This Is What “ALWAYS” Happens Before a Depression Starts 

Thank you for keeping us informed on so many levels. I feel like the more I learn about the low-income people of our country, the more my anger grows. Thanks Arleth. Imagine investing $1000 and receiving $5,450 in 3 days.🇺🇸

It feels the Govt are going to lose control this time. we are going to dirt level. On the brighter side I have to seek ways to stay on top of things, I wish to diversify my assets by investing in ETFs/index funds/mutual funds and stocks of corporations with stable cash flows. I received 350k from the selling of my El-Paso property. What should I do?

From the cities I have seen on RU-vid, the US has been in a depression since 2019.

We’ve been in a depression since 2008 it’s just been masked by low / zero interest rates QE and massive government spending Take that away and the private sector has been flat (which is shrinking when matched to increasing populations etc)

Market highs can sometimes be followed by corrections, but predicting the timing and extent of it is challenging. I've heard some analysts talk about a 'massive' correction. It makes me wonder if it's time to adjust my $2M portfolios or maybe even consider some defensive investments.

Don't fret, the debt ceiling always goes up. I wonder if 2008 crisis survivors had it easier. this could lead to economic downturns. We need to be prepared for potential market volatility. how can I secure my 250k portfolio against declining?

I'm at 2 minutes and 15 sec, but I will keep listening to see if you have an explanation. You have challenged my belief system already by saying that the FED didn't do enough to fix the problems. In my opinion the FED helped cause the problem. I'll let you know if I bail.

Not enough government/FED intervention makes an economic downturn worse?? Bro, you are wrong on so many levels. Government intervention causes more economic turmoil and human suffering than anything else. Don't take economic advice from Canadian mortgage brokers.

the reason why 2008 in USA didnt become a depression, is that Canada bailed the US out! True fact. I know personally one of the bankers on the team who was working on that.

We are soooo ready for it now as we are tired of the waiting game. If you don't have protection, food, water and a bug-out plan by now it means that you are a very hopeful person. You aren't a thinker or discerner....but you are hopeful!

Deflation is the decrease of currency units/money NOT decrease in prices.

Deflation is when consumer and asset prices decrease over time, and purchasing power increases. Essentially, you can buy more goods or services tomorrow with the same amount of money you have today. This is the ***inverse relationship*** to inflation, which is the gradual increase in prices across the economy. ... please Google the definitions yourself before replying.

A very interesting talk but I think that you're wrong on a number of items. For those paying attention they neither have faith in the government nor faith in the banks. You haven't mentioned that what we're seeing is the end of a major cycle that started with the creation of the FED in 1913 that created the debt-based system we're stuck with now. We're also seeing the convergence of a number of major cycles that didn't happen in the last great depression. I agree that this coming depression won't be as bad as the last one. It'll be worse. Purchasing power of the FED note is virtually zero. The FED note isn't worth the paper it's printed on. The FED is stuck between a rock and a very hard place. They've painted themselves into a corner and have no choice but to let this whole corrupt system implode and then try to build a new one from the ashes of the old. They want to try and force a digital currency on us when this current system collapses. Whether it's a CBDC or some other form of government digital currency. The government is lying about inflation and it's much higher than what they say it is. They can't raise interest rates and they can't lower them. They're stuck. And the government keeps sending billions overseas on lost causes. We have at least 3 wars going on right now. Haven't heard much about Yemen on MSM. Last I heard there was still a war ongoing there in addition to the ones in Ukraine and the middle east. The US has over 800 military bases spread out all over the world. And the cost to maintain it's present military is astronomical. All this costs money and it's unsustainable in the long run. Every empire collapses just as the Roman empire collapsed and what we're witnessing right in front of our eyes is the collapse of the American empire and the collapse of the American dollar. The dollar is done right now and when more countries join BRICS and stop using the American dollar as the reserve currency of the world that will only help to hasten the collapse of the American dream. And to add fuel to the fire if you look at the US debt clock you'll see that the M2 money supply YOY is negative almost 60 billion. The best thing people can do to prepare for a dismal future is to take as much money out of their bank accounts as possible and only leave enough in there to cover a month's worth of bills plus 10%. If possible pay down your high interest debt as quickly as possible. And most importantly beans, bullets and bandaids. Stack to the ceiling.

FDIC has less than $200B to cover TRILLIONS in insured assets, but we aren’t just covering insured assets, are we?

