3 things that will sink the economy

The supply chain crisis is coming to a head. Today, your favorite products are missing from store shelves, caught in supply chain limbo somewhere in the Pacific Ocean. While we hope that post-pandemic recovery will solve these issues, today’s guest explains how the supply chain problem is like a menacing iceberg that threatens global economic collapse. 

Let’s take a look at what happened through 2020-2022.

The cause of the 2021-2022 Global Supply Chain Crisis originally stems from major backlogs caused by economic downturns due to the COVID-19 pandemic that started in 2020 and the sudden rise in consumer demand after countries eased out movement restrictions and reopened their respective economies in 2021 and further in 2022. When you have a scarcity of product on global scale, and demand doesn’t ease it causes prices to skyrocket which we have seen in meats, food prices, cars, trucks etc. I’m sure you Remember Silver prices crashed to 11.0 During the pandemic and then rose to over $26 dollars on silver futures. Even though the price was $11 nobody sold for that price. I remember going to small Bullion dealers and not being able to buy an American Eagle at $11.00 per oz spot or even at 15 or 18 dollars per OZ.

According to the IMF’s forecast, the demand for manufactured goods is expected to grow by 2.6% between now and 2024. However, due to the increasingly global supply chain shortages, manufacturers have been unable to keep up with growing demand.  Many key remedies are missing, between qualified workers, high backlogs, shortage of raw materials, and now dealing with the economic slowdown due to high inflation levels. You can read more in detail about the forecast and slowdown here.

What to expect:

We can expect Governments to try and Taim inflation, but after the mass amount of dollar overflow into the economy through government printing and spending, we are unsure if inflation can actually be tamed. Consumers should probably get used to the new high prices. Check out the video by Robert Kiyosaki on 3 things that will sink the economy.

Disclaimer:

We are not investment advisors, nor do we claim to be we are stating opinions based on possible global outcomes, which may change over time as new data appears.