Someone please help me..

[againes654]

The extent of my knowledge of economics is "The Shock Doctrine".

Someone help me understand the coming economic crisis, and how bad is it really going to get?

[jody]

1. One wag said "If you put all the economists together head to toe, you couldn't reach a conclusion.

[SlowDownFast]

2. Pretty bad.

Next question?

[againes654]

3. Bad as in how

Shit has been bad for me for years. I have always lived paycheck to paycheck, no investments, no savings.

[SlowDownFast]

4. "Shit has been bad for me for years."

"I have always lived paycheck to paycheck, no investments, no savings."

You'll do fine, then. It's the ones who don't know how to live without that will suffer the most.

Seriously, take what little you can save and pay down debt (and/or don't accumulate any more) and stock your pantry as full as you can. Keep some cash on hand.

TS is about to HTF.

[againes654]

7. OK, thank you

I have very little debt (other than what is already on my credit :) ) I own my house and car outright, so that makes me feel better.

I will start stocking up on food though.

Thanks All of you!!!

[SlowDownFast]

9. "I own my house and car outright...."

You're way ahead in the game, then. Most folks can't make that claim.

Like I said, you'll do fine.

Start pinching pennies everywhere...

[TalkingDog]

6. I know this sounds like an impossibility if you are living pcheck to pcheck

But find one treat, one tiny luxury: candy bar, beer, whatever... then forego it and buy the largest bags of dried beans and rice you can muster that week. Buy store brand oatmeal in the largest size possible. If you do that every week, yes your diet will be bland, but you will have food set by.

If you can spare 30 dollars, Chinese markets sell 50 lb bags of rice. In a grocery store 1 pound would cost over a dollar. Just be sure to store in a dry, airtight container.

My mother was a paycheck to paycheck head of our household. Many times she held a part time job too. I know for a fact it is tough. Good luck.

And I agree with other posters: 1) You already know how to do without, not much will change for the folks in that situation. 2) It will be bad.

[againes654]

12. I stopped smoking cigarettes

2 1/2 months now. Both me and my husband quit. Saving us like $10-$12 a day!!!

[zonmoy]

16. bad as in

90% of the human race starving to death.

[napoleon_in_rags]

5. I'm no guru either, but I've heard its unprecedented.

These economic issues aren't stemming from simple numbers games, they're rooted in an economic model that requires constant growth in a world where impending resource shortages make that impossible. Deep changes are in store I believe.

[TreasonousBastard]

8. Nobody really knows-- this is all new stuff and..

past economic models won't work. If you don't have the ability to buy a private island somewhere and grow your own food, I have no idea what you could do to prepare for whatever is coming. I'm not doing a damn thing to prepare-- if I lose what little I have I'm in the same boat as everyone else, and I couldn't possibly hoard enough food and water to last long enough.

And, don't forget that it's entirely possible that we won't have another Great Depression after all. Nothing says that the prophets of doom are any more knowledgable than the pollyanas out there. Everyone on the planet with more than two nickels to rub together is working overtime to try to avoid a global meltdown, and they just might pull it off.

Whatever happens, though, this country will find itself making some very unwelcome changes-- we simply cannot continue to exploit over a quarter of the planet's resources as we have done in the past.

[SlowDownFast]

11. "this country will find itself making some very unwelcome changes..."

I dunno.

I, for one, welcome the changes.

'Lotta people gonna learn 'lotta things in short order here - whether they like it or not. I've been weary of the "typical situation in these typical times - too many choices" for longer than I care to remember. When I consider the excesses of this country lately, it makes me ill. My greatest hope is that it will become bad enough that most folks can't afford their cable/satellite bill anymore and might be forced to read a book or something. ;-)

Time to simplify.

[Captain Angry]

10. No matter what happens, good or bad, there are smart decisions to make.

As you've posted, you aren't in debt. You're way ahead of many.

People should try to have several weeks of food and water on hand in case of an emergency, no matter where they live.

Freak snowstorm, buries town for 4 days...
Tornado annihilates small town that is 100 miles from nearest Wal-Mart or other large store...
Earthquake, hurricanes, etc.

Preparation if nothing else, reduces the stress level when things go badly.

I don't believe that we're going to have the Road Warrior style apocalypse some people here are hoping for.

I think employment is going to continue to be a problem.
I think fuel and food prices are going to rise.
I think that a lot of businesses will fail, since they require discretionary spending. (Think coffee shops, boutiques, etc.)
I think we're going to see a banking shakeup, followed by some new regulations that will attempt to block the poor lending practices of the last 10 years.

Bottom line, things could get tight for a lot of people, but I don't see total collapse. Just keep an eye out for yourself and your friends/family. Think ahead, buy on sale, make a double batch and freeze it... Etc.

[Blue Gardener]

14. Thanks for a voice of reason

I get tired of the gloom and doomers that see no hope at all for the future of this country.

[Joanne98]

13. 500 trillion dollars in outstanding derivatives..

according to the BIS

[melody]

15. Pay off what you can now, secure yourself financially as much as possible

Stockpile long-lasting basics (rice, beans, etc).

I have clinical depression, so if things get too bad, I'll probably kill myself. The gloom and doomers seem to be welcoming the "end times" for us, but I'm going to opt out of them if possible. Suffering for the depressed is even worse, ergo I have my "opt out" clause. Not recommending this for anyone else, by the way, everyone has to make their own decision.