Are you prepared for a formidable 2008?

Some learned prognosticators are predicting a dire 2008 for the USA. Below are the opinions of three such naysayers. Reader warning: the material can be very depressing.


But what do you expect in 2008? Will the first half be one of negative growth, or will the bad news continue for the entire year? Will inflation rage, or has the Fed done a good job of keeping a lid on it? Where will the price of oil be at the end of the year? Your opinion is invited.

Published in: on January 8, 2008 at 8:28 am  Comments (6)  

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  1. Right now stagflation is the watchword.
    Housing bubble to continue.
    And what about Subprime mortgage-I expect it to play it self out. And perhaps some of the mortgage companys could face fraud investigations becouse of what has happened.

  2. These articles ARE depressing particularly in light of the seeming inability of government at all levels in this country to live within their means.

    I was not keen on the suggestions offered in one of the articles that we put foreigners on our governing committees and boards. The first rule of foreign policy is that nations act in their own self interests. Maybe it should read: National actions are governed by the self interest of the national policymakers: their blind trusts, policies which will benefit themselves and their political parties, re-election to office, maintenance of power, etc.

    Unfortunately, many in government have a bad case of what I call “Louis XV Syndrome.” When told that his government’s profligate spending was hurting France, the monarch quipped “It will survive for my time and then the deluge.”

    If the authors are correct, we are riding on the Titanic and there aren’t enough lifeboats to carry everyone to safety. Not a cheery thought.

  3. Advice from one of national importance who expects the worst:

    1. Get out of debt.
    2. Have some cash on hand. The grocery store will only take cash on that day. During Hurricane Katrina, none of my plastic cards would work without electricity and only cash would buy anything.
    3. Stockpile some reserves, like food, gasoline, necessities.
    4. Take possession of stock shares and coins. Don’t leave them with a broker or you’ll be broker.
    5. Have at least one gun in your house. When anarchy prevails, you’ll need it.
    6. Sell your house now if you can, and rent.
    7. Don’t tell anyone you have coins or bullion.
    8. Sell some of your personal belongings that you don’t need NOW, not later.
    9. Move your home residence to somewhere safe, but where is it safe?

  4. Another well-known websiter, Mike Adams, says:

    1) Own your car. Don’t borrow money to drive a car. It’s better to own a beater than to make payments on something you can’t really afford.

    2) Own your home. Instead of moving to a larger home when you qualify for loans, work to pay off your existing home mortgage and own your home outright. At the very least, pay down your loan so you have 50% equity in your home, which should insulate you from all but the very worst housing bubble price drops.

    3) Stop spending money on stupid overpriced things like Starbucks coffee, soda, brand-name laundry detergent, diamond jewelry and processed foods. Stretch your money by buying low-cost, bulk food ingredients like lentils, brown rice and quinoa.

    4) Protect your health! Mark my words: There will be no such thing as a national health care system that’s any good; not under ANY future president. Why? Because our entire health care paradigm is focused on treating disease rather than promoting health. If you’re waiting around for a health care system to make you healthy, you’re on a fool’s errand. Take charge of your health right now and use nutrition, superfoods, sunlight, exercise and avoidance of all toxic chemicals to boost your health (and thereby insulate yourself from future health care minefields).

    5) Own some productive land. Can you actually grow at least 10% of your own food? How about 25%? Owning productive land that actually generates fruits, nuts or edible herbs and plants is a form of permanent wealth. Regardless of what happens to the world economy, land that can produce food and medicine will always hold value (to yourself and others). Climate matters. An acre of land in wind-swept South Dakota isn’t worth much. That same acre in Southern California or Hawaii is a whole lot more useful in terms of producing things that people value.

    6) Own a good bicycle (and know how to repair it). There’s no form of transportation that’s more affordable. Too out of shape to peddle? No worries: Get yourself an Electric Bike from Electric Bikes Northwest (they ship all over the country). Electric bikes cost almost nothing to operate (far less than a penny per mile) and still give you a bit of exercise.

    7) Don’t save all your money in one bank! And certainly don’t save it all in U.S. currency. Diversify. Banks may fail. The currency may even fail. Be prepared to wake up one day and see your green U.S. dollars declared worthless.

    Disclaimer: I’m not offering you financial advice. Do your own research on this and make informed financial decisions using the help of financial professionals. My information here is offered as-is, with honest intent but no promise of accuracy. You’ll have to decide for yourself what’s really ahead in terms of a bankrupt nation and a depressed economy.

  5. Here are more recommendations:

  6. Keep an eye on the intense market volitily. Global events are affecting the us stock market and subprime has spread over into the European banks. Will rate cuts and stimulus packages help? Pay attention to the news headlines online and you tube as well.

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