Yes America is in a Depression
America is in a depression that is about to get far worse. The numbers show the coronavirus is causing a depression in the United States.
Some numbers that prove America is in a depression include:
- 40.8 million – The US Labor Department’s estimate for the number of Americans who filed unemployment insurance claims between March and May 2020.
- 26% – the US Labor Department’s estimate for the percentage of the US civilian labor force who filed unemployment insurance claims between March and May 2020.
- 20.5 million – Pew Research’s estimate for the number of unemployed Americans in May 2020.
- 7.5 million – the number of American small businesses Main Street USA estimates coronavirus will destroy.*
- 35.7 million – Main Street USA’s estimate for the number of people employed by small businesses threatened by coronavirus.*
- 34.07% – the percentage of American small businesses Main Street USA estimates will close in the next the next three to five months.*
- 56.86% – the percentage of US small businesses Main Street USA estimates lost over 75% of their revenue to coronavirus.*
- 72.16% – the percentage of American small businesses that lost over 50% of their revenue to coronavirus.*
- 58.9 million – the number of Americans employed by small business in a Fundera estimate.
- 47.5% – the percentage of the US workforce small businesses employ according to Fundera.
- 36,000 – The number of jobs United Airlines (NYSE: UAL) plans to eliminate in October 2020 if the Congress fails to extend its federal bailout.
- 19.8% – Pew Research’s estimate unemployment rate for black Americans in May 2020.
- 20.4% – Pew Research’s estimate estimated unemployment rate for Hispanic Americans in May 2020.
- 14.3% – Pew Research’s estimate for the unemployment rate for American women in May 2020.
- 25.3% – Pew Research’s estimate for the unemployment rate for Americans age 16 to 24 in May 2020.
- 18.5% – Pew Research’s estimate of the unemployment rate for Americans without a high school diploma in May 2020.
- -12.6% – the US Bureau of Economic Analysis’s (BEA) estimate for the drop in consumer spending in April 2020.
- 8.2% – The US BEA’s estimate for US consumer spending growth in May 2020.
- -19.9% – Trading Economics’ estimate for the drop in US retail sales between April 2019 and April 2020.
- -19.9% – Trading Economics’ estimate for the drop in US retail sales between April 2019 and April 2020.
- 1.1% – Trading Economics estimate for the growth rate for U.S. retail sales in June 2020.
- 5.4 million – Families USA’s estimate for the number of American workers who lost health insurance between February and May 2020.
- 39% – Families USA’s estimate for the rate of increase for Americans without health insurance between February and May 2020.
- 29% – Families USA’s estimate for the percentage of adults with no health insurance in Texas in June 2020.
- 25% – Families USA’s estimate for the percentage of Florida adults without health insurance in June 2020.
- 13% – Families USA’s estimate for the number of California adults without health insurance in June 2020.
- 28 million – Emily Benifer’s estimate for the number of Americans who could face eviction if states lift eviction moratoriums. Benifer is chair of the American Bar Association’s Task Force Committee on Eviction and co-creator of the COVID-19 Housing Policy Scorecard with the Eviction Lab at Princeton University.
- 30 million – Yahoo’s estimate for the number of Americans who could lose $600 a week in pandemic unemployment insurance if Congress fails to extend the program.
- 40% to 45% – Dr. Brendan O’Flaherty’s projection for the increase in homelessness in America in 2020. O’Flaherty is a professor of economics at Columbia University.
- 250,000 – O’Flaherty’s prediction for the number of new homeless people in America in 2020.
- July 31, 2020 – the date on which the Cares Act $600 a week unemployment insurance payment ends.
- August 1, 2020 – the date on which angry mobs could start gathering on Capitol Hill and at Congressional offices.
I think these numbers show America is in a depression. If our leaders do not act fast to help ordinary Americans I think we will see more protests and violence.
Congress; however, disagrees. Its members took a two-week vacation on 3 July 2020. Moreover, Congress plans to take a month off in August.
Therefore, Congress’s members care more about their time off than ordinary Americans. Hopefully, voters will give many members of Congress; including U.S. Speaker of the House Nancy Pelosi (D-California) and U.S. Senate Majority Leader Mitch McConnell, far more time off in November.
I predict we will see more violence in America’s streets if Congress fails to act. Consequently, I wonder if it will take mobs storming the Capitol to get Congress to help ordinary Americans.
Does Congress Want a Revolution in America?
These numbers show that Congressional leaders such as US Speaker of the House Nancy Pelosi (D-California) and US Senate Majority Leader Mitch McConnell (R-Kentucky) do not care about ordinary Americans.
Ironically, Congress’s failure to understand the math could trigger a revolution in America. I have to wonder when Congress will get the message. Hopefully, Congress will act before our cities are burning and politicians’ bodies are hanging from lamp posts.