Monetary Collapse on July 1st?

Most of you have seen the ads and the alerts that on July 1st, the Dollar will collapse. I received the same spam that Bob talks about in the article. I was in the process on trying to figure this out because I have received several questions from readers about it, then all of sudden I come across Bob Rinear's article which is much more articulate than I could ever be. Did I previously mention in a post that Bob Rinear is becoming one of my favorite sources of common sense information?

Does The World Stop July 1st?

By Bob Rinear

Over the past few months, my inbox has been littered with spam Emails suggesting that on July 1st, the US dollar will collapse, the lights will go out, and martial law will be put in place. All I have to do is cough up a few hundred bucks to get the authors letters, and I’ll know everything I need to get around this disaster.

But, it has been so effective at stirring people up, that I’ve probably fielded a couple dozen questions from our subscriber base, asking indeed if July 1 is going to usher in some form of collapse. So, I figure I best do a quick outline of what this is all about, and see if we’re all going to be reduced to babbling rubble in a month.

The basis for this doom and gloom scenario is that House bill HR 2847 which is titled “Hiring Incentives to Restore Employment Act” goes into full effect on July 1. Well that sounds tame enough, what’s the issue? Well, inside this monstrosity is a section labeled the “Foreign Account Tax Compliance Act” which most will know as FATCA, and that is the basis for the apocalypse warnings.

If you’ve ever truly read any Government “bill” you know it is loaded to the gills with “blah blah blah” of Article 2 of section blah blah blah, which is subnoted in index 9, subset 4, of blah blah blah….. but I can wrap it up for you relatively compactly. Basically the gist is this.. Uncle Sam is broke. When nations go broke they start looking for income in every nook and cranny. So, they pass more and more laws to make sure they know what everyone has, where it is and how they can tax it. FATCA does that for all the US citizens with foreign connections, such as offshore accounts, foreign stock holdings, etc.

They want to make sure no one’s making a dime they can’t get their ransom on. FATCA requires foreign financial institutions (FFI) of broad scope — banks, stock brokers, hedge funds, pension funds, insurance companies, trusts — to report directly to the IRS aall clients' accounts owned by U.S. Citizens and U.S. persons (Green Card holders).

Starting July 1, FATCA will require FFIs to provide annual reports to the Internal Revenue Service (IRS) on the name and address of each U.S. client, as well as the largest account balance in the year and total debits and credits of any account owned by a U.S. person. If an institution does not comply, the U.S. will impose a 30% withholding tax on all its transactions concerning U.S. securities, including the proceeds of sale of securities.

In addition, FATCA requires any foreign company not listed on a stock exchange or any foreign partnership which has 10% U.S. ownership to report to the IRS the names and tax I.D. number (TIN) of any U.S. owner.

FATCA also requires U.S. citizens and green card holders who have foreign financial assets in excess of $50,000 (higher for those who are bona-fide residents abroad) to complete a new Form 8938 to be filed with the 1040 tax return, but this has been in effect since 2011.

Okay, so why the utter doom and gloom sales pitch about this act collapsing the dollar, and forcing us all to eat bugs in the front yard? Well, the underlying theme is actually correct. It WILL accelerate the move OUT of US dollars that I’ve been showing you all for two years now. I’ve been telling you of the “global reset” for more than two years as a new global reserve is going to replace the dollar. Many think FATCA will be the straw that snaps the camels back.

All the articles I’ve penned about the Chinese wanting out of the US dollar, how they are forming alliances with dozens of countries to use Native currencies and bypass the dollar, etc, are all real, and YES…FATCA will push even more countries that have been sitting on the fence to say “the hell with this US regulation stuff, we’re not dealing with all this”

Multiple reports have suggested that small and medium-sized firms, unable to bear the compliance costs or the crippling withholding taxes, would be especially likely to ditch American markets. "On the institutional side, the cost of becoming FATCA compliant may be prohibitive for some foreign institutions, and therefore they will divest from their American holdings," explained Douglas Goldstein, author of The Expatriate's Guide to Handling Money and Taxes and director of Profile Investment Services Ltd. Indeed, compliance costs borne by the private sector are expected to dwarf the amount of additional U.S. tax revenue — perhaps by hundreds of times.

