THE DEATH TOLL OF A GLOBAL DEPRESSION
By Jesse Morrell
You have to have foresight and think this through rationally and logically, not hysterically with panic.
Look at the actual data of the virus - the death toll and the mortality rate, and see if that merits a global economic collapse and global depression. It doesn’t.
Think through the logical chain reaction of an economic shutdown.
First everyone stays home so people don’t go to work. Businesses get a month of no revenue and go bankrupt. After just a few days of loss of revenue big companies already had to do mass layoffs.
There won’t be jobs for people to return to if all the industries crash. Our government cannot bail out every industry in the country. Not to mention the loss of revenue counties, states, and the federal government will suffer from this.
50% of the country is employed by small businesses and even large companies are already doing mass layoffs. Norwegian Air laid off 90% of their staff. Businesses, small and large, go bankrupt. People don’t have jobs and can’t pay their mortgages.
Do you know what fractional reserve banking is? It means the money you think is in the bank isn’t there. They loaned it out and pay the withdrawals from the interest payments coming in.
What happens when banks don’t get their interest payments, they cannot pay their depositors and the banks fail.
Last month when the economy was great a bank failed. How many will fail when there is mass unemployment? If the whole nation isn’t working, ALL the banks will fail. That means everyone loses whatever they had in the bank.
That is why it’s called bank-rupt. It’s what happened in the Great Depression after the stock market crash.
That means you can’t feed your family. You can’t buy anything. All your cash is gone. Your bank card won’t work. It’s just whatever change you have in your pocket or cash tucked away.
But wait. The FDIC insured the nations depositors up to $250,000 an account. Yes, but just like the bank does fractional reserve banking, insurance does fractional reserve insurance.
The FDIC doesn’t have enough money to cover all the banks they insure. If everyone makes a claim, insurance companies go bankrupt.
Already, the reserve amount required by the Federal Reserve has dropped from 10% reserves down to 0%, meaning banks are not required right now to have any reserve to cover their depositors.
“the Board reduced reserve requirement ratios to zero percent effective March 26, 2020. This action eliminated reserve requirements for all depository institutions”
When a banks reserves hit only 9% in the past, the FDIC deemed it insolvent and shut it down. Now they can go down to 0%. This means the banks are either already collapsing or they see the collapse around the corner.
When the banks don't have enough money to cover their depositors, the FDIC will turn to the federal reserve to print more money. Can the tax payer bail out every depositor in the country???? Can you say hyperinflation and currency collapse? Look at what happened in Venezuela!
Currencies have collapsed under less severe circumstances than a nationwide economic shutdown!
And an economic collapse is the perfect conditions for a socialist revolution - the government rebuilding the economy. They already have made the masses dependent on the government for their monthly income. If the country collapses, they will look to the government to fix it. They already talked about bailing out big industries in exchange for equity. And government ownership of the economy is communism.
But a global economic collapse is too big to even be bailed out by the tax payer. You think the economy will just bounce back?? It took them ten years to get out of the Great Depression. And they only had 24.9% unemployment! They are already talking 35% unemployment for America right now and it’s just the beginning if it doesn’t end soon.
Think worse than the Great Depression. Think greatest economic catastrophe in our nations history. Even the Great Depression didn’t shut down the economy of the entire nation.
We already saw a run on Wall Street. We saw a run on Walmart. And it’s just a matter of time before we see a run on the banks. That’s the real reason they are closing branches, limiting their hours, and limiting your withdrawal amount.
We already saw what happens to Walmart when people panic. Empty shelves. Hoarding causes scarcity and scarcity causes more hoarding. But that is just the beginning of the shortages. If you shut down 50% of our countries production, there will be massive shortages. Think massive starvation.
If you shut down 50% production, you also are shutting down 50% distribution, which means shortages of 50% consumption.
And the economy is so interconnected that one thing affects another until it’s not a ripple affect but a tsunami.
So the food industry stays open. But what about the plastic factories that service them? Or the cardboard factories? The economy is all interconnected.
Doctors can’t get to the hospital to save lives if their car breaks down, Uber was shut down, dealerships shut down, and mechanics shut down. Say the mechanics stay open but with everyone staying home, they go bankrupt anyways.
