Oil Prices Our Economy and National Disasters

With the onslaught of Katrina, how will the world survive the economic chaos that is about to unfold? Our economy cannot sustain any more surges in oil prices with the AP wire reporting $5.96 a gallon for regular gas in some areas of the U.S.

Most U.S. cities aren't set up with mass transportation, and the typical American is required to travel up to 50 miles a day or more for their job alone. U.

S. resident made less money than they spent for basic necessities prior to Katrina, how will they cope after? *Average Monthly expenses, based on two incomes Telephone $37.93 Electric bill $99.65 Water w/garbage $80 Food $575 Gasoline (two cars, $2.53 per gallon.) $969.

60 Mortgage Payment $2321 (Based on a three bedroom home in GA. East or West you are looking at least a $5463 mortgage.) Car Payment $289 (based on one car only) Cellular Phone Bill $89.

99 (family plan) Quarterly Car Insurance $789 (two cars) Total basic expenses, with nothing extra like car repairs, co-pays, medicine, school supplies, clothing, and household necessities: $5251.17 The average pre-tax income based on the location above? Female $2,047; Male $3,089 If you live on the East or West Coast, while income can be higher, the average male making $4497 and females $3189, monthly bills are substantially higher. The total average monthly expenses in those areas? $9535.

83. Pre-tax income? $7686. How can the economy continue to thrive, when most people in the U.S.

can't afford their monthly bills? A large mortgage broker stated that 100% of their housing loans are now interest only with buyers using their mortgages as loans. Buyers have been banking on an escalating housing market. What will happen to them once the full force of Katrina hits its mark? Now with gas prices skyrocketing, people may not be able to keep their jobs or they will have to "pay" to go to work, and with the jobless rate of Katrina expected to hit 25%, how can the economy survive? What's the answer to our imminent economic catastrophe? I don't know, but I can tell you that it feels like we are heading for economic disaster of epic proportions if something isn't done and done quickly. The end result will be a society that is based on the really rich and the very poor. There will be no "middle class.

" With standards already being set at poverty stricken or destitute, how much more can we sustain? How much more can the world sustain?.

Jaci Rae is a #1 Best Selling author of The Indie Guide to Music, Marketing and Money and Winning Points with the Woman in Your Life One Touchdown at a Time. Tune in for "The Jaci Rae Show" heard live around the world every Thursday: Click on the weekly show link

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