Another Great Depression Coming to America

If you need any motivation for prepping then read this article by Michael Synder, "20 Signs That The Next Great Economic Depression Has Already Started In Europe", published on the International Forecaster, which is really an arguement stating that economic depression is already begining in Europe, and in this world economy whatever happens in Europe also will happen in America, especially since America now looks and acts like Europe.

By Michael Snyder

The next Great Depression is already happening - it just hasn't reached the United States yet. Things in Europe just continue to get worse and worse, and yet most people in the United States still don't get it. All the time I have people ask me when the "economic collapse" is going to happen. Well, for ages I have been warning that the next major wave of the ongoing economic collapse would begin in Europe, and that is exactly what is happening. In fact, both Greece and Spain already have levels of unemployment that are greater than anything the U.S. experienced during the Great Depression of the 1930s. Pay close attention to what is happening over there, because it is coming here too. You see, the truth is that Europe is a lot like the United States. We are both drowning in unprecedented levels of debt, and we both have overleveraged banking systems that resemble a house of cards. The reason why the U.S. does not look like Europe yet is because we have thrown all caution to the wind.

The Federal Reserve is printing money as if there is no tomorrow and the U.S. government is savagely destroying the future that our children and our grandchildren were supposed to have by stealing more than 100 million dollars from them every single hour of every single day. We have gone "all in" on kicking the can down the road even though it means destroying the future of America. But the alternative scares the living daylights out of our politicians. When nations such as Greece, Spain, Portugal and Italy tried to slow down the rate at which their debts were rising, the results were absolutely devastating. A full-blown economic depression is raging across southern Europe and it is rapidly spreading into northern Europe. Eventually it will spread to the rest of the globe as well. The following are 20 signs that the next Great Depression has already started in Europe...

#1 The unemployment rate in France has surged to 10.6 percent, and the number of jobless claims in that country recently set a new all-time record.

#2 Unemployment in the eurozone as a whole is sitting at an all-time record of 12 percent.

#3 Two years ago, Portugal's unemployment rate was about 12 percent. Today, it is about 17

#4 The unemployment rate in Spain has set a new all-time record of 27 percent. Even during the Great Depression of the 1930s the United States never had unemployment that high.

#5 The unemployment rate among those under the age of 25 in Spain is an astounding 57.2 percent.

#6 The unemployment rate in Greece has set a new all-time record of 27.2 percent. Even during the Great Depression of the 1930s the United States never had unemployment that high.

#7 The unemployment rate among those under the age of 25 in Greece is a whopping 59.3 percent.

#8 French car sales in March were 16 percent lower than they were one year earlier.

#9 German car sales in March were 17 percent lower than they were one year earlier.

#10 In the Netherlands, consumer debt is now up to about 250 percent of available income.

#11 Industrial production in Italy has fallen by an astounding 25 percent over the past five ears.

#12 The number of Spanish firms filing for bankruptcy is 45 percent higher than it was a year ago.

#13 Since 2007, the value of non-performing loans in Europe has increased by 150 percent.

#14 Bank withdrawals in Cyprus during the month of March were double what they were in February even though the banks were closed for half the month.

#15 Due to an absolutely crippling housing crash, there are approximately 3 million vacant homes in Spain today.

#16 Things have gotten so bad in Spain that entire apartment buildings are being overwhelmed by squatters......A 285-unit apartment complex in Parla, less than half an hour’s drive from Madrid, should be an ideal target for investors seeking cheap property in Spain. Unfortunately, two thirds of the building generates zero revenue because it’s overrun by squatters. “This is happening all over the country,” said Jose Maria Fraile, the town’s mayor, who estimates only 100 apartments in the block built for the council have rental contracts, and not all of those tenants are paying either. “People lost their jobs, they can’t pay mortgages or rent so they lost their homes and this has produced a tide of squatters.”

#17 As I wrote about the other day, child hunger has become so rampant in Greece that teachers are reporting that hungry children are begging their classmates for food.

#18 The debt to GDP ratio in Italy is now up to 136 percent.

#19 25 percent of all banking assets in the UK are in banks that are leveraged at least 40 to 1.

#20 German banking giant Deutsche Bank has more than 55 trillion euros (which is more than 72 trillion dollars) of exposure to derivatives. But the GDP of Germany for an entire year is only about 2.7 trillion euros.