More people would die from the coming global economic collapse than the people who would die from the virus itself.
The cure is worse than the disease.
And the CDC wanted to shut down the economy of the entire nation until July August the earliest??? Are you insane? There won’t be a nation at that point.
You think small towns and small businesses can go 4-5 months without revenue. Businesses collapse after weeks of no revenue. 4-5 months and every business is bankrupt and every American unemployed. And that’s just America.
Following our bad example, now UK and India shutdown their economies. We are taking billions of people unemployed for a virus that right now has only claimed 20,000 lives worldwide. The flu alone claims 250,000 lives every single year but we don’t collapse the economy and plunge the world into global depression.
The economy is like a bicycle. Lots of moving parts. You need to keep it moving or it falls down. Go to slow and the ride is over. You can’t just pause the economy of a nation. This is reality. An economy is essential to a nation. An economy is not optional. You can’t just pause or stop an economy.
Fauci is an expert on viruses not the economy. He even said he is not thinking of the economy and that overreacting to this virus is the right thing to do. Wrong.
If you underreact you make the death toll higher than it needs to be. But if you overreact you cause global economic collapse and kill way more people.
You want to properly react to this virus. And since 99.3% of those infected would recover, 99% of those dying have preexisting conditions, and the death rate is very low for people under 50, and that is just the date from the confirmed cases with our limited testing, it means that those most at risk should practice social distancing to avoid exposure and the young and healthy with the least risk should get back to work and keep the economy from collapsing.
You can solve both the hospital crisis and the economic crisis at the same time. You don’t have to sacrifice the 1% for the 99% and you don’t have to sacrifice the 99% for the 1%. Trump is seeing both crisis and making plans accordingly.
By letting certain regions at low risk and certain ages at low risk back to work, President Trump would be saving countless lives by avoiding a global economic collapse and global depression that would result if this went on for months like shortsighted overkill germaphobe Fauci wants.
And when all the data finally comes in, and we confirm all the actual cases that include the majority that only had mild symptoms and nothing life threatening, it will show the mortality rate was actually really low, lower than we see now and lower than we first thought. I calculated it will be .1% given the 20,000 deaths right now, if the actual number of infected was 2,000,000. And .1% is the death rate of the flu.
Imagine that. Causing a global economic collapse and global depression over a virus that in the final analysis has a very low mortality rate, similar to the flu.
The CDC evidently did not think through the economic affects of their plan. They did not calculate the death toll a global depression would cause.
We are in a recession right now and if the government keep the economy down, that’s a depression. But we can shift gears and avoid the catastrophe by President Trump changing course.
To comfort and convince the public to go back to work, the CDC and White House needs to emphasis the actual known mortality rate, instead of the death toll. You can’t stop all deaths but the mortality rate will show that while this virus is highly contagious it is not highly deadly. Very few of those infected actually die. Collapsing the economy at this point makes no logical sense. It’s a bad plan and I’m glad Trump broke from Fauci on his stupid shortsighted 4-5 month shutdown. This isn’t a Hollywood movie. It’s real life with real consequences.
They should have a business death toll and job death toll on the news like they do for the virus.
Listening to Fauci and shutting down the economy will go down in history as President Donald Trumps biggest mistake.
Again, The Federal Reserve estimated unemployment to hit 30%. The Secretary of the Treasury said unemployment will rise to 35%.
Do you know the unemployment during the Great Depression? 24.9%
But hey, that means that 75.1% had jobs, so the Great Depression wasn’t that bad, right? The economy is just money after all, right?
So with a population of 331 million people in America, what’s the number of unemployed at 35%? Do the math. It’s 116 million people unemployed. This is astronomical.
You know it took them ten years to finally come out of the Great Depression?
And do you know what caused the Great Depression? A stock market crash and then a banking collapse.
Businesses cannot handle months without revenue. They cannot even go weeks without revenue without bankruptcy. This shutdown needs to end in days. Days. Or else the economic problems will be too big for government to fix.
But we can just pretend that people don’t need jobs, businesses don’t need customers, and banks don’t need interest payments, if that makes you feel better.
Hey you wanna go play some video games? Let’s see what’s new on Netflix.
Wake up America!
