Lex Luz

Massive Government and Private Sector Job Cuts Coming

When the automobile came along, a whole lot of farriers (people who shoe horses) went out of business, and those farrier jobs never came back. Oddly enough the world did not end, the sun rose in the east and set in the west, and perhaps even more oddly the world's economies continued to grow, with intermittent periods of contraction.

Mish is right that many of the financial engineering jobs created over the past decade are gone, and frankly, good riddance to them. He's also right in my view that we're headed for a pretty tough road aheahd, and we'll face a period of contraction. It seems we don't share the following view, though: the world is not ending, tomorrow the sun will rise in the east and set in the west, and the world's economies will continue to grow after this period of contraction. Yes, a lot of people are going to lose their jobs. They'll figure out something else to do. A few might kill themselves. The earth will continue to spin on its axis.