Explaining Yesterday's Seasonally Adjusted Nonfarm Payroll "Beat"
http://www.zerohedge.com/news/explaining-yesterdays-seasonally-adjusted-nonfarm-payroll-beat?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29
TruthInSunshine
TruthInSunshine's picture
Anyone who doesn't understand that is worse than 1979 through 1983 - WAY worse, is comatose.
Back then, an energy/oil crisis shocked the economy that was already reeling from high interest rates and inflation, and produced a cyclical downturn.
The plants/factories weren't relocated offshore, however, and the jobs were not automated, and when Volcker came in and broke the back of inflation by raising interest rates even higher, people and businesses regained their confidence and the displaced workers went right back to work at their old jobs (with higher pay).
The 12 million jobs lost in the last decade are never coming back, and once the FIRE economy that has corresponded with the crack up credit/debt leveraging cycle that is the primary reason the U.S. saw nominal GDP growth for the last 30 years fully breaks (and that process is already underway thanks to the tsunami of deleveraging that's also underway), the true extent of the structural damage to the American (and many other developed nations) economy will be all too evident to even the formerly comatose sheep.
As far as blame is concerned, Wall Street had a huge hand in bringing these problems about, as they purchased the political leadership of the U.S. (hello Barney Frank, Newt Gingrich, Bush, Obama, Cantor, Pelosi, et al), but they were far from the only force doing damage - unions, government bloat, welfare state mentality, a sense of privilege and divine entitlement, mortgage brokers and real estate gone wild, sell side anal-cysts in the financial sector, and instant gratification, loan devouring consumers all contributed.
Deep Capture, unchecked greed, a lack of leadership acting in the national best interest and cultural rot (Jerry Springer, Dancing with the Stars, iAnything, Jersey Shore, Real Housewives, epicly bad schools and parenting, Big Brother SNAP card dependence), and a ravenous, resource sucking Military-Industrial-Financial Complex fed by Crony Capitalism has firmly set this nation on a collision course with the mountain side.
For anyone wondering what the future course will look like, look to the past, and SSDD is the answer, which means debasement of living standards which serves as centrifugal force to reinforce all the above-mentioned problems besetting this (and other) developed nations - here are 2 simple charts that showsthe gameplan (gee, I wonder what the government and esteemed Federal Reserve will do to 'fix' things?):
http://4.bp.blogspot.com/-nrPYyjgVL4M/TjJC5QI_YYI/AAAAAAAAAmo/dOWtVTiPtx...
https://lh4.googleusercontent.com/-wHrUTYZRMUE/TX7M_RQo9LI/AAAAAAAAAog/Cw6dTKgWHB4/alfredgraph.png
http://theprospectiveinvestor.com/featured/competitive-currency-devaluation-part-1-the-feeding-frenzy/
Realist - Everybody in America is soft, and hates conflict. The cure for this, both in politics and social life, is the same -- hardihood. Give them raw truth.
| 