The Consumer Is Dead: Welcome to the New Great Depression

By Bill Brocius

America Is Squeezed Dry: The Economic Reality No One Can Deny

A staggering 79% of Americans now believe the U.S. is heading in the wrong direction, and the economy is the number one reason why. Over the past four years, inflation has soared, eating away at paychecks while the cost-of-living skyrockets. As businesses close and layoffs pile up, Americans are realizing that no matter how hard they try, they can’t keep up. The result? Millions of consumers have been squeezed dry, with nothing left to give—and the cracks in the economy are starting to show.

Home Improvement Industry: An Early Warning

When the home improvement industry takes a hit, it’s often a bad omen for the broader economy—and right now, it’s in serious trouble. Just this week, True Value Hardware, a company with 75 years of history, filed for bankruptcy. The company is now selling off most of its operations to rival Do It Best for $153 million under a Chapter 11 process.

Meanwhile, Home Depot has slashed its outlook for 2024, predicting sales will drop by 3-4%—a steep decline from the 1% drop they initially expected. On top of that, the retailer has been dumping warehouse space, signaling they don’t see things turning around anytime soon.

Even PPG, a global paint and coatings manufacturer, announced 2,000 layoffs as it struggles to cut costs and sheds parts of its business. These companies wouldn’t be making such drastic moves if they thought better days were just around the corner. The message is clear: the economy is in decline.

Retail Apocalypse: Walgreens and TGI Fridays Close Doors

Drugstores are shutting down at a rapid pace. Walgreens just announced plans to permanently close 1,200 stores over the next three years, another casualty of weak consumer spending and shrinking profit margins. You don’t shut down more than a thousand locations if you think prosperity is right around the corner.

Restaurants are feeling the same pain. TGI Fridays, once a staple of American dining, has been closing locations across the country, including dozens of stores in the Northeast and Midwest. If they believed an economic turnaround was coming, they’d fight to keep these restaurants open. But the harsh truth is: they see the writing on the wall.

Even Churches Are Struggling to Stay Afloat

Churches, often the last places to feel the sting of economic hardship, are also being hit. A recent study by Lifeway Research found that financial contributions to churches have dropped significantly over the past year. Many Protestant pastors blame the struggling economy for shrinking donations, with some reporting double-digit declines in giving. Local factors certainly play a role, but inflation and rising interest rates are the main culprits choking household budgets.

Consumers Have Nothing Left

What do all these closures, bankruptcies, and layoffs tell us? Consumers are out of cash.

Gerald Storch, CEO of Storch Advisors, summed it up perfectly:

“It’s very clear that consumers are running out of money. They’re increasingly stressed by inflation and the exhaustion of their pandemic-era savings. People might still be spending, but it’s less than the growth of inflation.”

Mainstream media might cheer on small retail sales upticks ahead of the election, but it’s a mirage. The reality is that Americans are tapping out their savings and piling on credit card debt just to get by. Rising costs for food, energy, housing, and insurance are squeezing families to their breaking point. Bidenomics has failed, and low- and middle-income households are bearing the brunt of this economic collapse.

We’ve Reached the Tipping Point—Prepare Now

Last year, I warned readers that we were heading toward an economic tipping point—and now, we’re sliding downhill fast. The frustration built up over the past few years is bubbling over, and it will undoubtedly influence the outcome of the next election. But no matter who wins, the economic storm is already here. If you don’t take action now, your savings—and your future—could be at serious risk.

Take Control Before It’s Too Late

The collapse of the American consumer isn’t just a headline—it’s happening in real time. With businesses folding, layoffs mounting, and credit card debt spiraling, it’s only a matter of time before banks start tightening the screws. Will your bank account survive if things get worse?

Don’t gamble with your financial future. Download my free ebook, 7 Steps to Protect Your Account from Bank Failure, and learn how to safeguard your money in these uncertain times. For deeper insights and exclusive strategies, join my Inner Circle for just $19.95 a month. You’ll get real-time analysis and actionable advice from someone who knows what’s coming next.
👉 Join the Inner Circle

The clock is ticking. Protect yourself before the collapse gains momentum—because by the time the dust settles, it’ll be too late to act. The American consumer has been squeezed bone dry. Are you ready for what’s next?