Shoebat.com reported on the words of Steve Mnuchin that official unemployment rates could be 20% to 25%. However, even Mnuchin may have underestimated the seriousness of the current crisis. According to a report by CNBC, numbers released from the Federal Reserve Bank declare that 32% of the USA could be unemployed due to the virus.
Millions of Americans already have lost their jobs due to the coronavirus crisis and the worst of the damage is yet to come, according to a Federal Reserve estimate.
Economists at the Fed’s St. Louis district project total employment reductions of 47 million, which would translate to a 32.1% unemployment rate, according to a recent analysis of how bad things could get.
The projections are even worse than St. Louis Fed President James Bullard’s much-publicized estimate of 30%. They reflect the high nature of at-risk jobs that ultimately could be lost to a government-induced economic freeze aimed at halting the coronavirus spread. (source)
This is a national catastrophe, because if official unemployment rates are at 32%, they are likely about 40% higher due to those who are unemployed but not receiving checks.
It is not an underestimate to say that half of the country could potentially be put out of work.
How will people eat? How will they pay their bills?
When things like this happen, they tend to lead to social revolts and even open rebellion.
People want to care for their basic needs, and if they believe they are being deprived of doing this, and people continue to try to trouble them over bills, it feeds anger and hatred.
A mass of angry, frustrated, impoverished people do not make good citizens.
Watch carefully, as this could cause a shakeup to the political order in the future.
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