Okay, so now you know what the hype is all about. The question is, do we all come to a grinding halt on July 1? No, we don’t. This bill was crafted in 2010 folks, and it has been postpone/delayed a couple times. Nations, and institutions have had years to work the system, and decide if they’re going to play ball or go home. So, most of them are “ready” for this nightmare. But there’s no doubt that some of the fence sitters, when finally faced with “doing” the work, instead of just planning for it, are going to toss in the towel.

I think that the biggest “problem” isn’t going to be chasing down Ex-pats for their income taxes, those numbers won’t be significant enough to make a major difference. Where things could go bump in the night, is that it very well might push more foreign investors to completely shun our markets. In other words, why buy US stocks, if Uncle Sam is going to butt in on every transaction? They can instead buy emerging markets, BRICS markets, and not have to have us breathing down their neck.

It is moves like this bill, that proves to you all that the US is in the final stages of a long drawn out collapse. When nations do stupid things as ours has since the early 70’s, they run up debts they can’t pay. Before they toss in the towel and give up and let everything crash, they first go on a witch hunt for every penny they can scrape up to keep the illusion alive. We’re in that stage now.

Just like I mentioned in Sunday’s letter, the elites don’t pick up the phone and tell you what they’re doing. You have to be a forensic economist and put the pieces of the puzzle together to see the big picture. This act is simply another, albeit a very large…piece of the puzzle.

On Sunday I showed you the Deutsche report on bringing the Chinese yuan to the “world stage”. I also showed you the groundbreaking EurAsian pact that Russia is forming, as dozens of nations shun the West, for the economic stability of the East. Add up the times that the foreign nations have said that they’re tired of the US dollar hegemony, and toss in the gold that China, India, Russia and others are amassing and you can easily see the big picture emerge. The US is a desperate old gal, who wants to keep her façade of strength and superiority, but it’s all just make up. Everyone knows it except her own citizens, who are kept in the dark by the main stream media.

I think it also bears mention that our Government continues to militarize itself inside our borders. Years ago we made serious mention of the billions of rounds of ammunition that the Dept of Homeland defense was amassing. Then I showed you all the armored vehicles that have been populating cities and towns across the Country. Just a couple weeks ago the Dept of Agriculture started submitting for bid applications to acquire Submachine guns, Body armor, ballistic vests, etc. I don’t think you have to be a paranoid conspiracy freak to want to know just what on earth the Dept of Agriculture needs with a bid for .40 caliber “full auto” tactical weapons capable of holding 30 or more rounds???

The explanation for billions of rounds of hollow point orders and all this military style armament is that it is for training purposes, etc, but let’s be realistic. I pump more rounds out of my guns than just about anyone you’ll ever meet….yet I don’t use hollow points for my target shooting. I’m supposed to believe that this is all for training purposes? I’m supposed to believe that towns having tanks and half tracks, is all about better policing? I don’t think so. It’s just another part of the big picture. As the dollar continues to be shunned and collapse, as the Emerging markets join at the hip and create trade zones that exclude the US… we’re going to break down both economically and socially. They see it coming and they’re arming for the day.

UrbanMan's Comment: Hollow points for training ammunition? Yes. Most agencies practice and qualify with the same duty ammunition. I believe the LARGE governmental ammunition purchases were because of new EPA lead restrictions would necessarily drive up ammunition prices and drastically effect ammunition availability for the civilian population. That's your clue to stock more ammunition while you can find it, AND afford it.

