Mission accomplished: Permanently higher DISemployment
Having sucked their first host, the American people, dry, the banksters throw away the husk. Gregor MacDonald breaks down the employment figures:
Today’s horrid jobs report contained some shock value in the sense that it missed expectations. But the novelty of a 39K print misses the larger point that, for a large population like the US, even a print of 100K or 125K would still be very bad news. The US needs to create at least 150K jobs per month just to soak up population growth. Meanwhile, we now have a tranche of 15 million out of work people.
And another way of saying this: DISemployment is UNemployment that's been made structural through conscious policy choice. How do we know it's a choice?
Because a Jobs Guarantee, which would solve both DISemployment and our economy's problem with aggregate demand, is "off the table." That's the decision our thoroughly bipartisan policy elites made, in Versailles, and it's fully supported by the Obama administration.
There is in fact a very small recovery taking place in the US economy that centers mostly on exports, and can be found in the shipping routes of the country, whether that’s the St. Lawrence Seaway or our myriad rail lines that take goods to seaports. I wrote about this two weeks ago in StockTwits Macro Weekly, in a piece called: The Slows. Essentially, a handful of Americans are going back to work in our surging export industries, but, they are doing so at much lower pay. In addition, while the US is indeed a large exporter of goods–our overall exports are only a small part of the economy that we were building the last 25 years. Yes, the one based instead on financialization, credit and consumption.
A large system like the US economy, with its rolling claims on the future in the form of debt and entitlements, needs to be moving forward at a minimum rate of speed. Otherwise, the system is essentially running backwards. The current level of job “growth”–which should really be referred to as “churn”–does not meet the minimum, required threshold that the US system demands. A
Yeppers. Which is exactly "the economy" (whose economy?) that Obama made stronger than ever, on behalf of his "savvy businessman" owners.
NOTE The bright spot, and it is bright, is the creativity that is surely going on in the "off the radar" economy. Doesn't get covered, off course. That party is just beginning.