Clearing your mortgage is one thing, but what happens if inflation keeps rising? Your property taxes keep rising with the value of your home. Lots of folks lost their homes to tax sales in the Great Depression

We're definitely there, a lot of those wealthy investors of our decade are about to end up having to actually participate in their local economies.

There's actually 2 kinds of inflation. Good inflation is when wages increase and products stay the same price because of improved productivity. Bad inflation is when prices increase but wages stay the same due to lower productivity. We have bad inflation.

Great information! Thank you!

This was one of the most clear and concise financial videos I've seen on RU-vid.

For the most part everyone around here is looking poor already. I'm seeing more and more cars around with expired inspections, and neglected repairs. And a lot of them fairly late model. I've also seen a couple of huge construction projects here just stall. And I'm talking 10s of millions of sq ft industrial projects just stop dead after years of site work

Thr problem seems to be that all the fiscal and monetary stimulus since the 2008 crash has only masked another "great depression." It's not clear that we've made the economic situation more secure over the long term by incurring so much debt to avoid the harsh consequences in the present. Unless we can somehow lower our debt then the outlook doesn't look pretty.

The FED only has enough money in the bank bailout fund to replace 1.7 % of the money in the banks

During the pandemic, I invested in art and collectibles. My unrealized gains are doing well. I totally sign off on diversity of asset classes.

Excellent job! Great advice. Subscribed ✅

Great advice sir!

Such a logical and well planned presentation. So easy to understand.

Always good to hear additional points of view. Thanks for taking the time to share.

Well done! keep on doin' what you're doin'!

@16:00, it just seems like that to us. However, when depositors really request funds from FDIC due to banks' failure, the results can be not like what people knew/what people were told. Not good. And, more worse, what if Feedddd's evil inside. @-@ Also, since @20:30, Great Comments!! People not regularly calculate how much they make, how much they spend, then, compare the income & outcome, and go from there.

ONE - well - Inverted yield curve, Buffet indicator, Schiller index, deflation in real prices, many Americans maxed out on credit cards, credit cards- and auto loan defaults increasing/accelerating, so not ONE, but many factors?

In Nigeria there is more than 45% unemployment rate

Great video. Another odd ball thing that happens before the collapse of an empire are "celebrity chefs." I have seen crazy things in my life, but this one makes sense to me along with a bunch of other stats the go along with a world power in decline.

I will save some of you some time. He basically believes if the FED stepped in with QE it could have prevented the great depression. Completely missing the fact that government intervention made the depression into the great depression. He forgot to mention that there was a quick depression in the early 20's when the government didn't intervene and the free market worked things out by itself.

There will be no soft landings...The question is how hard the landing.

Why did people borrow to invest? Why did the average Joe sink all his wealth into risk? Look at the interest rate chart for the 1920's. I'm bailing on your video because I think you are missing too much. If I am wrong or misinformed, I apologize.

Rothbard’s book is essential.

Enlightening video! You would make an excellent economics teacher Nolan. 👍

Aaah the roaring 20’s asleep at the wheel

Another thoughtful, coherent, insightful video. Thank you Nolan! (May I invite you to share the identity of your math teacher friend? I will helping my 10-year-old with math for years to come, and I'm always interested in new approaches to teaching)

HAHA no this is what it looks like before a World War Starts

There were stocks that did well during the great depression ……. not everything crashed

When you find out the Federal Reserve is not actually Federal nor does it have any Reserves, then you understand that they don't make mistakes.

I designed a check register that operates in reverse. In stead of telling me what has happened to my cash flow. It tells me what's going to happen. I can predict my cash position to the penny as far into the future as I wish. Years. It allows me to operate like a credit card in that I can draw on future income with it. Only no exorbitant interest. I literally can not run out of money. This is wealth. Thomas Jefferson wrote. 'The price of freedom is self discipline.'

Well it really sucks then that there's already over 7,000 banks that are filled and bankrupt and will be taking out over the next couple months and we will be going into a Great Depression yet again

Nice -- thanks! Broker loans were only 7% of GDP in 1928 (from 2% in 1923), so it's unlikely that it precipitated the Great Depression. During the 1920s, annual housing and commercial real estate (CRE) almost tripled. This was principally financed by debt. Reckless real estate lending (esp. CRE loans) likely precipitated the Great Depression. Cf. Richard Vague (2019). A Brief History of Doom. Philadelphia: University of Pennsylvania Press.