Just Tuesday we learned that the Russians and the Chinese have created a joint “Ratings agency” for investments. They’re tired of the old boy network of Moody’s and S&P. They’re tired of having them place ratings on things based on political pressure versus fundamental economics. So, they will discard the ratings agencies, just like they’re discarding our dollars. But sometimes you have to pay attention to see just how pervasive this move “East” is becoming. Sometimes it isn’t broadcast in big headlines for all to see. For instance in April the Saudi’s held a very public parade, and what was rolling down the street? Chinese made missiles. Not US made. Many wouldn’t notice and others wouldn’t care. But that was a very public “thumbing of the nose” to the US by the Saud’s.

No, the world doesn’t stop on July 1. No, the dollar doesn’t collapse in a heap. No, we don’t have martial law in every town. No, the lights don’t go out. None of the doom and gloom you’ve been warned of is going to happen on July 1. It is however ALL going to happen. It just won’t happen then. It comes in fits and starts, a little at a time. The dollar has been in a slow motion collapse for years. The economy has been sinking for years. This will continue until the day they “pull the plug” on it. When is that? No one knows.

But the one thing I do know is that a date won’t be broadcast. It won’t come because of a bill that’s going to go into effect. No, when the collapse hits, or the reset or what ever you wish to call it, it will come out of the blue, probably on a Sunday night/Early Monday morning, with NO warning. So, don’t sweat July 1 folks. That’s just noise. You can however sweat all the things that point to the fact that all the evils are indeed going to hit at some point. Okay? Good.

UrbanMan's Comment: Perhaps Rinear's most significant point is that "the date of the monetary or dollar collapse WON'T be broadcast. It'll come without warning." Get prepared for it as it coming. It would sit you well to have some silver and maybe some gold bullion on hand as well. Think about it.

The Insight to Prepare for the Collapse

We received this letter from Phil the other day: "A friend of mine recently started prepping after a number of telephone chats with me examining the economic climate here in Canada and in the US. We talked about bug outs vs bug ins, food storage water storage/filtration, the whole 9yds. Up to this point he hadn't really been more than mildly concerned about things, he is retired and on a tight budget. After I directed him to your site and the Survival Blog site he started doing his own research on the possibility of a collapse or just really hard times. He now has acquired firearms, ammo, reloading equipment and is getting long term foods, medicine and first aid gear and all this on a tight budget!

While I must admit that I have created "a Monster" it is good to see that a rational and logical man reading on his own can come to the same conclusions about possible future outcomes. Sometimes one can get wrapped up in the doom and gloom side of prepping and loose sight of the reality, that is, be prepared to the best of your ability to get through any hard times that may be coming down the pike. It's not about being ready for TEOTWAWKI, it about being ready for all of the lesser evils that may occur as well. The other lesson I take from this is that it's never too late to start your preps and spend within your means. I hope this finds you well. "

Hey Phil, I would be interested in knowing what prompted your friend to start prepping. Was it all the signs of an economic collapse? Was it the possibility of EMP type or other terrorist attack and the resulting chaos or at least governmental martial law? Maybe just a slow slide into devastating inflation? I think many people start prepping just to be more self sufficient - they don't want to rely on other people or institutions such as the government for their safety and indeed, their very lives. Anyway, no matter. If any country is going to come out of a collapse, it'll need self responsible, capable people to survive.

There are MANY "survive the collapse" sites on the internet that provide much more and more complete information than I do. Among these sites are the following (please pass them to your friend):

http://urbansurvivalsite.com

http://www.secretsofsurvvial.com

http://survivethecomingcollapse.com

http://theeconomiccollapseblog.com

http://www.shtfplan.com

http://www.survival-homestead.com

http://survivalblog.com

Additionally, there are several books he probably should read to get an idea on how a devastating collapse may ocur and the problems in the aftermath:

The Going Home, Surviving Home, Escaping Home, and soon to be released Forsaking Home series by A. American.

