It's never happened before in the history of the United States.
But America now stares down the barrel of financial catastrophe on October 17, which is less than three weeks away.
"If we have insufficient cash on hand, it would be impossible for the United States of America to meet all of its obligations," said Treasury Secretary, Jack Lew, on Wednesday.
There simply isn't enough cash on hand to pay the country's bills. And without Congress' approval to raise the debt ceiling, the Treasury will write its first-ever bad check.
Americans, however, remain totally in the dark to the reality of what's coming.
As history very clearly warns, when central banks artificially manipulate the economy and the financial markets, "it comes home to haunt them, eventually" says famed investor, Jim Rogers.
"And this will come home to haunt us, too," he adds.
In fact, a controversial, just-released investigation details exactly what history says is certain to happen.
According to the investigation, the inevitable chain of events is highly predictable.
So predictable, in fact, that Americans who take appropriate action will not only survive the coming storm, they'll even prosper.
Sixteen (16) U.S. States Ready for Termination...
Is your state is on the termination list?
In event of a default, it would only take 60 minutes for the country to begin to unravel. That is, according to a four-month investigation released by a team of the world's top financial and political experts.
How serious is this threat? Enough that the federal government already has a disaster plan in place.
The sequence of events would likely go as follows...
Within seconds of news that the United States missed a payment, almost simultaneously, the stock market and the U.S. dollar would plummet in value.
A super-spike in interest rates would follow in short order.
A gallon of milk would suddenly cost upwards of $100.
A loaf of bread, $44.
A gallon of gasoline, upwards of $1,000.
In a panic to protect their inventories, business owners would shutter their doors, triggering widespread looting and chaos.
Then, within an hour later, the federal government would issue emergency notification that its disaster map is in effect.
"The United States of America would look dramatically different," says renowned global analyst, Karim Rahemtulla, adding that "not every state will survive."
The states most likely to disappear are 1) those without a strong manufacturing base, and 2) those with an addiction to federal funding. That is, according to Rahemtulla, the investigation's lead analyst.
Social Security Payments Won't Get Mailed...
It's a classic lose-lose scenario facing Congress, which helps explain why Jim Rogers thinks a disaster scenario is unavoidable.
If Congress doesn't raise the debt ceiling, well... then America defaults on its obligations.
That means defaulting on IRS refunds, Social Security and veterans benefits, Medicare reimbursements for doctors and hospitals, bond interest owed investors, payments to contractors and paychecks for federal workers and military personnel.
However, if Congress raises the debt ceiling, the United States is almost assured of another debt downgrade. Such a reality alone could crash the market, and trigger the sequence of events described above.
The smart money is already leaving the country in anticipation of the October 17 deadline, as nearly $100 billion fled from U.S. bond funds over the summer. And bond money is notoriously the smart money of all.
Where's all the cash going?
"It's piling into very specific global markets," says Karim Rahemtulla, author of the bestselling book, Where in the World Should I Invest?
"Certain insiders will get rich off of this event. It happens in every crisis dating as far back to the Depression. You just need to know where to put your money," Rahemtulla adds.
Either way, the message to Americans is clear. Whether you live in a red state or blue state...
Whether you're a conservative or liberal...
Whether you support President Obama or not...
Something is about to happen on October 17, 2013, and it isn't going to be good.
Credit to Townhall.com
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