Tag: economy

Car Repos Rise 23% YoY

The private debt crisis is becoming apparent in America after car repossessions jumped 23% during the first half of 2024. Data shows that 1.6 million Americans will have their car repossessed by the bank before the end of the year, a slight increase from the 1.5 million autos repossessed in 2023 and a drastic upturn from the 1.1 million in 2021.

Obviously, the cost of purchasing a car have drastically risen with inflation, interest hikes, and supply chain shortages. Americans simply cannot afford new autos and car dealerships can do nothing to entice purchases. New car inventory in the US rose 36% this year, close to February 2021 levels before the supply chain crisis put a dent in imports. Yet, the average list price of a new car is $49,096 and far more than the average American can afford. The average new vehicle will sit in a dealer’s lot for 65 days, a 41% annual increase.

Dealerships are hardly asking for a downpayment these days unless someone has horrid credit. Even putting a few grand down will only take off about $20 per monthly payment. The average new car costs about $735 monthly based on data from Experian, and $523 monthly on used models. The average American simply is not educated in finance. Autos are behind mortgages in the largest share of personal household debt and there is a portion of the population who do not understand what they can actually afford.

The average American now borrows around $40,634 for new vehicles and $26,073 for used vehicles. About 9.2% of all consumer debt is through autos alone.

There was that viral story from April of a woman purchasing a Chevy Tahoe for $80,000 – without factoring in the interest on all household vehicles. Her husband purchased 2020 GMC Sierra 1500 AT4 for $78,000 in August 2022 and she simply could not understand why the payments on the truck were more than on the Tahoe. Well, the husband’s 14% rate on the vehicle placed their monthly payment or the truck $1,600. I recalled reading comments suggesting the family simply let the bank repo one of the cars as if that could be a valid option for personal finance.

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The Trigger For WWIII Just Arrived – What Are The Implications For Americans?

If the year of 2024 has proven anything so far, it’s that our worries about the potential outbreak of WWIII are absolutely reasonable. The skeptics making accusations of “conspiracy theory” and “doom and gloom” have been proven wrong yet again. The geopolitical atmosphere is turning sour fast.

I still don’t think a lot of people realize how truly volatile the situation is globally right now. From my point of view, WWIII has already begun, at least in economic terms.

Let’s not forget the fact that Ukraine is essentially a proxy for all of NATO against Russia. And, the situation in the Middle East is about to become much worse. Because of the alliances involved and the fragile nature of global energy exports there is a danger of systemic collapse should a wider war break out between Israel and multiple Arab nations. It appears that such a war is imminent.

But why should Americans care? It’s pretty simple – War spurs shortages, and shortages in the middle of a stagflationary crisis are a very bad thing.

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Law and State Coercion: The Liberating Effects of Free Markets

Many who support state regulation of free markets claim that they are not against free markets, just against unregulated free markets. They argue that regulation is needed to mitigate the harm that may be suffered during market participation, such as people working long hours for low wages or suffering racial discrimination. As Ronald Hamowy explains in his introduction to Friedrich von Hayek’s “The Constitution of Liberty,” these arguments were influential in the rise of both welfare socialism and national socialism:

“It was generally thought that only through vigorous government intervention was it possible to forestall the more destructive aspects of unbridled capitalism, which, if left unchecked, would bring privation and misery to the great mass of people. Equally important, only government direction could galvanize and coordinate the productive facilities of a nation so as to minimize waste and maximize wealth creation.”

The premise that free markets require some form of regulation, so that the debate only concerns how much regulation is needed, strikes many people as superficially reasonable: This premise seems to call merely for moderation, balance, mitigation of harm and the absence of excess. This is usually seen as the basic role of law and regulation. Walter Williams explains that “people have always sought to use laws to accomplish what they cannot accomplish through voluntary, peaceable exchange” in the belief that if free markets do not yield their preferred outcomes, they can achieve those outcomes through law and regulation.

Politicians of all stripes uphold this premise, debating only what types of interventions are required and which should take priority. There is widespread consensus among social scientists on the need for a welfare state, with debate only concerning the precise form of welfare schemes. As Hamowy observes, many intellectuals gave Hayek’s “Constitution of Liberty” a frosty reception because it challenged their belief in the importance of the welfare state and market regulation: “Intellectuals in both Europe and the United States appear to have remained wedded to the view that an extensive welfare state was necessary to insure economic stability and the public’s social welfare and that any defense of free markets bordered on the crackpot, unworthy of comment.”

