“Falling Off A Cliff”: This Chart Proves That We Are In A Major Economic Downturn Right Now

This article was originally published by Michael Snyder at The Economic Collapse Blog. 

The number of job openings in the United States has been “falling off a cliff”, and that is a major red flag.  The last four years have been an economic nightmare for most Americans, and that is one of the primary reasons why Donald Trump won the election.

But as we approach 2025, things are starting to get frighteningly bad.  When the number of job openings in the U.S. drops by 2 million or more, that normally signals that we are either in a recession or that one is about to happen.  Well, as you can see from this chart that was posted by Bravos Research on Twitter, we are witnessing a collapse in job openings that is absolutely unprecedented…

I was floored when I saw that chart.

I knew that job openings were falling, but I didn’t know that things had gotten this bad.

Not too long ago, there were about 12 million job openings in the United States.  Unfortunately, here in the second half of 2024 that figure has fallen below 8 million…

There were an estimated 7.4 million unfilled jobs on the last day of September, a drop from August’s revised tally of 7.86 million openings, according to new data released Tuesday by the Bureau of Labor Statistics. The largest drop-offs in openings were in industries that have driven much of the job growth in recent years: health care and social assistance, and government, according to the report.

Meanwhile, major employers continue to shed workers all over the nation.

For example, the U.S. lost a total of 78,000 manufacturing jobs during a recent three-month period…

The manufacturing sector continued to shed jobs in October, bringing its tally of job losses to 78,000 over the past three months.

The Labor Department’s Bureau of Labor Statistics on Friday released its jobs report for October, which found that the manufacturing sector lost 46,000 jobs last month, according to the agency’s preliminary analysis.

That followed a loss of 6,000 jobs in September, which is also a preliminary figure, as well as a decline of 26,000 jobs in August.

Every day, there are more layoff announcements in the news, and the number of people filing initial claims for unemployment benefits increased much more than experts were projecting last week…

The number of Americans filing for jobless benefits for the first time jumped significantly last week (from 225k to 242k – well above expectations of 220k) – the highest since the first week of October.

On an un-adjusted basis, claims exploded higher (highest since January)…

Throughout the second half of this year, I have been arguing that the U.S. economy is rapidly heading in the wrong direction.

Now we have even more confirmation that this is indeed happening.

Once we get past the holiday season, retailers are going to be dropping like flies.

According to the Daily Mail, it appears that Party City could soon be forced to declare bankruptcy…

A major party and craft retailer with 850 stores across the nation is considering filing for bankruptcy.

Party City has been faced with the possibility of mass closures just a little over a year after the company surfaced from Chapter 11 bankruptcy.

The celebration retailer, known for selling balloons and essential party supplies, is currently behind on rent at some of its locations, people close to the matter told Bloomberg.

And it is being reported that 670 Family Dollar stores have already been shut down…

Discount behemoth Dollar Tree has shuttered 670 of its underperforming Family Dollar stores so far, about two-thirds of the nearly 1,000 it plans to close, as it considers whether to sell or spin off the struggling chain.

The Chesapeake, Virginia-based retailer provided an update on its portfolio optimization efforts when it reported is fiscal third-quarter earnings. Dollar Tree officials also said they were still reviewing options for Family Dollar, with no set deadline or timeline to complete that process.

Overall, thousands upon thousands of retail stores in the U.S. will be shuttered in 2024, and thousands upon thousands will be shuttered in 2025.

In many areas of the country, the landscape is absolutely littered with once-thriving businesses that have now been boarded up.

More than a decade ago, I warned that we were headed for a future when impoverished areas of the U.S. would be filled with boarded-up businesses and abandoned buildings.

Now we are there.

On top of everything else, inflation is starting to surge once again, and one recent survey discovered that about a third of all U.S. households have been forced to cut back spending just to keep the lights on…

With the cost of things like food and housing still straining people’s budgets, many U.S. households over the past year have found themselves having to pare their spending on basic necessities just to keep the lights on at home.

That’s according to a recent Lending Tree study which analyzed U.S. Census Bureau Household Pulse Survey data from Aug. 20, 2024 to Sep. 16, 2024 to find the percentage of Americans 18 and older that had cut back on necessary expenses to pay their energy bill, kept their home at an unsafe or unhealthy temperature, or was unable to pay the full amount on an energy bill at least once over the preceding 12 months.

The study found that more than 34% of respondents said they have had to cut back or skip spending on certain necessary expenses at least once over the past year in order to pay their energy bill.

As I discussed the other day, prior to the election most Americans believed that we were already in a recession.

Since the election, conditions have only gotten worse.

Many are hoping that our economic momentum can be reversed once the new administration takes over.

We should all be hoping that is true.

But right now we are on a freight train that is steamrolling in the wrong direction, and that is not good news at all.

Michael’s new book entitled “Why” is available in paperback and for the Kindle on Amazon.com, and you can subscribe to his Substack newsletter at michaeltsnyder.substack.com.

About the Author: Michael Snyder’s new book entitled “Why” is available in paperback and for the Kindle on Amazon.com. He has also written eight other books that are available on Amazon.com including “Chaos”, “End Times”, “7 Year Apocalypse”, “Lost Prophecies Of The Future Of America”, “The Beginning Of The End”, and “Living A Life That Really Matters”.  When you purchase any of Michael’s books you help to support the work that he is doing.  You can also get his articles by email as soon as he publishes them by subscribing to his Substack newsletter.  Michael has published thousands of articles on The Economic Collapse Blog, End Of The American Dream and The Most Important News, and he always freely and happily allows others to republish those articles on their own websites.  These are such troubled times, and people need hope.  John 3:16 tells us about the hope that God has given us through Jesus Christ: “For God so loved the world, that he gave his only begotten Son, that whosoever believeth in him should not perish, but have everlasting life.”  If you have not already done so, we strongly urge you to invite Jesus Christ to be your Lord and Savior today.