Are You Prepared for the Meltdown? Door #1 or Door #2

Morning Folks!!


We are at a dire point economically and the worst part is the fallout from
all the closing and layoffs have yet to be felt. If 1/2 million people get laid
off THIS WEEK it takes months before that really impacts the system. Some will
impact immediately. The vacation, the eating out, the gifts, and then the
important stuff follows later. You can't put a happy face on this. We are in the
midst of a total economic and banking meltdown that will melt everything in it's path like lava flowing as a river after the volcano explodes. I watch this day
by day and the events that are happening are so big and happening so furiously
fast that the news can't even keep up with it. Each passing day things are
exponentially worse. With taxes right around the corner, the pain is about to be
compounded.

So we are left with a couple of doors. If you think things will turn around
by summer, then door #1 is for you. If you think things will be fixed by summer but
you are not sure which YEAR that summer will occur in then door #2 is for you. I
am a door #2 guy because I have yet to see anything to give me CONFIDENCE.

I remember in 2000 and using the word 'Collapse' to describe what was to
come. Most thought that was much too strong a word. It wasn't as we look back.
Today we face something much more serious and 'Meltdown' is the new word and I
could only hope to have been content with collapse. 2008 was a collapse and
2009-2010 is going to be the meltdown. I believe day to day life as we know it
is in jeopardy and that is something I have NEVER seen before. Never felt
before. Never had an indication of before.

Privately I started to write about this last summer. I am sure at that time
even my closest confidants thought I exaggerated things. Looking back they know
I got it right. I said early on that Main St. and Malls and every town in
America was going to look different. Well, it is only a few months later and
here we are.

Today for the first time I am using the word meltdown to describe what I
see coming. But this meltdown could become political as well as economic as we
have seen in peaceful Iceland. This meltdown may not send a 'Coming soon' note.
It may just show up on our doorstep one day when you wake up in the
morning.

All you can do to prepare is to pay every bill you have off and make sure
that your monthly 'Nut' is as low as it can possibly be. If the common wisdom is
to hoard cash, then your job is to question the common wisdom. Your job is to
always question the common wisdom. The 'Experts' keep being 'Surprised.' How the
hell can an 'Expert' be 'Surprised?' He is paid to be in front of things not be
surprised by events and be behind the curve.

There are things a government can do to help. There are also things a
government can do to make things exponentially worse. The problems are so deep,
so systemic, so out of control, that you really have to stretch your thinking to
believe this can be fixed in a short time.

567 Circuit City stores are about to be vacated and empty. 371 Linens and
Things. Hundreds of other stores with every brand you can think of will be
shrinking. Macy's closing at least 12 stores. When do you think these properties
will be occupied again? By summer???? I see more of you going over to door #2.
Smart move if you ask me. I can't even describe what I see coming. You can't say
this stuff out loud. But that won't stop the lava.

Have a GREAT Day!

Rick Schwartz