Job Market Recovery Led By Low-Wage jobs

Discussion in 'Economy' started by Nova78, Jul 18, 2012.

  1. Nova78
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    Nova78 Silver Member

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    Job Market Recovery Led By Low-Wage Sectors

    The job market these days is sort of like that old Catskills joke: The food is terrible, and the portions are so small.

    The jobs are lousy, and there aren't enough of them.

    More than half of all the jobs created during the past six months have been in low-paying industries such as retail and temporary help, Joseph Brusuelas, senior economist at Bloomberg LP, noted on Thursday.

    That helps explain why wage growth hasn't kept up with inflation, despite the economy having created 1.2 million jobs in the past six months.

    "Those low-wage paying jobs are not translating into better spending," Brusuelas said in an interview with The Huffington Post.

    Obamas plan , destroy the middle class ...its working
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    $1180156_f496.jpg
     
  2. iamwhatiseem
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    iamwhatiseem Gold Member

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    And the spending people are doing is basics...food, clothing etc.
    And when they do buy something more - it is usually a foreign made product which doesn't translate to jobs that well either.
     
  3. Sallow
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    Sallow The Big Bad Wolf. Supporting Member

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    And what?

    This began 4 years ago?

    :lol:
     
  4. iamwhatiseem
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    iamwhatiseem Gold Member

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    No...it began...I would say about 1982...so 30 years ago.
    But what you have to remember America was making up for it's lack of wages by "debt as income" lifestyles.
    Post 1990 economy was very much dependent on consumer debt spending...by 2005 non-essential spending was 67% credit purchasing.
    Today - insane debt spending is not happening...so the economy has no base to build a solid economy.
    The above is known as "hole in the bucket" recovery.
     
  5. Sallow
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    Sallow The Big Bad Wolf. Supporting Member

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    Yeah..it all as to do with "credit" and nothing to do with the erosion of the power of labor to negoticate with management.

    Flat wages for increased productivity is normal..and working as intended.
     
  6. iamwhatiseem
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    iamwhatiseem Gold Member

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    You will get no argument from me on concentration of wealth and the corporation takeover of America. That is not capitalism, that is plutocracy. You have all of these boneheads out there talking about how low prices is never a bad thing - that is just plain ignorant. As with anything, there is a need for moderation on a good thing. A consumer system which is based on "lowest possible price" is the best recipe there is for wage stagnation, cheap labor and inferior quality...as well as "the erosion of the power of labor to negoticate with management."
    Such as it is.
     
    Last edited: Jul 18, 2012
  7. hortysir
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    hortysir In Memorial of 47

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    I see it first hand
    :(
     
  8. Widdekind
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    Widdekind Member

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    Compared to a year ago,
    • wages (W) have increased +2%
    • prices (P) have increased +3%
    So, the purchasing power, of 'real wages' (W/P), has decreased, by about 1% -- a penny per dollar. Complaining about pennies on dollars, during a "Great Recession", is not legitimate.
    Lower prices always spur higher sales. The same is true for labor. Lower-priced labor (lower wage jobs) will always be more abundant, than higher wage jobs. Inexpertly, the creation of more lower wage jobs, and fewer higher wage jobs, is not surprising, either.
     
  9. Mad Scientist
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    Mad Scientist Deplorable Gold Supporting Member Supporting Member

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    Is Burger King an Assembly or Manufacturing job?
     

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