Lukey
Senator
In the real world, an examination of labor force participation rates when jobs are plentiful suggests the actual rate of unemployment is just over 20 percent and that the US economy's $20tr capacity is only producing $16tr of goods and services.
Only the most naive analyst or investor would be heartened by the news that the US has added 200,000 jobs in December. Historically, and to this day, the month of December is the traditional time for temporary full time hires to meet the needs of the holiday season. Every one knows this, except it seems, a handful of naive politicians and journalists. Experienced Investors understand - they did not respond to the announcement by rushing out to buy stocks to participate in the "recovery."
To the contrary, 200,000 new jobs in December is below the usual increase for the holiday season. It means the number of permanent jobs in the economy continued to fall and that the economy is continuing to recede further and further below its capacity to produce.
Moreover, almost 200,000 jobs need to be created each month to take up new arrivals to the labor force. Taken at its most optimistic that all 200,000 of the new jobs are actually permanent, it means there is no recovery.
Only the most naive analyst or investor would be heartened by the news that the US has added 200,000 jobs in December. Historically, and to this day, the month of December is the traditional time for temporary full time hires to meet the needs of the holiday season. Every one knows this, except it seems, a handful of naive politicians and journalists. Experienced Investors understand - they did not respond to the announcement by rushing out to buy stocks to participate in the "recovery."
To the contrary, 200,000 new jobs in December is below the usual increase for the holiday season. It means the number of permanent jobs in the economy continued to fall and that the economy is continuing to recede further and further below its capacity to produce.
Moreover, almost 200,000 jobs need to be created each month to take up new arrivals to the labor force. Taken at its most optimistic that all 200,000 of the new jobs are actually permanent, it means there is no recovery.