One Second After by William Forstchen

Lights Out, by David Crawford

and of course, Patriots by James Wesley Rawles

You mentioned creating a monster. I did too with Jim who's survival preps I have reported on. Jim is now slowed down on prepping but that's okay as he rapidly set himself with stored food, silver and to a lesser extent gold bullion, and firearms/stored ammunition. He has also procured necessary survival gear as well. But I think where Jim has backslide is that his Survival Plan has been overcome by the events of his employment. He travels extensively which places him at risk of being way too far away from his assets and being able to implement a Bug In then Bug Out plan. I have talked to him about curtailing his traveling when the conditions make a collapse imminent, however some conditions we just won't see - like a nuclear attack or terrorist conducted EMP type attack. An attack on the banking system, cutting off money and therefore food to the population masses would be another catalyst we just probably won't see coming.

Another point of yours, and one I have made often, is that prepping is possible on a budget. It starts with buying extra food for your pantry to extend what people call the three day pantry. If you look close enough you'll find those deals.

Procuring suitable firearms and stocking ammunition, maybe some silver bullion, long range food supplies and some gear is obviously more costly. I've always been a proponent of the first rule of a gun fight and that is having a gun. While some people think that if you don't have a high end M4 or clone and can't dress to look like a Navy SEAL then you are basically dicked when it comes to survival. I think you can adequately cover security and protection otherwise. In fact, you may have to when you just don't have the funds for high end weaponry. If I only had a 12 gauge shotgun and a handgun (with suitable ammunition stocks), then I would most likely be filling other holes like food, water storage, precious metals, seed bank, etc., before I went back to modernize firearms.

Anyway Phil, thanks for writing. Thanks for helping others to prep.

Social Breakdown - Societal Collapse

This is an article by Bob Rinear, titled "Social Breakdown", published in the International Forecaster. Rinear is rapidly becoming a favorite of mine and while this article is long, it is a good read,...even with my comments. So keep reading. I'll think you'll see how it pertains to not only the "whys" of the collapse but the threats that will be released during the economic collapse which will in turn collapse society as we know it.

Social Breakdown

Maybe I just didn’t pay attention to it when I was in high school, but we didn’t seem to need diversity training, and endless classes telling us how we’re supposed to view other people. I don’t remember grief counselors when one of our classmates jumped off the roof and killed himself. I know for a fact we didn’t have all this racial tension and “fat shaming” and all the rest of the 2014 Social bugaboos that we have now. The word “intolerant” was unheard of.

My personal social policies taken in today’s atmosphere; probably lands me in the column of being some form of a terrorist. I really don’t care if you don’t like black people. I don’t much care if you don’t like white Scottish Newsletter writers. I don’t care if you think I’m fat. I don’t care if you want to live in a neighborhood of like minded and like colored people.

But today, considering that the social engineers have been pushing for a homogenous, one size, one thought, one color fits all…if you have the slightest difference from what they consider the “norm” you’re a racist, homophobe, hater, terrorist. Thus they have to make the biggest shows out of someone that doesn’t toe their line. Chew a pop tart into the shape of a gun?? You’re expelled and placed under Psych care. Don’t approve of gay marriage? You’re forced out of your job, your name in the paper as a hater who gives money to anti gay groups. Say in private that you don’t like your girlfriend bringing black people to basketball games, and you’re headline news…24/7…and forced out of your position.

Hey, lets talk. Let’s cut the crap for a few minutes and as they say in the “hood” lets keep it real. People are “fulla crap”. The same preacher that on Sunday morning screams of you burning in hell for being gay, just happens to get busted for child porn. That upright political candidate that kisses babies and shakes your hand gets busted for tax evasion, larceny, insider trading. That woman leading the “family power” workshop, gets caught cheating with her spa manager. On and on it goes. Hypocrites. Liars. Cheats. Nasty people. Bullies. Criminals. You can dress it up like a Thanksgiving Turkey, smother it in gravy to hide it, but it’s still there. All the classes, all the political correctness, all the “goody-goody” talk is a cover up for the rot that continues to fester below the surface.

