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"What we've observed in the employment figures is not recovery, but desperation," writes John...

  • Monday, April 9, 2012, 7:09 AM ET
    "What we've observed in the employment figures is not recovery, but desperation," writes John Hussman. Of the 1.84M gain in payrolls since the recession's "end," 2.96M jobs have gone to workers 55+, while employment for those under 55 has shrunk by 1.12M. By shorting savers of interest income and promoting repeated booms/busts - but no durable returns - "the Fed has successfully provoked job growth of the obligatory, low-wage variety."
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This news story has 15 comments:

  •  
    Well it's early but my eyes are glazing over.

    But heh, we have a free market in ideas so why not wander over the edge. A lot to be said for a little early morning humor.
    9 Apr 2012, 07:17 AM Reply Like
  •  
    Yep things always look the darkest before dawn, or my cup is half full, or Obama will save us.

    I am very unhappy with what I know is coming.
    9 Apr 2012, 07:21 AM Reply Like
  •  
    Bernanke: Man of the century/history? for printing $godzillian
    usdebtclock.org
    9 Apr 2012, 07:29 AM Reply Like
  •  
    It's worse than that, Mr. Hussman. And getting worse all the time despite what the faerie tale headline rate might say.

    http://tinyurl.com/ccf...
    9 Apr 2012, 07:46 AM Reply Like
  •  
    Wow, David, 88 million NOT in the labor force. That's a rough quarter of the people in this country. I appreciate Mr. Hussman's simple and cogent method for explaining things. I have started to forward his weekly article to friends and family, because I think it's important for people to get a sense of what's really going on.

    Reading the rest of the article makes you wonder about what the Fed's motives are. I know they don't have anything to do with helping out main street.
    9 Apr 2012, 12:15 PM Reply Like
  •  
    I'm one of the 88mil not in the labor force and happy to be there. There are many of us who are able to get by with less and enjoy what is left of our short lives without pursuing another lousy job. I'm sorry for those who are without the salary to pay for basic needs. Many have to compromise and take a major pay cut just to pay the rent. We're in a transition period that will leave several million without a job for the rest of their lives if they are not willing to take what the job market offers. There is a brighter future but it will come too late for many of us.
    9 Apr 2012, 08:04 AM Reply Like
  •  
    That explains why I see so many more seniors bagging groceries at the local Publix markets - the "golden years".

    Man what a tragedy. Read that excerpt above again - these are the casualties of the war on savers.

    Another interesting excerpt:

    "Beginning first with Alan Greenspan, and then with Ben Bernanke, the Fed has increasingly pursued policies of suppressing interest rates, even driving real interest rates to negative levels after inflation. Combine this with the bursting of two Fed-enabled (if not Fed-induced) bubbles - one in stocks and one in housing, and the over-55 cohort has suffered an assault on its financial security: a difficult trifecta that includes the loss of interest income, the loss of portfolio value, and the loss of home equity. All of these have combined to provoke a delay in retirement plans and a need for these individuals to re-enter the labor force.

    In short, what we've observed in the employment figures is not recovery, but desperation."
    9 Apr 2012, 09:28 AM Reply Like
  •  
    And the biggest employers are - Walmart, MacDonaldsand Burger King. This worked for a while when the logic of living in a fools paradise ruled and you could buy a 300k house while earning minimun wage or having no job at all but those times are over. These carpet baggers have screwed savers and investors for a long time and now this traditional back bone of the ecomony is fed up and not willing to play the game any more!!!!
    9 Apr 2012, 12:25 PM Reply Like
  •  
    Greenspan was the big easy money disaster. Bernanke is just trying to put Humpty Dumpty together again.
    9 Apr 2012, 12:28 PM Reply Like
  •  
    The bubble that QEs is causing should be credited to Bennie. Nonetheless, Greenspan has his own accolades for messing with the market.
    10 Apr 2012, 03:03 AM Reply Like
  •  
    keeping a strong dollar this summer can help temporarily to reduce oil/commodity prices: this is as good as summer is, and probably will end with before the turkey, good timing for all!
    9 Apr 2012, 01:43 PM Reply Like
  •  
    A sickening employment stat. I saw it first hand at Disney when a gentleman who looked to be 75 or so asked me to fill out a survey in 90+ degree weather. Disgraceful for the Country.
    9 Apr 2012, 03:20 PM Reply Like
  •  
    it is actually a positive developement to see more jobs in the older group - this is good news. social policy to extend the working life is an important consideration. one other way to do this is to reduce taxes on the elderly - let them pay half or zero rates age 65.

    E
    9 Apr 2012, 03:39 PM Reply Like
  •  
    Econdoc.....now I think you have come up with a fantastic idea. Age index the tax rates. After 65 they continue to reduce and reduce each year so by the age of 80, you are not paying any federal income taxes. I think that's great! I nominate you for the Nobel Prize in Economics.

    BTW- you have 3 years to get that passed before I turne 65.
    9 Apr 2012, 03:45 PM Reply Like
  •  
    couple it with extending the SS retirement age - we need better smarter ways to extend working life - especially as the population ages
    9 Apr 2012, 04:42 PM Reply Like
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