• 25 mins Why Germany Is Going To War With Gold
  • 1 day Gold Is Still Cheap Compared To Stocks
  • 2 days Are Cryptocurrencies Funding Terrorism?
  • 2 days Promising Oil Companies To Watch In 2020
  • 3 days Could China's Coronavirus Outbreak Impact U.S. Stocks?
  • 3 days Tesla Stock Continues To Soar
  • 4 days What New Economic Data Reveals About Gold's Trajectory
  • 5 days The Lucrative New Tech Hijacking Your Privacy
  • 5 days The Biggest Loser In The China-U.S. Tariff Tit-For-Tat
  • 6 days Trade War Takes Its Toll On Shipping
  • 8 days Is $90 Oil Possible? An Interview With Jay Park
  • 9 days Billions Of Dollars Are Flooding Into The Flying Taxi Space
  • 9 days Is This The Most Important Energy Project Of 2020?
  • 10 days Startups Are Dying To Give You A Better Death
  • 10 days U.S. Restaurants Are Struggling With Rising Labor Costs
  • 11 days The Banking Bonanza Is Just Getting Started
  • 11 days How The Trade War Ceasefire Will Impact The Energy Industry
  • 12 days Who Is The Most Dangerous Person On The Internet?
  • 12 days SoftBank Sees First Quarterly Loss In 14 Years
  • 14 days Prepare For An Oil Glut In 2020
Another Retail Giant Bites The Dust

Another Retail Giant Bites The Dust

Forever 21 filed for Chapter…

What's Behind The Global EV Sales Slowdown?

What's Behind The Global EV Sales Slowdown?

An economic slowdown in many…

Is The Bull Market On Its Last Legs?

Is The Bull Market On Its Last Legs?

This aging bull market may…

  1. Home
  2. Markets
  3. Other

What New Economic Recovery?

The rise of the 'dollar store business model' caters to a disappearing 'middle class' who are incurring shrinking incomes. This has made 'dollar stores' prosper, in the last decade. Dollar stores, for most Americans, have carried an odd sort of stigma. In the past, these stores were seen as shopping for the poor, only. We are all now aware that many people who were in the once strong American 'middle class' were thrown off of the prosperity path and into 'lower income' brackets from business layoffs, downsizing, and salary reduction. While regular product companies struggle the expanding 'dollar stores' have found a niche in this economic climate. The shrinking 'middle class' means more customers for 'dollar stores'.

A big part of the 'new recovery' is lining up at midnight at Wal-Mart stores in order to purchase food. There are families not able to feed their families by the end of the month. They are literally lining up at midnight at Wal-Mart stores, waiting to buy food along with their Electronic Benefit Transfer (EBT) Cards when their funds are deposited into their accounts.

EBT cards are an electronic system that allows state welfare departments to issue benefits via magnetically encoded payment cards, used in the United States. The average monthly EBT payout is $125.00 per person!

Common benefits provided (in the United States) via EBT, are typically of two general categories: food and cash benefits. Food benefits are federally authorized benefits that can be used only to purchase food and non-alcoholic beverages. Food benefits are distributed through the Supplemental Nutrition Assistance Program (SNAP), formerly the Food Stamp Program. Cash benefits include state general assistance, Temporary Assistance for Needy Families (TANF) benefits, and refugee benefits.

There appears to be a 'growing great divide' with in the current U.S. economy. The financial sector is swimming in their 'bailout-induced profits'. Within their elite circles, it appears as if the 'recession' is over.

However, within the average American family, they are not experiencing available access to new credit cards, equity in their homes is vanishing and they do not have a store of available capital they can access like a 'stock portfolio'.

The table below clearly shows the middle class making less money year after year while the wealthy earn more each year. The money is slowly shifting from everyone to just the one-percenters - YIKES

Less than half of adults now middle class


Conclusion:

In short, the average American is slowly earning less and becoming financially stressed about their future outlook.

If you are one of these hard working individuals experiencing a decline in business/income its best you do some research and change what you are doing because things will likely get much worse before they get better.

Mainly because of Trump thousands of Americans are looking to leave the country with the search term "How to Move to Canada" up over 1000% last month. While I love Canada, myself being a Canadian and all, there are many other great places to live and a very full life at a fraction the cost of Canada/USA.

Couple years ago I went to the DR (Dominican Republic) to see if it would work for my family in the winters to escape the cold and be surrounded in palm trees, ocean and kitesurfing. It was an awesome experience with a huge amount of development, tons of Canadians, retirees, and elegant vacation properties available at Holden Sotheby's.

 


There are many ways to preserve capital and also ways to grow it substantially no matter what the economy does and I share this information in the video on the home page of my Trading Newsletter Website.

 

Back to homepage

Leave a comment

Leave a comment