So what brings up this little rant today? Well, as you might guess I am not impressed by the untold millions that walk around all day with their face planted in their phones. They’re all so busy texting and “apping” and being so techno cool that they have become true social idiots. No one talks to each other any more. If you go to a local pub, half the youngsters are all sitting at a table that is dead quiet as they’re buried in their phones. And one of those “aps” has been making a real mess of things. Enter Yik-yak.

Yik Yak is a smart phone application that lets anyone post anything they want in message form, and here’s the cinch…there’s NO identification. You don’t need a user name or anything else. You are completely anonymous. Well as you can imagine, when it swept through a High school recently, the REAL feelings of people were everywhere to be seen. People being called fat, people called sluts, people called the dreaded “n” word. (yawn) people called worthless, hope they were dead, who gives good sex, who’s a loser, yada yada yada. Yep, a bunch of our sweet little environmentally aware, non hater, upright diversity trained, precious children just “going off”. They had the freedom to say what they really feel because there’s no way to trace them. And “say” they certainly did.

This is reality. This is how people really are. When given the chance to go off with no ramifications, a huge percentage do. What does that tell us? It tells us that just about everyone has opinions that differ. It tells us that all this sensitivity training is a patch for a deeper underlying problem. And just what is that problem anyway? Or better yet, is it a problem? If it is, where did it come from? Could it be all this social engineering we’ve been exposed to is actually backfiring? You bet it could…because it is.

Stick with me here folks. I understand that I’m wandering off into a bit of pshyco babble on you. But there’s a point, you’ll see. I just want to set the stage here. There has always been “haters”. There’s always been homophobes, nasty people, opinionated bigots, cheaters, liars, whores, pimps, fat people, Rich jerks, nerds, rednecks, the whole gambit. So why are things “worse” now in 2014 after all these years of good-goody social engineering, than in 1970 when one of the most popular shows was “all in the family” with “Archie Bunker?” A show like that today would land the producer in jail. In 1970 it was something to laugh at. Expose our differences, see how goofy they were, try and mend some of them and move on. But today, no. Today you can’t talk about it. You can’t humor it out. You can’t just leave it alone and let it hide. Nope, you have to drag everyone into it. Force it. And the results? Escalating madness. Lack of civility. Rudeness. But most of all… violence. All the icky stuff bubbles to the surface.

As you might know, I’m involved in a company that trains folks for their concealed carry permits. We also offer a wide range of self defense classes on proper use of firearms for self protection. From the person that’s never held a weapon before, to tactical response SWAT training, we teach it all. And, just what do we see? As you can imagine, we hear a lot of stories. When we ask folks why they are interested in obtaining a permit to carry a concealed weapon, it is rarely just about “being robbed” like it was many years ago. Now the big concern is “violence”. Too many people have seen too many instances of wicked violence that endangered them or their loved ones. They’re scared and rightfully so.

Road rage. The “knockout game”. The tough guy looking for a fight. The rape attempts. Car Jackings. Random shootings. The list is endless. For all the social engineering to make us a big happy family, the fact is we are creating more violent people than we ever did. That in itself is more than enough reason for you and your loved one’s to be trained on proper firearm use.

But you’ve all waited long enough for “the point” to this whole article. That point is that violence is escalating despite all the social engineering to make us all “happy”, and this is with the economy still functioning. What happens when things really get tough? Last week in Chicago 44 people were shot. However the EBT cards were still functioning. What happens if they didn’t? If we can see the levels of evil we are seeing when things are still “working” so to speak, what unspeakable evils will we see during a melt down?

Last week in the IF there was a wonderful article about the amount of ammunition that Uncle Sam has been buying. Every Federal agency, right down to the post office has been buying hundreds of thousands if not millions of rounds of very lethal ammo. Why is this? I have always believed as the author has, that they feel there could be serious societal breakdowns when the wheels come off our fake economy and they’re stocking up for the eventual shoot outs that very well will occur. I think they know that the economy is doomed, the currency situation is doomed and when it fails, if things don’t go well on the work around, all manner of hell is going to break loose. They’re buying up these billions of rounds of ammo…to shoot US citizens if society breaks down. Read that over a few times to get the full effect. It isn’t pretty.