Yes, U.S. stocks have been doing great so far this year, but the truth is that the stock market has become completely and totally divorced from economic reality. When it does catch up with the economic fundamentals, it will probably happen very rapidly like we saw back in 2008.

Our politicians can try to kick the can down the road for as long as they can, but at some point the consequences of our foolish decisions will hunt us down and overtake us. The following is what Peter Schiff had to say about this coming crisis the other day.....

"The crisis is imminent," Schiff said. "I don't think Obama is going to finish his second term without the bottom dropping out. And stock market investors are oblivious to the problems." "We're broke, Schiff added. "We owe trillions. Look at our budget deficit; look at the debt to GDP ratio, the unfunded liabilities. If we were in the Eurozone, they would kick us out."

Schiff points out that the market gains experienced recently, with the Dow first topping 14,000 on its way to setting record highs, are giving investors a false sense of security. "It's not that the stock market is gaining value... it's that our money is losing value. And so if you have a debased currency... a devalued currency, the price of everything goes up. Stocks are no exception," he said.

"The Fed knows that the U.S. economy is not recovering," he noted. "It simply is being kept from collapse by artificially low interest rates and quantitative easing. As that support goes, the economy will implode."

So please don't think that we are any different from Europe. If the United States government started only spending the money that it brings in, we would descend into an economic depression tomorrow. The only way that we can continue to live out the economic fantasy that we see all around us is by financially abusing our children and our grandchildren.

The U.S. economy has become a miserable junkie that is completely and totally addicted to reckless money printing and gigantic mountains of debt. If we stop printing money and going into unprecedented amounts of debt we are finished. If we continue printing money and going into unprecedented amounts of debt we are finished. Either way, this is all going to end very, very badly.

Bugging Out? To Where?

Received comment/question on Bugging In/Buggin Out,……”UrbanMan.....I read your blog and several others, and bugging out is all good and well but what if you have no place to bug to??? Is there any history of someone bugging out to some rural location without knowing anyone or having any property there?? How likely will you be accepted in the area? I'm in SoCal (Southern California) and there really aren't too many places to bug to, with water being the biggest issue! Any suggestions?”

UrbanMan’s reply: As far as history of someone bugging out to a rural location, going blind into an area they do not know anyone nor own property,….I have no idea. I would assume there are several cases of people getting stranded and surviving for a short term until recovered. Or the example of criminals hiding out in rural or remote America . But the whole basis for surviving a collapse, and I mean a bonafide collapse where infrastructure including the food supply, monetary system and security mechanisms are highly degraded or totally gone, is planning......again the foundation for your survival is planning. 

Planning begets Preparation. More succintly, Planning identifies the Preparation you need and will help identify essential preps, implied preps and secondary preps. Preparation without planning will most likely be a hit and miss affair.

Planning starts with information. Much like the military developing the battlefield through use of all means of intelligence, the survivalist planner should as well,....
In your case, not having a location to Bug Out to, surely you could approach this problem by identify possible locations based on basic needs:

* A location that it is feasible for you to get to by vehicle and by foot if vehicle transit is no longer an options,.e.g..lack of fuel, threat picture, mechanical problems, etc.

* A location probably devoid of large population centers and not an attractive target for armed gangs.

* Offers cover and concealment, maybe ideally next to large parks or forests where contingency safety is available and possibly animals for food procurement.

* Full year round, natural water source. Running river and streams. ...and lakes possibly. May also offer the chance to procure fish for supplemental food.

My assumption is that you cannot just pick a remote area, totally devoid of population, unless you have the resources (time, money and capability) to prepare a site like this. Most long term survival is simply going to require access to other people,…their skills and resources,….think larger team effort.

From your location in Southern California,.....Northern Minnesota would not be a good choice. Unless you move there pre-collapse. But certainly there are areas on the CA-NV border, and in western and northern Nevada and Arizona that may work for you and be realistic to get to. The idea is to Bug Out before the situation gets bad enough to expotenially increase your safety and security concerns.



You could do some weekend trips to possible locations to scout them out, just like you would if you were moving there for a job. Maybe make contact with locals, use the cover story that you are thinking about re-locating there….get a feel for the population. You probably wouldn't want to move to, say, a high percentage Mormon area if you worship animal Gods,....nor to a Southern Baptist enclave if you are a Muslim.  

