/6/3/136468136.html

This is huge news, especially to those who have been claiming over the past decade that the concept of Peak Oil is a “hoax”. Each year, the production data and the spot price of oil confirms that yes indeed, Peak Oil is real and it is here now. This has major implications for the entire global economy because so much of the food, medical, transport, travel and manufacturing sectors of the economy are so dependent on fossil fuels.

The good news is that there is still some time to prepare. Invest in a permaculture system for your home today.

To get started, please call Paul Racko of Sierra Permaculture Design at (530)292-3031 or 613-4181.

Permaculture is the wisest investment decision you can make. Call today.

Categories: news.

Tags: , ,


Sierra Permaculture Design

Permaculture design and consulting services in Auburn, Grass Valley, Nevada City, and North San Juan, California. Also serving Nevada County, Placer County, Sierra County, and Yuba County, California CA.

100% Wind-powered Web Hosting by SierraHosts.net