I don’t say this stuff to scare you, that certainly isn’t my goal. I say this stuff to wake you up. Shake you up a bit. When some lunatic high on bath salts drags you out of your car and starts trying to eat your flesh as happened in Miami last year, it seems other worldly, like that is just too bizarre! So, it makes the news. It makes the late night comedy circuit. But the road rage guy that drags your son out of his car and beats him into a coma because he pulled out in front of him, ( as happened here in Sarasota) is quickly stifled. Why? Because unfortunately things like that are the norm today. They don’t want that on the news. The other thing they don’t want to tell you, is that base line fact that the head of the NRA stated after the Sandy Hook situation. The only way to stop a bad guy with a gun is a good guy with a gun. But I think it is more than that. The only way to stop some cracked up lunatic with a tire iron, is indeed a gun. The only way to stop the rapist with a knife is a gun. The only way to stop the home invasion is…with a gun.

Look across the pond folks. Don’t just watch a few news clips, go on line and watch some real video’s from people that live in Ukraine. Mobs cutting off a mans leg, burning people alive, beating someone to death with a metal bar. It can’t happen here right? That’s what you want to believe, what we all hope. But look at the yik-yak posts. Look at our inner city violence. Look at the hostility. We are not immune. We’re one banking holiday away from the same thing. We’re one failure of the EBT system from the same thing.

Look folks, here’s the bottom line. I’m not talking about acting like Rambo with a knife in your teeth swinging through trees on a vine, with a 50 caliber strapped to your back. That isn’t my goal. But I do want you to be able to defend yourself and your loved ones. It starts with home protection, then a carry permit if you live in a state where that’s possible. Then onto some advanced training on how to properly use that tool. Even if we never see the true melt down that I do think is ultimately coming, just this incredibly violent society we live in dictates that you really should be proficient at personal protection.

I’m going to expand on this theme for Sunday. I don’t care if you’re the most gun hating pacifist that ever was… please read it. If just one of the things I happen to mention helps you or your spouse survive a bad time, I’ve hit the proverbial home run. A few years back, just after the Colorado Incident I ran a few articles about weapons and self defense training. It inspired quite a few people to write in and tell me they had finally “done what they wanted to do but never got around to….” And that was great. They went out, bought their first weapon, went to a good range and got some safety training and target training. Bravo! Congrats! One couple; Beverly and Dan, actually got so into the shooting sport they’ve become members of a target team in Texas. Pretty amazing, considering neither had previously fired a weapon in their lives.

While I love the shooting sports, whether target, clays, timed, etc…what is most important for me to express to all of you is the personal safety and defense side of things. What good does it do, to amass a small fortune in the markets or in business, only to have your life shattered by violence? So, we’ll be stressing the protection side of the equation. I think you’ll find it interesting.

UrbanMan Comments: I recently had an experience like Bob mentioned above. I worked with a older, married couple, 72 and 66 years old, respectively. Not your average senior citizen. They participate in walks, hikes and swimming, and appeared to be in good shape and health, but neither one had shot a gun more than twice in their life.   They asked me to help select a couple guns for them.  I picked out a S&W M&P in 9x19, a used Taurus .38 Spl revolver, and a 12 gauge Savage-Stevens pump shotgun. Before I get hate mail on these selections - this couple are on social security and a little savings. Back on point,....I gave them three separate 3 hour blocks of instruction at the range, culminating using cover and fighting as a two person team. I started them on a .22 LR Ruger Mark II to work out the fundamentals then they shot their new gun purchases.  Over three days they each shot all the firearms expending over 600 rounds of 9mm, 200 rounds of 38 Spl and 50 rounds of mixed Buckshot and Slug. I have since been told that they plan on buying a .22 LR rifle, stocking more ammunition and shooting more rifles at a local gun club to see what center fire rifle may work for them. They also adopted a mixed breed, medium sized dog for security purposes and are also planning on stocking pantry food,....just in case.  What drove them to this point in the evening of their lives?   Well, that would have to be fear and concern over what is likely to happen to this country in the near future.  Even if a collapse isn't likely, it is certainly possible.   

