(The Economic Collapse Blog)—It is incredibly sad to watch the U.S. economy slowly but surely come apart at the seams all around us. For most of our history, the rest of the world marveled at our economic performance, and that is because we embraced economic values that led to great blessing. In recent decades, we have abandoned those values, but we were able to maintain a very high standard of living by going into unprecedented amounts of debt. Our leaders were able to keep the game going for longer than a lot of people thought, but now we have entered the final depressing chapters for the late, great U.S. economy, and we can see evidence of this all around us. If you doubt this, just look at all of the businesses that are going bankrupt.
Last week, I discussed the fact that for the year ending June 30th, the number of business bankruptcy filings was up more than 40 percent compared to the previous 12 months. There is no way that the Biden administration can manipulate this number. Either a business filed for bankruptcy or it didn’t, and right now we are seeing a spike of historic significance.
On Sunday, CNBC published an article that listed ten prominent restaurant chains that have filed for bankruptcy this year…
- Roti
- Buca di Beppo
- World of Beer
- Rubio’s
- Melt Bar & Grilled
- Kuma’s Corner
- Red Lobster
- Tijuana Flats
- Sticky’s Finger Joint
- Boxer Ramen
We really are in the midst of a “restaurant apocalypse”, and more of our favorite eateries are getting into trouble with each passing day.
For example, a large number of KFC locations just suddenly shut down in the Midwest…
Dozens of KFC locations owned by one franchisee have abruptly closed across the Midwest.
Up to 25 restaurants owned by major fast food franchisee EYM Chicken have shut in Illinois, Indiana and Wisconsin, according to reports.
The closure of several locations in Wisconsin will lead to nearly 100 employees being laid off, according to local media WKOW 27 News.
At one time, KFC was such a wonderful American success story. But now KFC restaurants are becoming an endangered species.
There used to be one about an hour from where I live, but that one has been shut down too.
If you still have a KFC in your community, you should visit it while you still can.
Meanwhile, we just learned that a chain of gas stations and convenience stores in the Midwest has also abruptly shut down…
The gas station and convenience store sector has faced distress in recent years marked by bankruptcy filings and store closings.
The Store convenience stores and gas stations, owned by Team Schierl Cos., in July 2024 was forced to shut down all operations of its 25 locations in Michigan and Wisconsin after its landlord Mountain Express Oil Co. filed Chapter 7 bankruptcy liquidation in August 2023, Convenience Store News reported.
Whatever is happening to the economy right now, it seems to be hitting the Midwest particularly hard.
At the rate that things are going, I think that it won’t be too long before even more communities in the Midwest resemble the nightmare that Gary, Indiana has become…
Gary, Indiana – best known as the birthplace of Michael Jackson – is home to the highest abandoned home rate in the nation at 31.41 percent, according to analysis from 247WallSt.
The data found that the population has staggeringly dropped by 18.2 percent from 2010 to 2020, with a population around 67,000.
We also continue to see more signs of trouble in the banking industry.
According to the Daily Mail, the U.S. lost 41 more bank branches in just one recent two week period…
Major banks have closed 41 branches in just two weeks as the shift toward online banking continues. Major banks such as Bank of America, Chase and Wells Fargo were among those shuttering locations.
When the economy is booming, banks tend to open up lots of new branches.
What we are witnessing now is the opposite of that.
Of course lots of retail stores are being permanently shut down as well.
Thousands of store closings have already been announced in 2024, and now Big Lots has raised the number of stores that it is likely to close “to a maximum of 315”…
In the first quarter, the discount retailer said its net sales for the three-month period declined 10.2% year-over-year to $1 billion. For all of 2023, net sales were $4.72 billion, a 13.6% decrease compared with the prior year.
More recently, in an Aug. 2 filing, the company told investors that it had upped the number of permitted store closings to a maximum of 315 as part of late July amendments to a credit agreement and term loan facility. That marked a 165-store increase from the 150 previously permitted.
There were nearly 1,400 Big Lots stores in the U.S. as of the first quarter. The discount retailer’s locations sell home goods, furniture, seasonal decorations and other products.
Sadly, this really is the beginning of the end for Big Lots, because it won’t be able to survive much longer.
