fbpx

labor

Simple (economic) Math

By |2017-05-26T16:03:23-04:00May 26th, 2017|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

The essence of capitalism is not strictly capital. In the modern sense, the word capital has taken on other meanings, often where money is given as a substitute for it. When speaking about things like “hot money”, for instance, you wouldn’t normally correct someone referencing it in terms of “capital flows.” Someone that “commits capital” to a project is missing [...]

Just Not Down As Much

By |2017-05-10T16:31:37-04:00May 10th, 2017|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

It is one of those things that will never be stated outright, nor does there exist the kind of unassailable proof that would convict in any legal sense. Regardless, monetary officials here and elsewhere are clearly trying to have it both ways. They know very well what is driving inflation rates upward of late, and it isn’t monetary policy success. [...]

Defining Labor Economics

By |2017-04-25T18:02:34-04:00April 25th, 2017|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

Economics is a pretty simple framework of understanding, at least in the small “e” sense. The big problem with Economics, capital “E”, is that the study is dedicated to other things beyond the economy. In the 21st century, it has become almost exclusive to those extraneous errands. It has morphed into a discipline dedicated to statistical regression of what relates [...]

The Foggy Exit

By |2017-04-19T13:11:12-04:00April 19th, 2017|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

The aging of the Baby Boomers is not something that caught economists completely by surprise. That generation has been the subject of (academic) study going back to the surge in birth rates right after World War II. In economic terms, the challenges presented by the prospective retirement years for this cohort has been anticipated to some degree all along, particularly [...]

Ending The Fed’s Drug Problem

By |2017-03-30T18:07:07-04:00March 30th, 2017|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

Gross Domestic Product was revised slightly higher for Q4 2016, which is to say it wasn’t meaningfully different. At 2.05842%, real GDP projects output growing for one quarter close to its projected potential, a less than desirable result. It is fashionable of late to discuss 2% or 2.1% as if these are good numbers consistent with a healthy economy. This [...]

Signs

By |2017-03-16T16:35:47-04:00March 16th, 2017|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

Janet Yellen was sworn in as Chairman of the Federal Reserve Board of Governors on February 3, 2014. One of her first acts as Chairman was to participate in the National Interagency Community Reinvestment Conference held in March that year in Chicago. She addressed her audience in a speech specifically directed at the labor market. As was usual in 2014, [...]

Even The Academic Math of This Economy Is Pointing To The Unfortunate Existence of The Long Run Consequences

By |2016-08-29T18:13:29-04:00August 29th, 2016|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

One of the articles referenced in Janet Yellen’s Jackson Hole speech last week was a piece written for the Peterson Institute for International Economics by Senior Fellow Olivier Blanchard. Dr. Blanchard has, as noted earlier today, all the “right” credentials, which is why his conjecture gets included into the speeches of Federal Reserve Chairmen. Having taught at both Harvard and [...]

Statistics of Depression

By |2016-08-02T18:00:05-04:00August 2nd, 2016|Economy, Federal Reserve/Monetary Policy, Markets|

The Personal Savings Rate is a rather important economic indication. Because it is derived from the difference between income and spending, it can tell us a great deal about the state of the economy from the consumer perspective. Unfortunately, nobody can say with any degree of confidence what the savings rate is right now, or even what it has been [...]

Payrolls Were Loud This Month, As Last

By |2016-07-08T13:06:57-04:00July 8th, 2016|Bonds, Currencies, Economy, Federal Reserve/Monetary Policy, Markets, Stocks|

As it currently stands in the headline BLS figures, the Establishment Survey greatly rebounded to + 287k from a downward revised +11k in May. There is this month, just as last month, too much emphasis on the monthly payroll figure as it is more often than not noise. We can only hope the drastic extremes of the past two months [...]

Always More

By |2016-06-21T17:33:19-04:00June 21st, 2016|Economy, Federal Reserve/Monetary Policy, Markets|

For decades the slander against Herbert Hoover went unchallenged. He was branded a “do nothing” in the 1932 campaign, a charge which looks sillier the more time passes. The proper slander of Hoover is that he was Roosevelt before FDR was, only in miniature. From this view we can appreciate the intentional change in perspective; Hoover’s interventions failed to stop [...]

Go to Top