We will not have another depression, but our economy will change as it never has before

[TwixVoy]

I believe that we will not experience another depression. I believe we will have a plentiful supply of food, and we will not see anything like the food lines of the past.

I think what a great number of people have not yet realized is that the time of wealth our country has experienced is quickly coming to an end. I think the end result of this crisis will be the United States becoming a poor nation. We have sent most of our wealth to foreign nations such as China who have now built up a huge manufacturing base at the same time we are about to lose the last remnant of ours. Manufacturing/producing is the key to building wealth. As it stands 80% of our economy is based on consumption.... and to make it worse consumption based on debt. We are a nation of debtors who collectively have a negative savings rate. One of the very images of being poor.

I believe that retirement will be a thing of the past to most people. I believe that overall it will be possible to "live", but few will have much of excess. The days of spending $5 on a cup of coffee will be over. Huge tank vehicles that get 5 miles to the gallon? You better believe that's over.

I believe most jobs in the nation will be paying enough to allow survival, but not much else. The last stronghold of unions in this nation is about to be intentionally killed off.

I think we are looking at the US Dollar no longer being the reserve currency. Keep in mind that when that happened to the British pound it lost 90% of it's value. Why does that matter you ask? Well, if the dollar starts to lose massive value China and others will be much less likely to want to keep sending over products for us to "consume" when our money isn't worth it any longer.

Can we turn this around? Possibly, but it will take well over a decade IMO and likely longer.

On the bright side.... at least in a few years India may start outsourcing to US. (and that is only a half joke...)

Generally I see life being harder for almost everyone except the upper 1%. This is something that will be long lasting. Anyone that thinks we will see a 2009 "recovery" and it will be business as usualy after that are setting themselves up for a major disapointment.