Prime Rate vs Default
So the US govt has hosed the USA's economy with its new budget. If your job is in ANY WAY connected to Federal Funding, kiss it goodbye. I work in R&D so mine is going to go away pretty soon. If you're in education or any kind of govt job, kiss it goodbye. If you're receiving any kind of federal funding at all, say goodbye. Once you find that shred of non-public-tied funding is involved with your business/employment, that's what you've got to work with, real world.
This also means that the prime rate will rise. Money (loans) get more expensive and unaffordable.
And that the dollar will devaluate a bit more, meaning the price of oil rises a lot more. More of it will sell in other currencies, instead of dollars. And the EU is going away soon (Greece defaults).
Meaning the USA can afford to buy a lot less of it. Are you ready for domestically produced fuel supplies as the New Way? It works out to about 2.0 gal per week, per person. This is approximate, since the govt may opt to take a bigger share for their military, emergency services, and certain public officials limousines. Kinda like in the USSR during the latter days of the Cold War. The rest of us are going to have to get by on a pittance. Ask yourself if your job is going to survive this mess, if the other workers will get to work despite limited access to fuel, and whether it can function on a skeleton crew of skilled workers with a lot more unskilled filling in the gaps. That's our new economy, after all. One where investment dollars just aren't available, and costs for everything keep rising. This is Inflation. I don't know just how high the prime rate will rise, much less how the currency exchange markets will value the dollar in light of this money printing pyramid scheme, but there's very little we can do about it.
This also means that the prime rate will rise. Money (loans) get more expensive and unaffordable.
And that the dollar will devaluate a bit more, meaning the price of oil rises a lot more. More of it will sell in other currencies, instead of dollars. And the EU is going away soon (Greece defaults).
Meaning the USA can afford to buy a lot less of it. Are you ready for domestically produced fuel supplies as the New Way? It works out to about 2.0 gal per week, per person. This is approximate, since the govt may opt to take a bigger share for their military, emergency services, and certain public officials limousines. Kinda like in the USSR during the latter days of the Cold War. The rest of us are going to have to get by on a pittance. Ask yourself if your job is going to survive this mess, if the other workers will get to work despite limited access to fuel, and whether it can function on a skeleton crew of skilled workers with a lot more unskilled filling in the gaps. That's our new economy, after all. One where investment dollars just aren't available, and costs for everything keep rising. This is Inflation. I don't know just how high the prime rate will rise, much less how the currency exchange markets will value the dollar in light of this money printing pyramid scheme, but there's very little we can do about it.