Today’s post is a guest article by Money & Markets owner, Martin Weiss. These events will have huge impacts on senior’s savings, investments and the value of the dollar over the coming weeks and months.

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Three Shocking Events by Martin Weiss

With each passing day, new shocking events drive us closer to the next phase of this debt crisis.

EVENT #1: In New York, where the city is facing a $2.4 billion budget deficit, it’s getting nasty.

Mayor Bloomberg has called for cancelling holiday bonuses for police and firefighters — and the unions are mad as hell.

In fact, just this past week, the presidents of the two unions vowed to fight Bloomberg’s budget-cutting plan tooth and nail, accusing the Mayor of spreading false information in an attempt to steal their members’ money.

At their press conference on the cuts, the union heads used the words “liar,” “lie” and “lying” at least 23 times when referring to the mayor.

EVENT #2: A few miles away in New Jersey, the state is reeling from last week’s Standard & Poor’s’ bond downgrade.

The S&P cited the fact that the state’s pension system has $54 billion LESS than it needs to meet future obligations. But now, the lowered credit rating makes a bad situation worse by forcing New Jersey to pay higher interest rates to borrow money.

At a public forum in Union City last Wednesday, Governor Chris Christie said the Democrats, who control the Legislature, had compared him to Chicken Little. “The sky,” he said, citing S&P’s downgrade, “started to fall in today.”

EVENT #3: In Washington DC, Congress and the White House are once again proving their gross incompetence when it comes to dealing with the crisis:

First, the new Republican Speaker of the House — Representative John Boehner — called for budget cuts of $100 billion.

Then, Republicans slashed that target to about $50 billion even before they won the House.

Now, the Republicans are attempting to cut the budget by a mere $32 billion.

But it’s clear that even that paltry figure — an amount equal to just two one-hundredths (.02 percent) of the $1.5 trillion projected deficit for 2011 — can’t be passed because of opposition from the Democrats in the Senate and the White House.

Make no mistake: This nationwide meltdown of government debt is now inevitable. If our leaders have proven anything, it’s that they are still unwilling and unable to take the government debt crisis seriously.

As a result, a massive implosion of debt at all levels of government — from the smallest townships and counties, to many of our largest counties and states, and even to the federal government itself — is rushing towards us like a runaway freight train.

When it hits in the weeks and months ahead, it will crush the bond market and drive interest rates through the roof.

Our mission is to make sure you’re prepared. More than that: Our duty is to give you the investment recommendations you need to protect your portfolio and your retirement — and to actually grow your wealth even while millions of investors lose theirs.

So be sure to stay safe and pay close attention to our issues in the days ahead.

Good luck and God bless!

Martin

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Note – The situation in event #3 has changed since Martin penned this a few days ago.  The Republicans in Congress have agreed to a $60 cut in the current budget year. But it is unlikely the Democrats led Senate will go along with those cuts.

This investment news is brought to you by Money and Markets. Money and Markets is a free daily investment newsletter from Martin D. Weiss and Weiss Research analysts offering the latest investing news and financial insights for the stock market, including tips and advice on investing in gold, energy and oil. Dr. Weiss is a leader in the fields of investing, interest rates, financial safety and economic forecasting. To view archives or subscribe, visit http://www.moneyandmarkets.com.

The American Seniors Association (ASA) was started in 2005 as an alternative to AARP. Although AARP bills itself as a non-partisan organization, they have become more and more political over the years causing many members to shy away from the organization. Another complaint was that AARP was essentially becoming a big insurance company and the profits from those activities changed their perspective from helping members to helping themselves.  This gave rise to an organization with a different mission.

Here is the ASA Mission Statement

The American Seniors Association’s mission is to provide seniors with the choices, information, and services they need to live healthier, wealthier lives.

Our members’ dignity and security matter most to us, and that’s why thousands of Americans every year turn to the American Seniors Association for the help they need.

We offer our members better choices to help with:

• Medicare
• Insurance
• Prescription Discounts
• Travel Services
• Auto Club
• Information on Where to Find the Facts

We are driven by a uniquely American philosophy that starts with the understanding that government doesn’t tax and regulate “things.” It taxes and regulates “people.” Individuals like you and me. That’s why we treat every member as an individual, with a different story and different priorities, freely united as individuals to provide each other with better values in the services we want and need.

ASA has been running a program this year where AARP members can send in their AARP card when they join and receive their second year of membership free. So far this offer has resulted in hundreds of thousands of torn AARP cards arriving at their offices. ASA membership costs $15 per year.  Click here to learn more about ASA.

Here is a great article from The Boston Globe online paper. It talks about inventive ways that cash-strapped seniors are using to remain in their homes during tough times.