In case you were wondering when the brand new economic failure would settle in… well, wonder no more! The most recent reports show that it has already begun since January. So, to all those thinking all the “fuss” about a new financial crisis in 2013 is just fear mongering… here`s some bad news: the FACTS prove not only that it`s going to happen this year…. but that it`s already happening and it`s only getting worse.
Unfortunately, these people don`t read this site unless it`s by accidents. I know the MFSP community is made of concerned Americans, who are very aware of the realities of our times and try their best to protect their families against the looming crisis. On the other hand, most Americans are completely ignorant to these events and here`s the best example of their ignorance:
A decline in incomes was expected in January, but the estimated numbers were wrong. According to WSJ, personal incomes dropped 3.6% in January, as the Commerce Department said Friday. However, economists surveyed by Dow Jones Newswires expected a 2.5% decline. This marks the most dramatic decline since January 1993.
Now, what`s troubling is not the income plummet itself. The fact that numbers are bigger than expected is not all that surprising. In December, the monthly income was unusually high, because companies preferred to pay out early dividends to avoid 2013 upcoming tax hikes. A lot of $billion companies, such as Wal-Mart, Oracle, and Costco Wholesale Corp chose to pay dividends to their shareholders at the end of 2012 and not wait until 2013 and pay more on taxes. Therefore, when you compare January 2013 to December 2012, it`s absolutely natural for the numbers to be bigger than estimated. So the problem doesn`t necessarily lie here, but in what`s to happen in the next three to four months. And by that, I`m referring mainly to consumer behaviour.
Read More at The Daily Sheeple . By Todd Walker.
Photo credit: terrellaftermath