Making contact, and multiple contact on subsequent trips, with the locals would also serve to diminsh your standing as a stranger. During a collapse, small rural communities are going to see refugees to some degree and may not so inclined to accept strangers….especially when the density of strangers starts to change the dynamics of the community.

In fact, there is a movement towards rural living and not just from the survivalist perspective. Many people are re-locating to rural America , either through early retirement and life style downsizing or through having businesses such as inter based business where location does not inhibit it’s operation. A article just came out recently about some of the fastest growing rural areas:


Your visits to potential Bug Out locations serve also a route reconnaissance, developing alternative routes and noting danger spots such as choke points or terain that can be affected by bad weather.

If you find a location that you think you can Bug Out to, the next step is to procure maps such as available from US Forest Service, Bureau of Land Management or many on-line sources. You should rehearse movement and routes to the site, and you may even do preps such as cache emplacement.

I have an acquaintance who lives outside of New York City. He and his wife head into the Adirondack Mountains on vacation to hike and just get away for awhile. They have went out of their way to make and keep contact with many of the locals as their plan is to re-locate (Bug Out) to there as they are becoming less and less strangers and more and more like friends of the locals. The hope to capitalize on this as well as use their Survival skills and resources to secure a place in that community.

Hope this gives you some thoughts. Good luck and prepare well.

Solar Storms,......Again

Jairo sent us a heads up: "Hey Urban man, Just thought you'd find this interesting, an article on Solar Storms. Stay safe, stay prepared!"

UrbanMan replies: Thanks Jairo. We would be remiss if we didn't mention it here on UrbanSurvivalSkills.com especially before this coming weekend as we are supposed to see the strongest solar storm since 2005. Although I don't remember that one hampering us much. Apparently some commercial airlines had to re-route some planned flights that were flying to close to the North Pole where the stronger aspects of the solar storms were projecting.

The solar storm according to the National Oceanic and Atmospheric Administration's Space Weather Prediction Center should not affect much, other than possibly disrupting some communications. The radiation threat could be a concern for those of us who have abnormally higher levels of radiation due to our jobs or past exposure. I think this will be much ado about nothing. This is what mb.com is saying about the coming solar storm:

The sun is bombarding Earth with radiation from the biggest solar storm in more than six years with more to come from the fast-moving eruption.

The solar flare occurred at about 11 p.m. EST Sunday and will hit Earth with three different effects at three different times. The biggest issue is radiation, according to the National Oceanic and Atmospheric Administration’s Space Weather Prediction Center in Colorado.

The radiation is mostly a concern for satellite disruptions and astronauts in space. It can cause communication problems for polar-traveling airplanes, said space weather center physicist Doug Biesecker.

Radiation from Sunday’s flare arrived at Earth an hour later and will likely continue through Wednesday. Levels are considered strong but other storms have been more severe. There are two higher levels of radiation on NOAA’s storm scale – severe and extreme – Biesecker said. Still, this storm is the strongest for radiation since May, 2005.

The radiation – in the form of protons – came flying out of the sun at 93 million miles per hour.

“The whole volume of space between here and Jupiter is just filled with protons and you just don’t get rid of them like that,” Biesecker said. That’s why the effects will stick around for a couple days.

NASA’s flight surgeons and solar experts examined the solar flare’s expected effects and decided that the six astronauts on the International Space Station do not have to do anything to protect themselves from the radiation, spokesman Rob Navias said.

A solar eruption is followed by a one-two-three punch, said Antti Pulkkinen, a physicist at NASA’s Goddard Space Flight Center in Maryland and Catholic University.

First comes electromagnetic radiation, followed by radiation in the form of protons.

Then, finally the coronal mass ejection – that’s the plasma from the sun itself – hits. Usually that travels at about 1 or 2 million miles per hour, but this storm is particularly speedy and is shooting out at 4 million miles per hour, Biesecker said.

It’s the plasma that causes much of the noticeable problems on Earth, such as electrical grid outages. In 1989, a solar storm caused a massive blackout in Quebec. It can also pull the northern lights further south.

But this coronal mass ejection seems likely to be only moderate, with a chance for becoming strong, Biesecker said. The worst of the storm is likely to go north of Earth.

