I thought it was time to update my coming economic crash caused by world debt article. That article is still receiving a few thousand downloads a month, so updating it seems appropriate. Some think everything is fine now and we are on our way to economic recovery but this update should dispel that myth.
I can’t post the whole update or article here because it is posted elsewhere on this site and I would end up with a duplicate content penalty by the search engines. Therefore, you will have to follow the link at the end of this post to read most of what I said in the update and the original article. What follows are a few excerpts from my 2013 update.
The coming crash caused by world debt
2013 update - I actually wrote this article in 2000 and I have been updating the debt figures and also inserting new information along the way, but it is now 2013 and what I said would be coming has been underway but our government has also done unthinkable and unconstitutional things to push off the inevitable debt crash for a number of years. Even so, I believe what they have been doing is also going to make a recovery impossible before massive world wars and civil upheavals.
The first thing I want to say is that if you are in the stock market right now, it might be wise to get out now, or you are likely to lose your savings again like so many did in the crash of 2008. The numbers may drop as far or worse than the last crash and the value of stocks adjusted for inflation are likely to be far worse.
The EU nations are in the longest recession in their history and there is no end in sight. Japan is in recession and has not had any growth in almost two decades. Greece has 30 percent unemployment and they burned city trees last winter for heat. Riots are inevitable. Spain, France and Italy and others are not far behind and fascism is rising in many EU nations.
No future generation can possibly pay this huge rapidly increasing debt and soon nobody will be stupid enough to continue to finance our increasingly risky debt at the abnormally low interest rates that came about by illegal actions of the Federal Reserve. The Federal Reserve Bank created 4 trillions dollars to buy most of our new recent national debt and mortgage debt with money that they created and that nobody will buy in the future. It is a Ponzi scheme.
That happened in the 1930’s and it made a bad recession into a long world depression. That now seems to be our future and along with the deflation depression or hyperinflationary depression that is bound to come, it will allow the rise of populist demigods who will convince people that they know who is to blame and that they have all the answers. In other words, we are now repeating the same mistakes of the 30’s that led to the nationalist socialistic movements and the start of World War II. It will not be different this time except the stakes for the world will be much higher.
The same mistakes in housing in the US are being made all over again. I do not think this is a good time to invest in residential real estate unless you plan to really live in the house. The recent climb in values will probably be short lived as this country goes back into the next phase of this depression. Investment speculators who think we are in recovery are once again buying real estate and driving up prices. The percent of Americans owning their own home is actually still falling and have fallen to 1990’s home ownership levels. Family income in the United States and hours worked is still falling. The recovery is mostly phony and what recovery there seems to be is really built on the Federal Reserve creating more money and more government borrowing.
Don Koenig founded www.thepropheticyears.com website in 1999 after almost thirty years of independent study on the Bible and learning from many astute teachers within Christendom. Don created his website to write about Bible prophecy, biblical discernment and his Christian worldviews. Don wrote a free Revelation commentary ebook in 2004 named "The Revelation of Jesus Christ Through The Ages". The World and Church and Bible Prophecy section of this website was started in 2007.