Forecasts made by the Bureau of Labor Statistics that the 2000s would yield nearly 22 million net jobs have been proven false by the financial crises plaguing the decade. Likewise, assertions that the economy is bouncing back from the 2008 meltdown continue to prove false, despite new optimistic predictions made by the Congressional Budget Office.
At this moment the national debt, according to the U.S. National Debt Clock, is at $14.094 trillion and increasing by $4 billion every day. With the current ceiling on the U.S. National Debt at $14.294 trillion, there are just 49 days left until U.S. government spending hits the ceiling. Expect the noisy chorus of misinformed warnings about the consequences of such an action to rise as well.
With at least $7 billion in losses expected in 2011 and similar setbacks over the past several years, the United States Postal Service (USPS) announced that it plans to close up to 2,000 post offices across the nation beginning in March 2011.
Standard and Poor’s gave plenty of reasons for its downgrade of Japan’s credit rating yesterday such as increasing annual deficits and soaring national debt, an aging population, shrinking workforce, and a government in gridlock. With their national debt approaching $11 trillion and a gross domestic product of just under $5.5 trillion, Japan’s ratio of debt to GDP is now 200 percent, the highest of any industrialized nation in the world. And it’s going higher. As S&P noted in its announcement:
With the value of the U.S. dollar exponentially declining since the establishment of the Federal Reserve Bank in 1913, it comes as no surprise that many world leaders and international economists have expressed their desire for a new world reserve currency. In light of the global financial crisis, Russia may be moving toward a sound economic solution — gold.