New Father Fears the Future

Received this from Anonymous: "I am 27 years old and recently married. We have a three year old daughter and a 4 month old daughter. I live in a duplex, in I guess you would call it the burbs, because I went to school with the owner and he gives me the best rent price possible. My wife is not working now because of the baby, before she was a temp secretary but had work about 60% of the time. I am a
school engineer (really a fix it all guy), plus I do home repairs for the guy I rent from for extra income. Now I need it the extra money more than ever. One of the men I work with taught me about the Survivor Movement with me some magazines to look at and talking about the economy. I am not into guns, recently I have been thinking about getting one and I find myself thinking about what happens if the power goes off and doesn't come back on."

UrbanMan replies: I am curious if you are from the Northeast where a power outage went on for quite a while for some folks. Hopefully, the people who were affected by this used the lessons learned to get better prepared for an alike event,.....or something much worse.

You are wise to start considering what can happen, to include providing for security and protection for your family. Just having a gun is not going to solve everything. If the power goes off and does not come back on, that will only be the beginnings of your problems. Lack of food and fuel, disruption of water utilities, reduced emergency services, a fast and substantial rise in angry, hungry people are can occur quickly if the catalyst for the event are severe enough.

There are four generally categories of Survival Preparation: Food; Water; Shelter; and, Security/Protection. Each with many facets of understanding and preparatory actions.

Consider food for instance. You could have months worth of frozen goods in a freezer, but when the power goes off, what are you going to do? Canned and boxed pantry goods will have an expiration date at some point. Dehydrated foods require water to hydrate. Ready to eat meals like Military MRE's are expensive. You final survival preparation solutions for food, will probably be a combination of all these food items.

One of the easiest things to do is to buy dry and canned pantry goods on sale or when you find good deals.  Put away several months of items and rotate them using the first in, first out principal. 

Security and Protection. I believe all law abiding Americans should own multiple guns. One gun cannot accomplish all your protection tasks as well as possible hunting applications. An individual prepping for survival against many different collapse scenarios would be best served by having several firearms (and ammunition) such as a handgun, shotgun and rifle.

There are other factors of security. Where you live; potential threat streams; refugee routes; defensibility of your home. Protection and security are usually best achieved in a teamwork approach. I say, "Survival is a Team Sport".

And of course, you cannot live without water. You will dehydrate and die without water long before you die of starvation. You simply must have a full time water source, best if not dependent upon power solutions to provide you the water. Some people have a water service where they, like stocking pantry items, buy 15 or 20 five gallon jugs as their stock then reduce the periodic delivery to what they use and use their existing stock again using the first in first out principal.   This is not the cheapest way to insure you have some water on hand when the lights go out or SHTF, but having some emergency food and water on hand gives you time to make a decision,....to stay or bug out.

Shelter is important as it provides protection from the elements and two legged threats. No matter how defensible or strong your survival location is, a Bug Out plan so you can rapidly vacate and move to another safe location are paramount. The Bug Out just doesn't consider where you are going, but how you are going to get there; but what you will take with you.

You can learn much and need to learn much in as quickest time period as you can. This site, as well as many other on-line sites reflect alot of planning tips, lessons learned, techniques, equipment ideas and much, much more. Make use of all these resources. Many of which we are linked to on the bottom right side of this page. Quickly develop a plan. Objectively review that plan continually. And prepare for some unfortunate things to happen to this country be it from an economic/dollar collapse or externally generated chaos. Educate yourself, prep well and good luck.

Selco's SHTF School

I tell people that as Americans we have very few examples of SHTF scenarios from which to draw lessons learned and conclusions from. Basically the Civil War, which happened 150 years ago, and the Great Depression of the 1930’s are our national history and sources for hard times. We also utilize novels based on potential causes of and the aftermath of some type of collapse event,….be it EMP or economic collapse. Most Survivalists have read “Patriots”, “One Second After”, “Lights Out” and possibly the new Rawles’ novel “Survivors”.

However, what I didn’t realize until I read Selco’s posts on Survivalistboards was that this country is full of transplanted Americans or otherwise people who have escaped terrible situations in other countries and have immigrated to the U.S.  They have a wealth of knowledge to share with us. 

I welcome Selco’s website, http://shtfschool.com as an excellent resource for first hand experience and lessons learned from his survival of the Bosnian conflict. Great website Selco!

