The Great Depression of Debt: Survival Techniques for Every Investor [Hardcover]

Warren Brussee (Author)

Book Description

Publication Date: December 15, 2008

This book takes a close look at today's economy and offers a bleak prediction for its future. However, those positioned to handle dramatic shifts in consumer spending, the mortgage industry, and the stock market are at a great advantage.

Author Warren Brussee offers insight into the coming economic situation and provides steps to prepare for it. For example, he recommends that savings be in Treasury Inflation Protected Securities until the stock market drops 73% from its 2004 level. Methods of determining when the stock market is again a good buy are defined, and different investment options are evaluated. Even during a depression, people will need to save for their future, and Brussee provides detailed charts that show retirement savings requirements.

Editorial Reviews

From the Inside Flap

In 2004, Warren Brussee wrote, "Come 2008, the number of people giving up on making house payments will skyrocket . . . banks will be forced to foreclose on homes and sell them, causing a glut of homes on the market and a deflation of home values. . . . You will be able to get a great deal on a used SUV, especially a Hummer!"

These are just some of the author's gloomy, but accurate predictions that have come to be part of today's economic reality. But, says Brussee, the worst is yet to come: the problems are so severe that it will take until 2013 before the economy bottoms out and begins to grow. In the meantime, the stock market will drop dramatically, unemployment will be over 15%, and our country will be humbled as it is forced to adapt to a far lower and simpler standard of living. In The Great Depression of Debt, Brussee offers a detailed economic analysis of the difficult years ahead, telling what to expect and how to survive the next great depression.

The author clearly lays out the circumstances that have led to this situation—the craziness in the nineties' stock market that encouraged people to stop saving and start speculating, consumers who began spending more than they could afford, as well as other factors—and outlines the similarities between current times and the years just prior to the First Great Depression. Brussee explains in detail what individuals must do to get through it: keep a job, limit debts and return to saving, and stay away from the stock market until it hits bottom. The author also reveals how the country will emerge from its economic troubles, telling how effective job creation in alternative energy, electric cars, and the required infrastructure will be key, along with training for related skills.

The twenty-first-century Great Depression has al-ready begun. It is a harsh reality we all must face. But this book will show you how to survive these turbulent times and profit in its aftermath.

From the Back Cover

Praise for The Great Depression of Debt

"This is a book that anyone???young, old, or anywhere in between???should read and study. It is superbly researched and thoughtfully written. The first half of the book is a window into the future, and the second half is an outstanding guideline for facing that future. This is the most important book I have read."
???Christopher Welker, General Manager, Technology, for a Fortune 100 Company

The Twenty-First-Century Great Depression

The continuing high rate of foreclosures, along with excess housing inventory from the overbuilding of the past decade, uncertainty in the credit markets, higher unemployment, and a weak dollar all point to an extended period of depression in the United States.

In The Great Depression of Debt, Warren Brussee examines the history of bubbles through the twentieth century and offers solid evidence to show why he believes the current depression could continue well through 2020. The author tells why the good times have ended and shows the frightening parallels between current times and the Great Depression.

Brussee explains, however, how those positioned to handle dramatic shifts in consumer spending, the mortgage industry, and the stock market are at a great advantage. He offers key insights into the coming economic turbulence and outlines steps to prepare for it, providing practical advice on how to survive the depression, where retirees should be putting their money, when to get back into the market, and what to invest in once you are back in.

See all Editorial Reviews

Product Details

• Hardcover: 322 pages
• Publisher: Wiley; 1 edition (December 15, 2008)
• Language: English
• ISBN-10: 0470423714
• ISBN-13: 978-0470423714
• Product Dimensions: 9 x 6.1 x 1.4 inches
• Shipping Weight: 1.2 pounds
• Average Customer Review: 4.0 out of 5 stars  See all reviews (7 customer reviews)
• Amazon Best Sellers Rank: #1,053,503 in Books (See Top 100 in Books)

More About the Author

I first started to write books after I retired from GE, where I had managed an engineering team. My motivation for writing was a frustration with both the available books on Six Sigma and the way Six Sigma was taught. I felt Six Sigma was a valuable methodology whose use was being restricted by its being made unnecessarily difficult and bureaucratic. When I was at GE, I taught a simplified version to my teams, and I applied that philosophy to my first book, Statistics for Six Sigma Made Easy. McGraw-Hill agreed to publish it, and when that book started to sell well, McGraw-Hill asked me to write a second book on Six Sigma as part of their All About series. All About Six Sigma was the result.

I discovered I loved writing. I had a strong interest in the economy, and I believed that the 2004 economy was not as healthy as being publicly presented and that we were headed for a severe downturn. Using the same data discipline that is taught in Six Sigma, I went to work researching our economy. This research resulted in my book The Second Great Depression, published by a small publisher. The book sold well and John Wiley decided to publish an updated version "The Great Depression of Debt. I also published an illustrated children's book Laoch the Guide Dog Puppy, based on my experience in raising a guide dog puppy.