- Concerned about your life’s savings as the multiple challenges decimate retirement accounts? You’re not alone. Find out how Genesis Precious Metals can help you secure your wealth with a proper self-directed IRA backed by physical precious metals.
Rite Aid is another major chain that is in serious peril.
They have already closed hundreds of stores, but that hasn’t helped much…
Another retail casualty this year has been the sudden bankruptcy of Rite Aid, leaving hundreds of stores empty in states such as Michigan and Ohio after closing up to 500 stores nationally. In its filing, the company said it expected its losses would increase significantly in the past quarter, following a loss of $750 million between March 2022 and March 2023 and another $307 million in the second quarter this year. The last quarterly report filed by Rite Aid was in June, when they had only $135.5 million of cash to work with, combined with $3.3 billion in long-term debt.
Needless to say, Rite Aid is far from alone.
All over the nation, once thriving businesses are being boarded up.
U.S. consumers simply do not have the same level of discretionary income that they once did.
The cost of living crisis has hit most Americans really hard, and at this point the vast majority of the population can no longer afford to purchase an average home.
These days most Americans are desperately trying to find a way to scrape by from month to month, and so there just isn’t a lot of room for discretionary spending.
Economic conditions are not good right now, but what is this country going to look like once they take a dramatic turn for the worse?
You might want to think about that, because what we are experiencing at this moment is going to look like rip-roaring prosperity compared to what is eventually coming.
Michael’s new book entitled “Chaos” is available in paperback and for the Kindle on Amazon.com, and you can subscribe to his Substack newsletter at michaeltsnyder.substack.com.
Five Things New “Preppers” Forget When Getting Ready for Bad Times Ahead
The preparedness community is growing faster than it has in decades. Even during peak times such as Y2K, the economic downturn of 2008, and Covid, the vast majority of Americans made sure they had plenty of toilet paper but didn’t really stockpile anything else.
Things have changed. There’s a growing anxiety in this presidential election year that has prompted more Americans to get prepared for crazy events in the future. Some of it is being driven by fearmongers, but there are valid concerns with the economy, food supply, pharmaceuticals, the energy grid, and mass rioting that have pushed average Americans into “prepper” mode.
There are degrees of preparedness. One does not have to be a full-blown “doomsday prepper” living off-grid in a secure Montana bunker in order to be ahead of the curve. In many ways, preparedness isn’t about being able to perfectly handle every conceivable situation. It’s about being less dependent on government for as long as possible. Those who have proper “preps” will not be waiting for FEMA to distribute emergency supplies to the desperate masses.
Below are five things people new to preparedness (and sometimes even those with experience) often forget as they get ready. All five are common sense notions that do not rely on doomsday in order to be useful. It may be nice to own a tank during the apocalypse but there’s not much you can do with it until things get really crazy. The recommendations below can have places in the lives of average Americans whether doomsday comes or not.
Note: The information provided by this publication or any related communications is for informational purposes only and should not be considered as financial advice. We do not provide personalized investment, financial, or legal advice.
Secured Wealth
Whether in the bank or held in a retirement account, most Americans feel that their life’s savings is relatively secure. At least they did until the last couple of years when de-banking, geopolitical turmoil, and the threat of Central Bank Digital Currencies reared their ugly heads.
It behooves Americans to diversify their holdings. If there’s a triggering event or series of events that cripple the financial systems or devalue the U.S. Dollar, wealth can evaporate quickly. To hedge against potential turmoil, many Americans are looking in two directions: Crypto and physical precious metals.
There are huge advantages to cryptocurrencies, but there are also inherent risks because “virtual” money can become challenging to spend. Add in the push by central banks and governments to regulate or even replace cryptocurrencies with their own versions they control and the risks amplify. There’s nothing wrong with cryptocurrencies today but things can change rapidly.
As for physical precious metals, many Americans pay cash to keep plenty on hand in their safe. Rolling over or transferring retirement accounts into self-directed IRAs is also a popular option, but there are caveats. It can often take weeks or even months to get the gold and silver shipped if the owner chooses to close their account. This is why Genesis Gold Group stands out. Their relationship with the depositories allows for rapid closure and shipping, often in less than 10 days from the time the account holder makes their move. This can come in handy if things appear to be heading south.