In the field of labor market regulation, interventions are not limited to protecting workers from privation and misery. Regulations may also be designed to protect vested interests, such as preventing entry into the market by participants who enjoy what is seen as an unfair competitive advantage, or designed for racial protectionism, to prevent demographic encroachment by other races.

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Kamala will Expand Destructive Biden Economic Policies

The Kamala Harris administration is expected to continue the policies of the Biden administration, building on and perpetuating Bidenomics with an added infusion of Marxist principles.

The critical flaw of Bidenomics, which will be even more pronounced in Kamalnomics, is the failure to recognize that real wealth gains in an economy require entrepreneurs. The profit motive drives entrepreneurs to innovate, create new products, and find more efficient ways to satisfy people’s needs and wants, making life easier. Government transfers, welfare, soft loans, and DEI initiatives cannot achieve this goal. Worst of all, under the White House’s national industrial policy, the government will attempt to engage in entrepreneurship, gambling with taxpayer money.

President Joe Biden is the first U.S. president to establish a comprehensive national industrial policy document, a move reminiscent of strategies used by China and other communist countries. In these countries, the central government opens its own companies and provides soft loans and other benefits to favored companies or demographics that align with its vision for the economy.

Biden’s policy aims to address issues like climate change and economic inequality, which are not profit-driven goals. Private companies operate with the primary aim of making a profit, and even then, many still face bankruptcy. A company with any other primary goal is unlikely to succeed. However, a government company doesn’t face the same risk of bankruptcy; when it runs out of taxpayer money, it can simply request more from the central government.

The industrial policy will also focus on creating “good, union jobs.” How can Biden know in advance that the workers will choose to unionize?

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21 Facts That Joe Biden Doesn’t Want You To Know

It takes a lot of gumption to go on television and repeatedly lie to more than 300 million Americans.  I honestly don’t know how Joe Biden does it.  I suppose that after you have been lying for your entire career, lying comes as naturally as breathing does.  Sadly, there are still millions of Americans that are falling for his lies after all this time.  Biden would like for us all to believe that the economy is “booming”, that the southern border is under control, that our communities are safe, and that Ukraine is going to win their war against Russia.  Our entire society is literally crumbling all around us, and Biden and his minions have brought us to the brink of global war.  I am entirely convinced that he has been the worst president in U.S. history, and that is really saying something.

Ultimately, Joe Biden is just another slimy politician that is trying to save his job.

I get that.

But come on man, how can anyone actually believe the nonsense that he is shoveling?

There are a few numbers that Biden can cherry pick to try to make himself look good, but here are 21 facts that Joe Biden doesn’t want you to know…

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The Percentage Of Americans Who Worry They Won’t Be Able To Pay Their Bills Is Higher Than It Was During The Great Recession

Do you remember how painful the Great Recession was?  2008 and the years immediately following were definitely a very dark chapter in our history, but a new study has actually found that the percentage of Americans that worry they won’t be able to pay their bills is actually higher today than it was back then.  Slowly but surely, our economic strength has been fading and our standard of living has been falling.  Unfortunately, now we have reached a point where a very large portion of the U.S. population is really struggling.  According to a CNN poll that was just released, almost 40 percent of all U.S. adults “say they worry most or all of the time that their family’s income won’t be enough to meet expenses”…

Many Americans regularly worry they won’t be able to make ends meet.

Nearly four in ten (39%) of US adults say they worry most or all of the time that their family’s income won’t be enough to meet expenses, according to a new CNN poll. That’s up from 28% who expressed those concerns in December 2021, and it’s similar to the numbers seen during the Great Recession (37%).

To cope, significant shares of Americans said they are adding side jobs, cutting down on driving and putting more expenses on credit cards.

If you would have asked me before I saw the results, I would have been quite confident that the number during the Great Recession would have been higher than the number in 2024.

Just like everyone else, I remember the Great Recession as such a painful time.

Sadly, the economic pain that we are experiencing now is just beginning.

Ordinary Americans from coast to coast are being absolutely crushed by rising prices, and that isn’t going to change any time soon.