'33 depression...designed to force Germany to pay out her debts.. causing further starvation and hate.. geo - politics...

FDIC insurance can take 30 years to pay you back...

Goods Times Straight Ahead!!

My paternal grandfather lost his beloved fox hunting estate to foreclosure in 1934. It's now owned by a nonprofit and they banned dogs 😡

Very interesting. A central issue is the extension of debt to those who either can't pay it back or whose circumstances then change to make them unable. The Depression in Europe and the rise of Hitler resulted from the extension of (unrepayable) loans by U.S. plutocrats who refused to cancel them. The 20s saw an explosion of consumer debt AND margin debt for speculation, much secured by farms or homes, with zero ability to check for creditworthiness. Not only were none cancelled but as you say deflation made them even more un-repayable and small banks went bust, stopping viable lending. The debts were only wiped out by repossession of farms and homes in vast numbers, death and the inflation of WWII... having brought years of misery. Fast forward to 2007 - again lousy un-repayable loans made in huge numbers. So we have an economy dependent on extending un-repayable loans with ZERO provision for their cancellation. We either hyperinflate or depress the economy for years as in the 30s and kill the remaing debtors in wars - or we bail out the lenders and thereby create even more debt bubbles. And bailing out the lenders is NOT a solution -it relieves them of any risk and encourages even more lousy loans. Nowhere in economics do we see a discussion of the responsibility of the lender and the need for writeoffs - basically because it makes the banks a fortune. As for the coming Depression - run for the hills! .

Deflation means your dollar is worth more.

If you want to know how to survive a depression, turn your supplied energy off to your entire neighbor hoods lifestyle for 6 weeks. You probably won't make it past 2 weeks. New Orleans was a perfect example in recent times. Local not national.

Biggest thing that led us into a depression in 1929: Easy margin of stocks. An investor could control 100 shares of a stock only paying for 10 of it's shares - but was still responsible for the entire 100 shares. Investors went under VERY quickly.

Why is the crash always being postponed? Ok I just got laid of from construction in Toronto CA. I'm very surprised right now, is there a loss of demands all of s sudden? I'm thinking so, I'm starting to see a lot of factors for lease, maybe this means the recession is starting right now, why would a construction worker be laid off? 🤔 I think that means no one has anymore money to buy homes, people are spent & saving all gone.

The economy back then was much different than it is today. Our economy was mostly closed and not so globally dependent as it is today. Not to mention the government wasn't in SOOOO much debt. You're missing so much information to consider

FDIC only can - IN REALITY - From articles from reputable sources is about 2% of ALL deposits, so that is a BIG not well known fact. YIKES.

No the Great Depression was caused by debt or if u want to give it another name over leverage or if you want to call it something else mania. Sound familiar? It’s all good until it’s not.

The relationship between bank and depositor is a creditor debtor relationship. There is no money on deposit. That is a deception of misunderstanding to think like that. A bank statement shows what the banks owes to the depositor, really a lender. The banks takes title to the funds deposited by way of general deposit and owes it to the depositor/lender. See Schedule of the CDIC Act for meaning of deposit. Thanx

When deflation begin?

theres stubbornness in every market to where so many people got screwed on prices so the ones that got screwed will be pissed if the market adjusts and somebody buys a ford f150 for half the price as them. they'll burn all the new cars before they sell them at a realistic price

Everyone does good in a ponzi if money keeps moving when it slows way down is when it falls

Graphic (pink) @ 1:40 does not work for those watching on phones: too small.

Global Trade is not a good thing except for the Bankers, it always leads to instability in local markets, offshoring labor, and destroyed skill sets and dependence and wealth bring accumulated by those that do not create it.

Your Mike cord looks like the USA economy lol . Carter Canada

So we should short the S&P 500?

I dig my own "currency"

Ford actually shut down model T production in May of 1927 FOR 18 MONTHS in order to switch to Model A production. This was actually a big negative factor for industrial production leading up tp the 1929 Market Crash since Ford was making about 50% of cars produced up to that time. Unemployment in Michigan got to 34% by 1930 much higher than the 26% national average at the time.

We need massive deflation which will increase purchasing power and encourage savings. Fear mongering about deflation being some boogyman isn’t reality when inflation is the problem of our day, not deflation.

