Coronavirus Update – Historic Unemployment, Economy in Ruins
REAL ESTATE NEWS (Los Angeles, CA) On March 15, the number of Google searches for “Great Depression” shot up to its highest level in 15 years as the stock market crash awakened people to the unfortunate possibilities. Today, we must prepare ourselves for reality of the market in 2020. The Great Depression 2.0 looms as some of the numbers are already much worse than what the U.S. economy experienced in 1929. Here’s why things can be much worse AND much better today. #greatdepression #2020 #coronavirus
The employment rate in 1929 was good. It took nearly 4 years of chaos following the stock market crash for unemployment to bottom in 1933. Great Depression 2.0 has already caused the fastest and most sweeping unemployment in history. The worldwide economic shutdown caused by coronavirus panic has already caused the fastest and most severe business collapse of any event in history. The shutdown has instantly caused the real estate market to come to a standstill, and collapse. Even hospitals, doctors and nurses not involved in acute respiratory care are suffering financial hardship and bankruptcy. Meanwhile, corona-panic causes many other types of medical patients to die of neglect and under-treatment. #update #2.0 | Blog Video
The expenses compound. For each day of The Great Lockdown, overhead keeps costing, debt keeps soaring and the hole grows bigger. Real cost and loss grow exponentially. Nearly every industry is being decimated. A large number of scared Americans are going to find a very big bill, with vastly reduced resources to pay that bill. The virus does not care about politics. Money only cares about resources, labor and entrepreneurship, all of which have been largely cut off.
Unhealthy people are the primary victims of the virus — the same elderly and compromised individuals who suffer from seasonal flu every year, with similar results every year. Without thinking about how the panic is going to affect their health in the future, those impacted by The Great Depression 2.0 are all going to point the finger at other people as the source of their financial and health woes. Medical experts admit that the coronavirus data is seriously flawed; respected medical experts explain just how misleading the data is.
“The economy is clearly in ruins here”, according to Chris Rupkey, chief financial economist at MUFG Union Bank. Yet massive depression is only part of the problem: Corona-Panic blinds many to bigger health problems caused by poverty, which extends deep into the future. Mental health issues such as depression, anxiety are already skyrocketing now, along with domestic violence and suicide.
Massachusetts, New Jersey, California and other states are placing bans on evictions and foreclosures, which will force investors and banks into foreclosure and insolvency.
The IMF International Monetary Fund has warned of the worst downturn since the Great Depression. More than half of a entire year’s GPD has been spent by the government. When adding the cost to the entire economy, we are looking at 1.5 years to 4 years or more of income just to repair that economic damage. They means we all must work those extra years just to fill in the hole.
The government and mainstream media have done quite a horrendously counter-productive job in managing and disseminating statistics. The Great Depression 2.0 has been precipitated with Americans being presented with misleading statistics of infection, exaggerated projections of death. The biggest distortions have been via obfuscation and cover up of true causes of death. 99% of all “coronavirus” deaths are linked to pre-existing ailments, other diseases. This trend of inaccuracy extends to economic forecasting. The disseminators of the inaccurate health data have utterly no idea how to calculate the toll on the economy or how to account for damage to the future health of Americans. In economic reports, we know to expect large amounts of bad information from the government and mainstream media over the next year or two. Before its all over, the virus is wrongly blamed for economic mismanagement, and all types of people will be blamed as scapegoats for the lack of discipline by others.
Fortunately, major silver linings exist in these enormous dark clouds. The damage is extraordinary, but the silver linings are commensurate — correspondingly gigantic. To compensate for some of the economic damage, a depression brings astounding opportunities that are difficult for most to fathom: Babe Ruth made a fortune in the Great Depression. Famous robber John Dillinger made millions from his unlawful exploits. Film star James Cagney made a huge fortune as one of Hollywood’s highly paid box office stars of gangster movies. Many other singers and entertainers made a killing. Charles Darrow, creator of the Monopoly game, became the world’s first millionaire game-designer. Oil man J. Paul Getty, snatched up depressed oil stocks with his inheritance and created a new petroleum empire. Aviation entrepreneur Howard Hughes made his fortune. Many others made a mint during the Great Depression, including Joe Kennedy Sr., with stock speculation, real-estate, liquor and movies. These 1930s examples can be translated into today’s opportunities in shorting stocks, buying crashed stocks, entertainment, video games, new hyperloop transportation and space technologies, cost-saving technologies, solar, wind, geothermal, nuclear fusion etc.
While we’re still the same challenged creatures who can barely figure out how to light a fire in a natural setting, we have vastly more technology and other resources at our disposal today. Technology can and shall make up for human failings. Tech shall help us dig ourselves out of this historic hole. BOOM OR COLLAPSE | REAL ESTAET MARKET 2020
Those who are motivated will deflect the negatives by fully taking advantages of all of the positives as wealth changes into the hands of those who employ new ways to engage in good old-fashioned hard work and determination.
Get a free list of loft foreclosures and distressed properties. Fill out the online form:
LOFT & CONDO LISTINGS DOWNTOWN LA [MAP]
SEARCH LOFTS FOR SALE Affordable | Popular | Luxury
Browse by Building | Neighborhood | Size | Bedrooms | Pets | Parking
Copyright © This free information provided courtesy L.A. Loft Blog and LAcondoInfo.com with information provided by Corey Chambers, Realty Source Inc, BRE 01889449 We are not associated with the homeowner’s association or developer. For more information, contact 213-880-9910 or visit LAcondoInfo.com Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.