SHTF - The Bosnian Example

The below linked article is from www.Surivalistboards. I found it through a link on Chris Martenson's Daily Digest of 10/21.

I have often wrote that Survival is a Team Sport, as the tasks and necessities of survival in a collapse situation, or when SHTF if you prefer, is going to require many people. Obviously a smaller, tight knit team is better than a larger, un-disciplined group of individuals. The idea of surviving on your own, or even in a small family unit is fantasy unless you are so remote and so well stocked as to be able to pull it off. Even then, eventually the chances of running into trouble be it from an armed threat, .....or from disease, illness or injury that would require help are great.

In the reference post from www.survivalistboards, the author (Selco) talks about his experiences from Bosnia from 1992-1995. I found this quote of his quite telling: ".......and from my experience, you can not survive alone, strength is in the numbers, be close with your family, prepare with them, choose your friends wisely and prepare with them too."

Again, here is the link to the article.

Gold and Silver - Perceptions Changing

UrbanSurvivalSkills received this comment from Anonymous…… ”I remained unconvinced that buying Gold or Silver is a smart move. Historically the prices have fluctuated, caused by the filthy rich people buying and selling large amounts to make enormous profits. Anyway, the ratio of Gold to Silver is constantly changes so people can lose their ass buying silver when it will be devalued against gold. If there is a really bad SHTF situation then all commerce will be conducted by either hyper-inflated dollars or through simple barter or trade goods. I also think there are people who are not thinking clearly about what can happen and scaring them into buying Gold and Silver is doing them a disservice.”

UrbanMan’s reply: Everyone has to make up their own mind on the value of owning precious metals, Gold and Silver, or even silver coins for their silver melt value. I know people in my income group who have spent 4x or 5x the amount I have spent on Gold and Silver. Obviously they value precious metals more; think that during a collapse or SHTF situation that it will be extremely valuable to own; or they are thinking about coming out of a collapse and beginning over with a lot of wealth.

I approach buying precious metals, overwhelmingly Silver, as a hedge against the projected worthlessness of paper money during a collapse and as a way to buy necessary items when barter or trade is not feasible. While I prefer Silver not to lose it’s value as I eventually want the world to return to normal and to pass off my Silver bullion and Silver coins to my family, it does not matter too much to me if silver drops to $10 an ounce. Once an economic collapse occurs, the value will certainly rise significantly. I simply own it to be provide a possibility of commerce after SHTF. I would much rather trade in Silver than in food or ammunition.

If you don’t want to procure precious metals, primarily Silver, as a contingency during hard times then that is your business. I just think the suggestion of making this decision after considering all the facts including historically use and value or precious metals; type of collapse and after affects we may see; and your current state of preparation.

Here are some facts from http://dollarcollapse

The US Mint sells about the same dollar amount of gold and silver coins, which means it sells 50 ounces of silver for every ounce of gold. UrbanMan’s notes: Today’s current prices were (approx): Gold/ounce $ 1,715.00 Silver/ounce $ 33.00 This is a near 52 to 1 ratio.

Ten times more silver than gold is produced each year, and the ratio in the earth’s crust is 15:1, so how can the price be 50:1? Expect a return to the historical norm of 15:1, which implies that silver will outperform gold.

The paper silver markets trade a billion ounces a day and the world only produces 900 million in a year. The amount available for settlement of these futures contracts is something like 1.5 million ounces, ludicrously little compared to the amount of paper. On the physical side most dealers are only seeing buyers not sellers. There are a lot more people who can afford a one-ounce silver coin than an ounce of gold.

UrbanMan’s notes: Consider this as well -

Today’s (Oct 2011) fuel prices were $3.55 a gallon and Silver is $ 33.00 an ounce. So one ounce of Silver would allow you to buy 9.3 gallons of fuel.

One year ago (Oct 2010) fuel prices were $2.90 a gallon and Silver was $ 23.00 an ounce. This would allow you to buy 7.9 gallons of fuel.

Two years ago (Oct 2009) fuel prices were $2.80 a gallon and Silver was $ 17.25 an ounce. This would allow you to buy 6.2 gallons of fuel.