Americans Fleeing to the Cities?

Wait a minute,...you're heading in the wrong direction!! This is an article from the Daily Ticker, by Nicole Goodkind. That discusses the economy based reasons why the trend of the population fleeing the cities is now reversing. Those same factors are making a coming economic collapse likely in the next couple of years if not sooner. If you click on the link above you should still be able to watch the short video associated with this article.

I understand that having a means of support,..e.g.. a job, is necessary to live most places, however moving into a high rise apartment or condo in a city places you at much greater risk when the collapse, from whatever angle, hits this country. I would make every effort to secure the safest lodging even if it meant a commute from there to your place of work. The safest off site or out of city lodging while still having a job within the city should include determining and staying off the likely refugee routes. And this out of city lodging while you work therein, should be considered a temporary rally point. A Bug Out plan to a secure location is still required. This makes the stockage of supplies and materials problematic.

Not that staying in the suburbs is safe. As it is not. The only common advantage to living in the burbs is perhaps having just a little more time to make a decision, like to execute a controlled and planned Bug Out,....but we're not talking a week or even days, it may just be a 24 hour advantage. Anyway, without further rant, this is the article. At least the reader can understand the economic issues forcing moves back to the city and these economic factors are what is helping drive the U.S. train to collapseville.

Americans Fleeing to the Cities?

The American dream: a white picket fence and a patch of grass to call your own. In 2002 President Bush declared “owning a home lies at the heart of the American dream,” and wanted, "everybody in America to own their own home.” Twelve years and a housing crisis later, it seems as though that’s no longer the case: Americans are packing up and booking it to the city.

“The American dream is fundamentally about opportunity,” says Vishaan Chakrabarti, director of the Center for Urban Real Estate at Columbia University. “It’s not so much where you live but whether you can do better than your parents and grandparents and a lot of young people today are finding those opportunities in cities. The data are very clear, we’ve seen an enormous migration to every urban area in the country.”

The nation's urban population increased by 12.1% between 2000 and 2010. According to the Census, urban areas accounted for 83% of the U.S. population in 2012. And The Brookings Institute notes that "among the 51 metropolitan areas with more than one million residents, 24 saw their cities grow faster than their suburbs from 2011 to 2012-- that was true of just 8 metro areas from 2000 to 2010."

Single-family homebuilding is at its lowest rate in decades, as only 600,000 single-family homes were built in 2013, down from 1.7 million in 2005. The purchasing of single-family homes is also down 13.3% year-over-year. High-rise apartment buildings now make up 40% of all new construction and metro areas are growing more quickly than the U.S. as a whole. According to The Nielsen Group 62% of millennials would prefer to live in urban centers.

And it’s not just millennials; baby boomers are also leaving their suburban homes for apartments with much less square footage. So why this exodus from the suburbs?

People want to closer access to health care facilities and culture, says Chakrabarti. Gas prices are a factor too.

“Most people have been hit really hard by this last recession and are worried about mortgage debt and auto debt, so this is a pocketbook issue at a significant level,” says Chakrabarti.

The tightening of purse strings is a prevailing issue but there’s more to reurbanization.

“If you look at the millennials they grew up with Hurricane Katrina, Deep-water Horizon, a lot of things that were around the environment—it’s a socially conscientious generation and they are interested in driving less and walking more,” Chakrabarti explains.

There’s also a social aspect to living in a city that people in the suburbs tend to lack. “People like the amount of diversity they find in cities," Chakrabarti notes.

According to Chakrabarti, it’s the perfect storm of economic, social and environmental issues that are driving the suburbs into extinction.