Life is getting tougher and tougher even as you read this article.
People are losing their jobs and are becoming poorer with the inadequate payment and the sky rocketing inflation rates yet many people still sit around idling and playing around with their lives as things change for the worse.
A Financial Hurricane is coming
When there is a hurricane coming to towards the island, everyone rushes to the supermarkets and wholesales to purchase necessities.They install storm shutters and tape down windows. Everyone goes into full protection mode because they know the destruction a hurricane can cause. Unfortunately, not many of us have ever experienced a financial hurricane so we do not know the devastation of this type of hurricane can cause.Due to that, we do not know how to prepare for it. The effects of this financial hurricane could be as much as 100 times more destructive than a physical hurricane. People who are unprepared for this disaster will end up losing almost everything they own.
The Middle Class, the Backbone of Jamaica
Jamaica is in serious trouble if it does not start growing soon. The only proven way to achieve growth is through production and manufacturing. Without these plans in order, the economy will crash and the middle class as we know it will disappear. You might be wondering so what if the middle class disappears. Here is what happens when that occurs.
If there is no middle class then there will be only two extremes, the rich and the poor. This means that the members of the middle class will be pushed down into the poor thus increasing the number of poor people in the country. If there is no middle class, the government revenue will decrease as the middle class is essentially the backbone of Jamaica.
The poor pay little to nothing in taxes because they have no jobs. If there are a bunch of poor people and no middle class, the government will have to assist many more people. Since the government cannot provide for so many people, riots will eventually break out across the country and there will potentially be mass killing and stealing. This will ultimately cause the rich to relocate to a more prosperous country to protect their hard earned wealth from the Jamaican government thus resulting in Jamaica being a country filled almost entirely with truly poor people.
America is not the Solution
The United States dollar is at a new high of 1 to $112.62 according to a recent Owen James report. The Jamaican dollar has been on a constant devaluation process since 2013 in relation to the USD and ultimately the world as the US currency is the global currency. It makes sense to think that if the Jamaican dollar is slipping in relation to the US dollar, why not migrate to the US where my dollar is protected? But there are no guarantees there either as the United States of America is also in trouble and has been in trouble since the 2008 recession in which it took one of its hardest hits and almost collapsed if the country was not bailed out. The National debt of the US is about $18 trillion. If you gathered all the billionaires in the world and aggregated their wealth, it sums up to $6.7 trillion. Not enough to help the US out of this problem. From economists to billionaires to banks believe that America is treading on thin ice and is on the verge of an economic collapse.
No pension for the poor
According to the pension act, pensioners under the Defined Benefit (DB) plan would receive 2/3 of their net salary. If you were making $70,000 per month and found it difficult to pay your monthly expenses then how would you maintain your lifestyle with $47,000 plus the devaluing dollar of the country. Some companies stop giving pension plans like Doctors working at the UWI Mona and instead give retirees a lump sum inside as a monthly flow of income. The United States of America has stopped giving DB pension plans and moved into (DC) Defined Contribution pension plans where an individual’s retirement fund is dependent on the stock market and can only be cashed out on retirement. If the stock market crashes today, millions of Americans will suffer in the future to come.
Currencies are made to fail. There have already been 150 failed currencies in the modern banking era. So the Jamaican dollar weakening is not a surprise to economists.
Watch the global news and look at all the things that are happening in countries worldwide.
- In Italy, the unemployment rate has soared to a brand new all-time record high of 12.7 percent.
- The unemployment rate in France has risen for 9 quarters in a row and recently soared to a 16 year high.
- The unemployment rate in Spain is sitting at an all-time record high of 26.7 percent.
- The value of the Turkish Lira is collapsing.
- Japanese stocks experienced their biggest drop in 7 months in January
- Ukraine is rapidly coming apart at the seams
- The value of the Argentine Peso is collapsing.
- The looting, violence and economic chaos that is happening in Argentina right now is a perfect example of what can happen when you print too much money…
We are in serious times and the masses are totally unaware of the incoming crisis. Ignorance is not bliss. Ignorance will kill you if you do not educate yourself on the effects of the crisis and protect yourself and family.
Check out more from Ryoma by visiting his website HERE:
If you like this article please consider joining our Forum HERE to help us grow.
Remember to share this article on Facebook and other Social Media Platforms. To submit your own articles or to advertise with us please send us an EMAIL at: [email protected]. Subscribe to our mailing list to get new articles sent to you automatically.