Economic Collapse may be as soon as March 2010

Unfortunately, I believe we are looking at from as soon as March 2010 through August 2010.

As posted on my Blog, it may go something like this...It’s a Friday. You go to work in a normal fashion. At lunchtime, you swipe your credit card at the restaurant and the transaction is rejected. The cashier says that all the credit and debit card transactions are being rejected, and there must be something wrong with the satellite feed.

Luckily, you have cash, and you pay your bill. By the time you are leaving, the manager announces to the whole restaurant that they are not accepting any more new customers until their credit card system comes back online. All customers will have to pay cash. You go back to work. When you get there, you punch up CNN on your computer and find that the problem is not just that restaurant’s uplink. News reports state that the worldwide bond market crashed during the morning, sending the rest of the financial markets into a freefall.

The New York Stock Exchange called a halt to trading and closed at 11:30 am. Credit transactions all over the US are not working. Businesses are closing early, or only accepting cash transactions. You and your co-workers leave work early to go to your banks to make a withdrawal of cash to tide you over the weekend. But hundreds of thousands of other people have run to their banks to get cash, too.

And because the banks are only required by law to keep about 15% of their assets on hand in cash, they quickly run out of money. Many banks have closed their doors for the day. When you arrive at your branch bank, it’s already closed. The sign on the door says the branch will be open again Monday morning. The ATMs do not function…anywhere. You look in your wallet and there is six dollars there. Payday was today and now you cannot cash your paycheck.

You were going to fill your tank on the way home, but now you can’t. You wonder how you’ll get to work Monday with no gas. On your way home you drive past gas station after gas station. Many have already closed. Many have erected hastily-scrawled signs that say “CASH ONLY, NO CHECKS.” The lines of cars are blocks long. When you get home, your spouse has had much the same experience.

She went to the market on the way home from her job and the market manager had also posted “CASH ONLY” signs on the front door. People were buying up everything they could afford.

The milk and bread shelves were already bare. Thankfully, your wife’s car has a full tank of gas.

You look in the pantry. A quick look tells you that the family will be able to get through the weekend just fine, although the meals might be a little weird. But by Tuesday, you’ll be running out of essentials. Throughout the weekend, regularly scheduled news shows become 24/7 special reports about the banking and credit interruptions nationwide.

Videotape from all over America shows the closed banks, shops and gas stations. 18-wheelers are parked and shut down all over the roads and in truck stops since the truckers can’t fill their fuel tanks using credit. And, some of their loads of refrigerated or frozen goods will spoil if the reefer unit runs out of fuel. The Saturday news shows report that the Federal Reserve has been taken over by the World Bank.

The President has signed an Executive Order authorizing the takeover. But since taking over the failed Federal Reserve, they have now replaced all dollar-denominated money with the Euro. They also devalued the dollar’s convertibility by a factor of 2.

That means when you convert your dollars to Euros, you will only receive less than half of the face value of your dollars. Before the collapse, it cost $1.50 to buy one Euro. Now it costs $3.00. So, your $100 bill will only convert to about 33.50 Euros.

The President proclaims a limited window of 30 days in which citizens will be allowed to convert all dollar currency into Euros. Than after that, the Federal Reserve notes will be entirely worthless. The President states that this is the only solution to prevent chaos.

Read the rest at http://www.newamerica-now.blogspot.com

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