Last year 2015 was full of awaking economic news around the western world. It is a good example of how socialism takes away the human desire to conquer austerity and the entreprenurial spirit of the middle class to achieve. According to Larry Edelson, one of the foremost experts on gold and precious metals, the European Union is doomed to collapse.

Taking Spain as case in point, after decades of socialist economic policies, the nation’s economy is a basket case. And after years of cradle-to-the-grave social programs, the national debt stands at more than 1 trillion euros. Worse, that debt is still growing; forecast to be 110% of GDP by the year after next. The official unemployment rate in Spain is over 22%; more than four times higher than America’s.

Things got so bad in 2012, in fact, that the European Union had to bail out the Spanish economy to the tune of more than 100 billion euros. Now, finding themselves in a massive hole, the Spanish people are demanding that the government keeps digging.

As part of the 2012 bailout deal, the Spanish government agreed to lower its annual deficits. The austerity plan included tax increases, pay cuts for government workers, reductions in unemployment benefits, cuts in subsidies to trade unions and more.

But after decades of feeding at the public trough, the Spanish people, being unaccustomed to fiscal sanity are now rebelling against austerity. Just this morning, Bloomberg reported that the anti-austerity party, Podemos, won 69 seats in Spain’s general election.

The two main political parties that have dominated Spanish politics since 1982 were only able to garner about 50% of the vote between them. Evidently, Podemos has convinced the Spanish people that the solution to massive, crushing, unpayable debts is to pile on even more debt.

This is precisely why the European Union is doomed.

As long as politicians in member states are permitted to buy votes by running up massive debts ...

As long as fiscally prudent countries continue to bail out the fiscally foolish ones ...

And as long as the people can overturn austerity agreements and vote themselves new benefits at the ballot box ...

The Union, its currency and economy will continue to collapse. It is also the writing in the wall for the American economy as the current administration continues to pile up debt to the rate of $18,775,084,981,440 trillion dollars as of December 2015. The American debt at the time George W. Bush left office almost eight years ago on January 20, 2009 stood at $10.6 trillion.

More and more Americans are being told that a handout is better than working hard to make a change and achieve greatness through class envy and race division in my view by design. We are coming the a point of no return to the American economy unless something drastic takes place to increase American productivity and reduce our debt.

Watch the following short video explaining how the economy works. Knowledge is power only when it is put to work. http://www.nationaldebtclocks.org/#debtexplained

Etchart Consulting Group. Building the future one brick at the time.