There really isn't a whole lot to say that I haven't already commented on regarding the fast imploding U.S. economy. However, in the event that I left some things out in prior discussions, the following are what amount to proximate causes for what may one day be referred to as "The Greater Depression."
1.) The greatest housing bust since the thirties, the result of mendacity, appalling judgement, and an absolute abdication of responsibility on the part of a whole host of players from The Federal Reserve, Congress, the greater banking community, mortgage originators, home builders, and borrowers.
2.) A U.S. financial system (as represented by money center banks and Wall Street broker dealers) that is almost certainly insolvent due to capital reserves that are presently non-performing or destined to become so. The marked to myth models that have heretofore allowed financial institutions to mistate their balance sheets will not persist and can not be swept under the rug by figures like Treasury Secretary Hank Paulson via preposterous nostrums such as The Master Liquidity Enhancement Conduit.
3.) The early stages of a massive global dollar dump that will not reverse itself unless and until the monetary and governmental authorities do that which they are clearly utterly averse to, namely demand complete balance sheet transparency by financial institutions coupled with a new commitment to thoroughly responsible financial and fiscal policy. As per their Constitutional prerogative, pardon me, responsibility, Congress, ought to be playing the major role where the conduct of the money supply is concerned, but given the calibre of deliberative body they have become, that is most unlikely.
Make whatever preparations you can now for the difficult times ahead.