In February, National Association for Business Economics forecasters predicted a 3.3 percent growth rate in real GDP for the year. In May, they lowered that to 2.8 percent. Now, they’re predicting an anemic 1.7 percent increase. Adjust that for 3+ percent inflation, and you have negative growth—in other words, a recession.
There will be no “double dip” as the U.S. has been in a recession all along.
The Census Bureau reports the number of Americans in poverty jumped to 15.1 percent in 2010, a 17-year high. About 46.2 million people, or nearly 1 in 6, were in poverty. That’s up from 43.6 million, or 14.3 percent, in 2009. It was the highest level since 1993.
Now comes the September 8, 2011 electrical blackout—just another sign of America’s collapse.
Apparently, the blackout provoked by the unexplained failure at a private utility company substation in Yuma.
There will be no “official” explanation for the event.
Mainly, the story covered the 1.4 million people in San Diego, who lost their power.
Preliminary economic losses estimated in the $300 million ball-park in the U.S. Firefighters responded to people trapped in elevators, while restaurant owners and workers watched food rot away. On the US side, some places were reported to have gone without electricity for almost 24 hours.
In addition to San Diego, the blackout rolled across the border and affected more than 1.3 million people in northern Mexico including all of Baja California all the way down, 900 miles, to Cabo San Lucas.
For more than ten hours in the states of Baja California and part of neighboring Sonora workplaces ground to a halt, classes were canceled, traffic lights stopped functioning and water service was interrupted.
In the Baja California state capital of Mexicali the electricity shut-down came as temperatures soared to 111 degrees.
Mexico’s Federal Electricity Commission explained that Baja California and a section of Sonora are hooked into a cross-border electrical grid that extends up the West Coast north to Canada.
In Tijuana, alone, the assembly-for-export industry which employs 155,000 people in more than 500 Tijuana plants was shut down completely.
All in all, the power outage disrupted the lives of nearly seven million people in the United States and northern Mexico-not just the 1.4 million in San Diego.
It is telling to note, however, that Wal-Mart in Calexico, California, shut down as most of its refrigerated food spoiled. Just across the border in Mexicali, Mexico, Wal-Mart Mexicali remained open during the entire blackout thanks to its back-up electrical generators.
The blackout was just another sign that the U. S. infrastructure continues to crumble, along with the U. S. economy.