This time around there’s a lot more people who have guns. Welcome to the thunder dome

Prego mescuzi el depresso

The FED wasn't asleep they did exactly what they were suppose to

Yes, just print more money is the answer. that's why us debt is now about 35 trillion, and us won't even be able to keep up the interest payments alone let alone other costs ! The fed just displaces the problem, not solving the problem. keep kicking that can....

People seem to be doing fine whole coutry hasnt cone to a halt yet. Everybody is still spending money like no tommorrow

Things are really really good right now?

Lot of factors not considered. You can have a house free and clear and the government could raise property taxes. In 1929 US was still on gold standard and federal debt was 16% of GDP, today the US dollar is a fiat currency that the fed can print at will and the US debt is over 120% of GDP. We did not have nuclear weapons in 1929. In 1929 we did not have computers making hundreds of thousands of trades per second. The government at all levels now has over 20 million employees - couldn't find the stats for 1929, but today government is at least an order of magnitude larger. While there was leverage in 1929, it is unlikely that there was anything close to the amount of derivatives in today's market. Despite all that, there is a lot of resemblance IN HUMAN BEHAVIOR between today and 1929. People (or should say "traders") are buying stocks LIKE CRAZY. It is like a piranha feeding frenzy. When it flips the fed may TRY to stop the crash, but they won't be able to.

Inflation benefits the borrower

Stagflation now Economy in the tank and inflation roaring!

RECYCLE

America is not going to see a depressing America is going to be just fine.

Why should the tax payer bail out the banks and other big business?

According to the Benner Cycle 2023 was the bottom and 2026 will be the top. I think a big driver for this is the switch from a carbon to an electric based economy like the switch from horse feed to oil did in the roaring twenties. The biggest disruption I see coming is the elimination of the labor part of the economy by robotics and AI. I think will occur in the mid 2030s. Due to the addition of this "free" labor I see the value of everything crashing in a Great Depression like manner by the end of that decade.

But stock market keeps going up.🤔

The , Catastrophic Depression that is INCHING along now will be unparalleled by anything the Economy has seen. The USA HAS MADE HORRID DECISIONS THAT WILL CAUSE GREAT NEED THAT WILL WORSEN WITH TIME . TRY TO PREPARE AS BEST YOU CAN. GET RID OF DEBT. TRY TO STOCKPILE FOOD AND GOODS THAT WILL HELP YOU SURVIVE. PRAY FOR GOOD . 🙏

Im retiring in 6 months with little $, anyone know of any good alleys around?

The great depression happened because of the intervention of the fed... Prior crashes only lasted a few years at most.

The stock market is like gambling at a casino. The house will win long-term. You can make a thousand scenarios and theories, but gambling is gambling.

Gosh Nolan, seems like you haven't heard of Bitcoin. Do some research soon.

Did not find value in this so I won’t subscribe. If anyone else was looking for useful advice: Don’t work harder for the company, you’ll just get taxed higher ( if they even bother to pay you more). Look for side hustles, especially things that are necessities. Firewood. Car and home repairs. Food. Make beer or wine. Keep some money out of banks. Diversify- silver, gold, shelf-stable food, tools to make a living, alternative power sources. Dump subscriptions.

Always? We’ve only had one depression.

fear pr0n

Different Times. Different Conversations.

Ur gonna be ok Nolan...U Still have some gold right?

Then, AI steps in.

Have you every heard of the rainbow dollar?

If you want to be taken seriously, learn the difference between less and fewer

I wish the catastrophes would hit already so we can get over it and move on already.

Years ago if you lost your job you were screwed. Now with the gig ecomomy people can always make money besides cooperate america

Why must my hobby be fantasy novel writing? xD no money there.

Weirdly enough, i remember telling you your assessment on the economy was incorrect. Your reply was me not knowing Canadian economics. Your description of the federal reserve imposes interest rate hikes or cuts is completely wrong. How the Great Depression was caused is completely wrong. Your assessment of why we didnt get a depression in 2008 i incorrect. There is a world currency the world already agrees too other then the US Dollar and its called gold. This is why every nation in the world is buying up loads of it right now. You want government intervention on this economic problem when it was them that caused this economic problem. They called it the roaring 20’s for a reason, that’s because low interest rates, credit, massive government printing, and a complete mismanagement of the federal reserve. Its just like what we saw during 2015-2019.

I wanna bank loan to invest in rare whiskey.