Customer Reviews

Most Helpful Customer Reviews

13 of 13 people found the following review helpful:

5.0 out of 5 stars Easy to read, useful info minus the hysteria and hype, January 11, 2009

By 

javajunki "javajunki" - See all my reviews
(TOP 100 REVIEWER)   

Amazon Verified Purchase

This review is from: The Great Depression of Debt: Survival Techniques for Every Investor (Hardcover)

This is a refreshingly good book. While the title may sound alarmist - the author has a refreshingly down to earth approach to the current crisis. Yes, things are bad but he provides easy to understand rationale for his position that a depression of debt is upon us while also presenting clear no-frills suggestions of how to take precautionary measures.

Best of all - unlike so many doom and gloom types in the media - the author is not advocating filling a cellar with cans of tuna, arming yourself and other "end of the world as we know it" scenario's. In fact, I suspect some of the negative reviews of this book come from those seeking MORE doom and gloom or those that simply cannot fathom taking easy to implement steps to protect their financial future like purchasing TIPS. If it were shrouded in Rambo terms then perhaps it would be more appealing to a certain part of the society while it may appeal more to another segment if it consisted of some sexy sounding acronym promising a future fortune...unfortunately, TIPS aren't sexy nor are they likely to entice the likes of the survivalist group. On the other hand, they - and other suggestions throughout the book - ARE within the realm of most households to implement.

One final consdieration, the book has been criticized by some for having "too many" charts and tables...while I can understand why they may not appeal to everyone this is actually one of the most desirable aspects of teh book since it keeps me from having to do it myself. The numbers speak for themselves.

While I may not personally agree with each and every aspect of the book, it is worth the time to read and consider; unlike 90 percent of the trash out there, this book isn't selling any software, investment group or other overpriced mechanism to part you from your money. Plain, simple info with practical guidelines the majority of households can put into practice.

14 of 17 people found the following review helpful:

2.0 out of 5 stars Inflation or Deflation or both?, September 8, 2009

By 

German "gU" (San Juan, Puerto Rico) - See all my reviews

This review is from: The Great Depression of Debt: Survival Techniques for Every Investor (Hardcover)

This book attempts to summarize how they economy got into such bad shape (something which the author astutely predicted a few years ago). What will happen as a result of the Massive debt the country faces, and what you should do as an investor. These topics are of great interst to me so I was eager to read this book, but unfortunately it was a big disappointment. Specifically:
The Positiives:
1 Star for the author's foresight in calling out the 2008 financial collapse a few years before it happened. If you had listened to him you'd be better off today.
1 Star for the 3rd part on when to invest in the stock market. His review of the historic Price to Dividend Ratio of the S&P 500 and how to allocate between TIPS and Stocks provided interesting perspective for potential buying and selling triggers as well as Asset Allocation preferences.
The Negatives:
1. The author needs to find a new editor, the book was rife with grammar errors, and 3 page mumblings that he calls chapters.
2. Including lots of graphs and charts is no substitute for thorough research. The author likes to make hyperbolic claims with subjective terms like Always, Never, Most, Sometimes etc. but he often fails to substantiate these terms with supporting data.
3. The author is too quick to dismiss the many deflationary tendencies there are in the global economy right now and assumes that we will have rampant inflation in the near future. To be fair this is not just his short coming but in general Economic and Investment books are treating the inflation - deflation debate as a black and white either or question when what we really need is a book that asks what are the inflationary and deflationary forces at work in the global Economy and what scenarios could play out as a result?
On the Deflationary side you have:
Excess Manufacturing capacity globally.
The Deleveraging of a multi-year credit bubble
The Baby boom Generation having passed its peak spending age of 54.
And Globalization and the Internet (which allowed me to by this book for $.99 plush shipping and handling.

On the Inflationary side you have:
Commodity Scarcity if Developing Markets Commodity Hunger outstrips the ability to increase supply
Quantitative Easing by Central Banks around the Globe to stimulate the falling aggregate demand in their home countries.

So what will be the end result of all of this? I do not know but I'm hoping to find the book that treats these matters as interconnected forces, rather than picking a side and ignoring half of them. And then talks about how they could play out, what investors can be on the look out for, and where they should put their money.

For the deflationary argument due to boomer aging, I can recommend Harry Dent the Great Depression Ahead. For the inflation due to Oil Scarcity I can recommend Leeb's The Oil Factor, if anybody has come across a book that has a more holistic look to all of the above I would be grateful if you could provide the recommendation.

Thanks and Regards,
German Uribe

6 of 7 people found the following review helpful:

5.0 out of 5 stars Fantastic book with sound data and methodologies, January 2, 2009

By 

Brian P (Colorado) - See all my reviews

This review is from: The Great Depression of Debt: Survival Techniques for Every Investor (Hardcover)

Wow - how I wish there were more financial writers in the world such as Mr. Brussee! I read the first version of the book "Second Great Depression starting 2007 - 2020" and think that book along with this one are excellent sources of macro-economic thoughts about our economy.

One of the aspects that I truly enjoy is the author's humble nature and willingness to be open to alternate views and alternate theories.

This book is a great read for anyone that is interested in the current financial turmoil. Bear in mind, the author originally wrote and predicted much of the current situation we're in back in 2004 when the market was on it's ride up. Everyone in our nation should read this book - if only to demystify the world of finance in terms of bringing the fundamental shifts back into focus for the longer-term focus.

Bottom line, whether you agree or disagree - the facts and data in the book tell a story in which the author has captured one of the most challenging aspects of our economy - debt.

Thank you Mr. Brussee for a fine book that has alerted those who have read your book. Good luck in your continued success!