Economic Concerns Post-Covid

Since Covid’s “Great Reset,” the U.S. economy seems to be experiencing a silent depression affecting two-thirds of households and many businesses. With monumental spending from Washington and a surge in debt, consumers are feeling the weight of high prices and stagnation.

On the flip side, a select few well-connected companies, bolstered by cheap credit and favorable regulations, continue to prop up the stock market, creating an illusion of economic health. In reality, while statistics might paint a rosy picture, many are grappling with a sense of collapse in their everyday lives.

Quiet Depression

Americans are facing historically high costs for essentials like food, fuel, rent, and electricity. Recent university graduates are entering the hardest job market in decades, with only 1,494 new jobs reported in August—the worst number since the 2008 recession. Layoffs have shot up by 38.5% this year.

The situation is even bleaker for recent grads, with a report indicating that 58% are struggling to find jobs or internships. Alarmingly, 40% of unemployed individuals last year didn’t even get an interview; one in five seekers has been out of work for over ten months.

Those who are employed are finding it tough to meet their financial goals. Many are relying on difficult withdrawals from retirement accounts. Inflation-adjusted personal spending decreased by 0.15% in the first half of 2025, marking the steepest drop since the financial crisis.

Debt is a significant burden as well. Household debt has soared to $18.39 trillion, an increase of $600 billion in just a year. Student loans stand at $1.64 trillion, with over 10% in delinquency. Credit card debt has hit $1.21 trillion, with average interest rates exceeding 22%. Nearly half of renters are now spending over 30% of their incomes on housing.

Stock Market Illusions

One might hope that Wall Street would reflect the struggles on Main Street, yet the S&P 500 continues to show record highs. This anomaly arises because major tech companies contribute to 40% of the total market value. Removing these giants would paint a much less optimistic picture.

Over 450 large businesses filed for bankruptcy in the first half of 2025, and the manufacturing sector has lost 78,000 jobs. Construction spending has fallen for seven of the past eleven months. To make matters worse, 43% of Russell 2000 companies are currently unprofitable.

The hype surrounding AI is feeding into this illusion. Nvidia’s data center revenues are driving much of the market, essentially reliant on just a few unstable firms. The S&P’s price-to-book ratio has surpassed levels seen during the dot-com bubble, suggesting that this is not sustainable growth but simply speculation.

Housing Market Challenges

The housing market has become a vital pillar supporting the economy, inflated by years of zero interest rates, government grants, and trillions in mortgage-backed securities—now worth over $20 trillion compared to 2020.

However, affordable housing is increasingly out of reach. The market is showing signs of distress, with prices dropping in many areas. Instead of lowering lending standards or declaring emergencies in the housing sector, policymakers need to ensure housing prices align with actual wages.

It’s unsustainable for Americans to view their homes as savings accounts or expect hefty returns while lamenting economic inequality. You simply can’t have a free market and persistent asset bubbles.

A Call for Change

Wall Street seems poised to initiate another round of stimulus measures to keep the AI bubble from deflating. There are predictions that the S&P might reach 9,000 by 2026, which could mark an unprecedented bubble. Meanwhile, the economy is increasingly caught up in a cycle of corporate welfare, leaving taxpayers footing the bill for the wealthiest businesses.

This situation can’t continue indefinitely. The economic recession will eventually hit, and when it does, it will burst these distortions. Only then can the U.S. rebuild a market economy rooted in hard work, savings, and actual production instead of in debt or inflated fantasies.

So, when will someone take a stand and push for a lasting change?