In an article that CNN posted about this new survey, one woman that works for the CDC admitted that she was recently forced to move because costs have risen so aggressively…

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The Economic Folly of a Carbon Tax

The push for a carbon tax has regained popularity as the fiscal storm in 2025 and climate change debates intensify. Advocates claim it’s a solution to pay for spending excesses while reducing greenhouse gas (GHG) emissions. But a carbon tax is a misguided, costly policy that must be rejected.

A carbon tax functions more like an income tax than a consumption tax, capturing all forms of work, including capital goods production and building construction. These sectors are heavy on carbon emissions, meaning the tax disproportionately burdens them, stifling investment and innovation — much like a progressive income tax, but with broader economic repercussions.

For example, in the US, the construction sector alone accounts for about 40 percent of carbon emissions. A carbon tax would heavily penalize this industry, reducing its capacity to grow, generate new housing, and create jobs. Moreover, implementing a carbon tax involves massive administrative costs. The federal tax code is already complex and costly; a carbon tax would exacerbate these issues.

Determining net carbon emissions is a nuanced process subject to ever-changing and arbitrary federal definitions, increasing compliance costs for businesses and consumers.

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As Inflation Takes Its Toll Americans Set to Get Smaller Social Security COLA in 2025

America’s seniors face a financial squeeze in 2025, with Social Security increases lagging behind rising costs of basics like food and housing.

This comes as Democrats spend billions on illegal immigrants, raising questions about budget priorities.

The Senior Citizens League (TSCL) projects a 2.63% cost-of-living adjustment (COLA) for Social Security in 2025. This translates to roughly $45 more per month for retirees.

“It’s not enough,” says Shannon Benton, TSCL’s executive director. “Seniors need more to cover rising prices on everyday items.”

Let’s look at the numbers:

– 2024 COLA: 3.2% (about $59 more per month)
– 93% of seniors say this increase didn’t cover their rising costs
– Many report monthly expenses rising by $185 in 2023

This gap is causing real problems.

Benton notes growing “food insecurity” among seniors. Many struggle to pay for basics like heating and cooling.

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More Than 10 Million Illegal Immigrants Under Joe Biden and the Real Employment Numbers Since He Took the White House

Far-left detractors are calling the Republican National Convention a Nazi convention because Republicans want to secure the border and deport illegal immigrants.

They also claim that Republicans are falsely demonizing illegal immigrants. However, protecting the border and enforcing the law is not a Nazi act; it is a normal function of government and part of the contract a government has with its citizenry.

As for demonization, the claims of illegal immigrants taking jobs and lowering wages are 100% true. To cover for the negative impact of immigration on jobs and wages, Biden lies about his job numbers, and Democrats and the mainstream press support his false claims.

As of June 2024,  approximately 6.8 million Americans were unemployed. In fiscal year 2023, the United States hit a record of 3.2 million encounters with illegal immigrants nationwide, including more than 2.4 million encounters at the Southwest border alone.

Over the past four fiscal years, from October 2019 to January 2024, U.S. Customs and Border Protection (CBP) reported more than 9.8 million border encounters across the country. This number represents approximately 2.93% of the current U.S. population, which is estimated to be around 334 million.

The Biden administration claims that unemployment is at the lowest level in fifty years. However, the unemployment rate is currently 4.1%, which is higher than during most of the Trump administration.

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Under Biden More Americans on Welfare and Fewer Americans Working

Socialists want higher taxes, increased reliance on government, and if possible, the complete elimination of the private sector.

They aim to transform the US into a country where, like much of the world, 1 in 5 youths are NEET—“not in employment, education, or training.” In the US, the percentage of those aged 16-24 qualifying as NEET has already reached 11.9%, and as welfare and unemployment benefits increase, so will this number.

They advocate for universal basic income (UBI), which is defined as “an unconditional cash payment given at regular intervals by the government to all residents, regardless of their earnings or employment status.” The country appears to be moving in this direction.

Under Biden, more people are on government assistance than at any time in US history, and the workforce participation rate is at the lowest point since 1978, when women became fully integrated into the workforce.

The low workforce participation rate is the result of liberal government unemployment and disability payments, as well as food and rent assistance, that make it more profitable to stay home and collect checks than to work.

Those who support welfare programs often downplay the amount of money recipients receive by citing a single program like SNAP, where the maximum benefit for a family of four is $931.

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