Yeah, I get the impression that US economy is in a far worse shape then people let on. One of the trends I’ve been watching is the rise in cost of living and personal debt. Last I looked, average American has around 100k debt, and over half the population is living paycheck to paycheck. The obvious extrapolation here is that a typical person cannot absorb further rise in the cost of living for much longer.

Meanwhile, the inflation is expected to continue rising despite fed attempts to bring it down by raising rates. Once the cost of living outpaces people’s incomes then people will start defaulting on their debts. This in turns will cause more bank failures since the debt they own will become worthless. At that point we’ll be looking at a similar scenario to 2008. Except this time it’s not possible to just print more money to do a bailout due to inflation already being sky high. It’ll be interesting to see what the plan here is, assuming there is one even.