The future of the USA – 2012-2016: An insolvent and ungovernable United States?

The question

3 points :
US institutional deadlock and the break-up of the habitual two-party system
The unstoppable spiral of recession/depression/inflation
The breakdown of the US socio-political fabric

In fact, the United States ends 2011 in a state of weakness unmatched since the Civil War. They practice no noteworthy leadership at international level. The fight between geopolitical blocs is sharpening and they find themselves confronted by nearly all the world’s major players: China, Russia, Brazil (and in general nearly all of South America) and now Euroland.
Meanwhile, they cannot control unemployment where the right rate stagnates at around 20% against the backdrop of an unabated and unprecedented reduction in the labour force (which has now fallen to its 2001 level).

Real estate, the foundation of US household wealth along with the stock market, continues to see prices drop year after year despite desperate attempts by the Fed to facilitate lending to the economy through its zero interest rate policy. The stock market has resumed its downward path artificially interrupted by two Quantitative Easings in 2009 and 2010. US banks, whose balance sheets are much more heavily loaded with financial derivative products than their European counterparts , are dangerously approaching a new series of bankruptcies of which MF Global is a but a precursor, indicating the absence of procedural controls or alarms three years after the collapse of Wall Street in 2008.

Poverty is gradually increasing in the country every day, where one in six Americans now depend on food stamps and one in five children has veteran periods of living on the streets . Public services (education, social, police, highways…) have been significantly reduced across the country to avoid city, county, or state bankruptcies. The success with which the revolt of the middle class and the young (TP and OWS) has met is clarified by these objective developments. And the coming years will see these trends get worse.

The weakness of the 2011 US economy and society is, paradoxically, the result of the “rescue” attempts carried out in 2009/2010 (stimulus plans, QE …) and the worsening of a pre-2008 “normal” situation. 2012 will mark the first year of wear from an already terribly impaired situation.

SMEs, households, local authorities , public services,… have no more “padding” to soften the blow of the recession into which the country has fallen again .
2012 would see a 30% drop in the Dollar against major world currencies. In this economy, which imports the bulk of its consumer goods, this will result in a corresponding decrease in US household purchasing power against a backdrop of double-digit inflation.

The TP and OWS have, therefore, a bright future ahead of them since the wrath of 2011 will become the rage in 2012/2013 !!!!