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To: LouAvul
I did a white paper for one of the larger American multinational corporations on the evolving risk of supply chain disruptions in the context of declining American domestic production due offshoring.

Unfortunately, it predicted much of what we are seeing in the supply chain meltdown.

It was not well received as it was contrary to current globalist corporate group think.

If my predictions continue to hold true, we can expect to see a second wave of supply chain dislocations. In this next wave, we should see a collapse of many small to medium sized companies.

This collapse could resulting in a deflationary spiral as supply chain vendors get hit by a combination of collapse of of both supply and demand as producers of critical key components shut down production due to a combination of declining orders, inability to get critical parts and raw materials and massive price shocks.

The cycle becomes a self reinforcing downward spiral as demand collapses due to the demand destruction from laid off or idled workers being unable to afford much beyond basic necessities, causing even more companies to shut down and cease production.

As the companies slow down or cease production, there will be corresponding supply chain dislocations as the companies that depend on the products of the shut down companies cannot obtain critical materials for their production. This could result in a systemic, cascading supply chain meltdown that could drive a general international economic meltdown.

We may be witnessing the beginning of serious hard times due the Biden Administrations destructive policies at a time when the world economy was already teetering on the brink due to the covid shutdowns get taken down by the dislocations.

This is not going to be a good thing for the layabouts who have been staying home living on $40K covid emergency funds for the last several years. The US Government is tapped out and cannot borrow anymore and will be even less capable as an economic downturn shuts down our demand for Treasury notes to fund the deficit spending needed to float wide spread unemployment transfer payments.

12 posted on 12/06/2022 8:39:35 PM PST by rdcbn1
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To: rdcbn1
I appreciate your post but it is stuff like this that makes it pretty worthless:

"As the companies slow down or cease production"

So are you talking about a domestic production company or an overseas production facility? It matters.

You don't seem to make any distinction between domestic production and offshored production....

13 posted on 12/06/2022 8:49:34 PM PST by central_va (I won't be reconstructed and I do not give a damn...)
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