Lots of Potable Water
One of the biggest shocks that hit new preppers is understanding how much potable water they need in order to survive. Experts claim one gallon of water per person per day is necessary. Even the most conservative estimates put it at over half-a-gallon. That means that for a family of four, they’ll need around 120 gallons of water to survive for a month if the taps turn off and the stores empty out.
Being near a fresh water source, whether it’s a river, lake, or well, is a best practice among experienced preppers. It’s necessary to have a water filter as well, even if the taps are still working. Many refuse to drink tap water even when there is no emergency. Berkey was our previous favorite but they’re under attack from regulators so the Alexapure systems are solid replacements.
For those in the city or away from fresh water sources, storage is the best option. This can be challenging because proper water storage containers take up a lot of room and are difficult to move if the need arises. For “bug in” situations, having a larger container that stores hundreds or even thousands of gallons is better than stacking 1-5 gallon containers. Unfortunately, they won’t be easily transportable and they can cost a lot to install.
Water is critical. If chaos erupts and water infrastructure is compromised, having a large backup supply can be lifesaving.
Pharmaceuticals and Medical Supplies
There are multiple threats specific to the medical supply chain. With Chinese and Indian imports accounting for over 90% of pharmaceutical ingredients in the United States, deteriorating relations could make it impossible to get the medicines and antibiotics many of us need.
Stocking up many prescription medications can be hard. Doctors generally do not like to prescribe large batches of drugs even if they are shelf-stable for extended periods of time. It is a best practice to ask your doctor if they can prescribe a larger amount. Today, some are sympathetic to concerns about pharmacies running out or becoming inaccessible. Tell them your concerns. It’s worth a shot. The worst they can do is say no.
If your doctor is unwilling to help you stock up on medicines, then Jase Medical is a good alternative. Through telehealth, they can prescribe daily meds or antibiotics that are shipped to your door. As proponents of medical freedom, they empathize with those who want to have enough medical supplies on hand in case things go wrong.
Energy Sources
The vast majority of Americans are locked into the grid. This has proven to be a massive liability when the grid goes down. Unfortunately, there are no inexpensive remedies.
Those living off-grid had to either spend a lot of money or effort (or both) to get their alternative energy sources like solar set up. For those who do not want to go so far, it’s still a best practice to have backup power sources. Diesel generators and portable solar panels are the two most popular, and while they’re not inexpensive they are not out of reach of most Americans who are concerned about being without power for extended periods of time.
Natural gas is another necessity for many, but that’s far more challenging to replace. Having alternatives for heating and cooking that can be powered if gas and electric grids go down is important. Have a backup for items that require power such as manual can openers. If you’re stuck eating canned foods for a while and all you have is an electric opener, you’ll have problems.
Don’t Forget the Protein
When most think about “prepping,” they think about their food supply. More Americans are turning to gardening and homesteading as ways to produce their own food. Others are working with local farmers and ranchers to purchase directly from the sources. This is a good idea whether doomsday comes or not, but it’s particularly important if the food supply chain is broken.
Most grocery stores have about one to two weeks worth of food, as do most American households. Grocers rely heavily on truckers to receive their ongoing shipments. In a crisis, the current process can fail. It behooves Americans for multiple reasons to localize their food purchases as much as possible.
Long-term storage is another popular option. Canned foods, MREs, and freeze dried meals are selling out quickly even as prices rise. But one component that is conspicuously absent in shelf-stable food is high-quality protein. Most survival food companies offer low quality “protein buckets” or cans of meat, but they are often barely edible.
Prepper All-Naturals offers premium cuts of steak that have been cooked sous vide and freeze dried to give them a 25-year shelf life. They offer Ribeye, NY Strip, and Tenderloin among others.
Having buckets of beans and rice is a good start, but keeping a solid supply of high-quality protein isn’t just healthier. It can help a family maintain normalcy through crises.
Prepare Without Fear
With all the challenges we face as Americans today, it can be emotionally draining. Citizens are scared and there’s nothing irrational about their concerns. Being prepared and making lifestyle changes to secure necessities can go a long way toward overcoming the fears that plague us. We should hope and pray for the best but prepare for the worst. And if the worst does come, then knowing we did what we could to be ready for it will help us face those challenges with confidence.