One more thing: Roger Wiegand of www.TraderTracks.com posted the following alert: "Chances of a major problem in Europe have escalated. Chances of huge precious metals moves in this last quarter of 2011 are very good. I am not talking of $60 in one day but perhaps a huge run from this morning’s gold futures at $1707 all the way to +$2,000. There is no where to go with money if bad things happen in Europe except physical PM and quality related shares. I would not touch any kind of bonds and the only stocks of merit are those juniors holding 2-3 three years of corporate cash with good prospects.

Also the intermediate and larger gold companies should be protected and do well. THIS WEEKEND IN THE USA IS CRITICAL. If SOMETHING GLOBAL BAD HAPPENS. It would probably hit after the markets are closed this Friday. Again, I caution everyone to hold a minimum of one month’s cash, fuel and other provisions. This is not a game. This is very serious and in all likelihood nothing happens. But not make a mistake disregarding this apparent danger."

I hope you are not alleging that I am either scaring people into buying Silver. I have nothing to gain from this. I am simply rendering my opinion. What is right for my Survival Plan is to procure Silver both in bullion and in coins for Silver Melt value. Even then the ratio of my silver procurements is much lower than most of the other Survival Preppers I personally know. I am just trying to cover all the bases. But by and large most of my resources are going into food and other material as well as alternate energy. I have bought several solar power kits when they are on sale – and these are for barter. I have bigger units and small man portable solar power solutions for my groups own use.

Reader Comment of Societal Breakdown following a Collapse

This summary is not available. Please click here to view the post.

Survival Chronicles of Jim - Chapter 25 Don't Lose Focus

This is Jim here. Long time since I sent Urban Man sometime to post. These last few months had me a funk. I had spent a lot of money and effort getting prepared, and not like I was hoping an event would happen, but I started to lose focus on why I was preparing until it became apparent, again, that the Government may just be driving this country into a financial Armageddon. Then I realized that basically what I am doing is giving myself some insurance.

A chance of survival in a post SHTF world. All my food preparations, firearms procurements, equipment acquisitions, silver bullion buys and even my recon and cache prep of the family cabin were the foundation of why I lost focus because I was actually moderately prepared for many terrible events, again which I hope not to experience, but there was some part of me that wanted it to happen. I had a phone conversation with Urbanman and he said I was an “asshole” for wanting the collapse to occur.

With the stock market on a roller coaster; Gold at $1,877 an ounce (this morning as I write this) representing a 21% increase PER YEAR since 2002; seemingly spontaneous riots in some of the major cities that are associated in some cases with racial tensions, but are really linked to the failing economy. Just too many reasons to be concerned.

From UrbanMan: Jim sent this to me last week. Today's Gold price was at $1,859.

One of my friends, a civil service computer guy with the Army, told me that the Government is downsizing Defense civil service jobs. We wondered what these displaced workers and the tens of thousands of service members separated from the military during the end of the war(s) obligatory downsizing will do to the economic outlook and especially the unemployment rate.

I hope most of you are NOT doing the same thing - starting to lose focus. Arguing with the wife about the $130 you spent this month to buy three silver bullion rounds or the bucket of Wise prepared meals; or, looking at your monetary expenditures on canned or dehydrated food and start to think it's a waste. Because it's not. And if you get to the point where you think you need to slow down on your preps you face the real time danger of quitting altogether, albeit much better off than you are now, but not totally prepared as you can be.

I am now looking for a second vehicle. Something like an 1970’s era Jeep or Pickup so I can buy some spare parts, tires and wheels for it and store it at my family cabin. I’ll be looking soon to emplace (cache) some of the prepared food buckets I bought through Costco.

I just planted some “winter” squash in my backyard. It is AMAZING how fast squash grow when you give it adequate water. I have been harvesting the cucumbers and other squash I planted in late April and being pretty creative in making dinners out of it. My son, visiting from College, even likes it.

I took some of my produce to the house on the corner where a old couple live. Now I’m friends with them and found out the lady has been canning for years and the Husband is an old Korean War Veteran, who owns an M1 Garand. In a week or two I will take him some a couple boxes of .30-06 ammunition. Urbanman also gave me a couple clips to give him. Since I am stuck in this neighborhood until I Bug Out, I thought I would work to build a team, first by building rapport. Urbanman calls it "the heart and minds things".

So after a couple of months of losing focus, I am back at more prepared than ever. I just now know that, in fact, there isn't anything such as being "fully prepared", it really is a continuous process. Don't be like me - I lost two months getting ready.