Why economic recovery is lagging--Posner

[NYcarbineer]

The recovery is weak because we are no longer a jobs economy. All of the other lame excuses that are being tossed around are conditions that have existed at one time or another, some or all, during other recoveries and they didn't stop us from getting back to low unemployment and good growth -

complaints about labor, taxes, 'uncertainty', blah blah blah, you think those complaints are new?

They're not.

The difference is, and it's a difference that's been growing for years and years now, China (and the rest of the world) wasn't making everything before, we had countless industries here that required large workforces, we had all sorts of job creating businesses associated with those industries...

So much of that is gone now and there's nothing comparable to make up the difference.

It's the new reality.

 

[uscitizen]

Interesting how those experts did not mention global wage competition?
Offshoring of jobs?

I think they are more politicians than economic experts or they would mention ALL the causes.

 

[ShackledNation]

The recovery is weak because we are no longer a jobs economy. All of the other lame excuses that are being tossed around are conditions that have existed at one time or another, some or all, during other recoveries and they didn't stop us from getting back to low unemployment and good growth -

complaints about labor, taxes, 'uncertainty', blah blah blah, you think those complaints are new?

They're not.

The difference is, and it's a difference that's been growing for years and years now, China (and the rest of the world) wasn't making everything before, we had countless industries here that required large workforces, we had all sorts of job creating businesses associated with those industries...

So much of that is gone now and there's nothing comparable to make up the difference.

It's the new reality.

And none of those complaints have been addressed, which is why it is getting worse. You are under the false impression that the free market is a zero sum game. China is not stealing our jobs. We still have industries that require large workforces. The reason we are not getting back to good growth is because the Federal Reserve's inflationary monetary policy has been stretched too far, and it can't artificially stimulate the economy. Obama's stimulus, like FDRs, only serves to prolong the recession, just as FDR prolonged the depression.

It is easy to say "China is growing, so we must be declining." That is not how it works.

 

[8537]

I think he meant the Senior Secured Creditors

The ones that took a 10% haircut? How big would that haircut have been if GM disappeared? And why should the government be in the business of bailing out bondholders?

Geez, proving that ignorance is no bar to posting here.
Chrysler bonholders got 27 cents on the dollar.

Senior secured creditors? Eh, no - of course not.

The secured creditors are just that, secured.

No, they are just higher up the ladder. No investment is risk free.

 

[8537]

Yes--he sure did. Unbelievable--I had forgotten about that. Rip off investors--and bond holders--to buy the union vote.

Rip off investors?! Are you referring to equity holders?

Stock holders and bond holders, dipstick.

Please explain how equity holders got ripped off. And try to do it without namecalling, for the first time .

 

[The Rabbi]

Interesting how those experts did not mention global wage competition?
Offshoring of jobs?

I think they are more politicians than economic experts or they would mention ALL the causes.

There was off shoring of jobs in the Bush years and UE was no more than 6%, typically much less.
The US is also a net importer of jobs from elsewhere, a fact I have mentioned dozens of times.

No, the Democrats' economic policies are the issue here. Not anything else.

 

[Soggy in NOLA]

Or, yet another way to say it....Companies have pocketed their record profits since early 2010, and don't hire, slash benefits, overwork existing employees, and blame it on the black guy in office. Largest liquid assets in history and they can't hire? You people ARE sheeple. Yeah, it's the President's fault. Wake up, children. You've been had.

They're stashing their assets because they have no idea what the Dick-in-Chief is going to do next, to try and lay his grubby Marxist mitts on them.

And that race card dog don't hunt anymore, dickweed....As though it ever did in the first place.

Riiiight. keep drinking the kochjuice, asshole.

What the hell did your parents do to you?

 

[uscitizen]

The recovery is weak because we are no longer a jobs economy. All of the other lame excuses that are being tossed around are conditions that have existed at one time or another, some or all, during other recoveries and they didn't stop us from getting back to low unemployment and good growth -

complaints about labor, taxes, 'uncertainty', blah blah blah, you think those complaints are new?

They're not.

The difference is, and it's a difference that's been growing for years and years now, China (and the rest of the world) wasn't making everything before, we had countless industries here that required large workforces, we had all sorts of job creating businesses associated with those industries...

So much of that is gone now and there's nothing comparable to make up the difference.

It's the new reality.

And none of those complaints have been addressed, which is why it is getting worse. You are under the false impression that the free market is a zero sum game. China is not stealing our jobs. We still have industries that require large workforces. The reason we are not getting back to good growth is because the Federal Reserve's inflationary monetary policy has been stretched too far, and it can't artificially stimulate the economy. Obama's stimulus, like FDRs, only serves to prolong the recession, just as FDR prolonged the depression.

It is easy to say "China is growing, so we must be declining." That is not how it works.

Ohh yeah? Go to any of the large retail chains and look at what they are selling and where it is made.
The wages our industries pay is dropping becuase of global wage competition.

 

[uscitizen]

Interesting how those experts did not mention global wage competition?
Offshoring of jobs?

I think they are more politicians than economic experts or they would mention ALL the causes.

There was off shoring of jobs in the Bush years and UE was no more than 6%, typically much less.
The US is also a net importer of jobs from elsewhere, a fact I have mentioned dozens of times.

No, the Democrats' economic policies are the issue here. Not anything else.

Can you elaborate on that net importer of jobs from elsewhere statement?
Are you referring to the foreign companies locating here to bypass import restrictions and get sweetheart deals on tax breaks and land and such?

 

[The Rabbi]

The recovery is weak because we are no longer a jobs economy. All of the other lame excuses that are being tossed around are conditions that have existed at one time or another, some or all, during other recoveries and they didn't stop us from getting back to low unemployment and good growth -

complaints about labor, taxes, 'uncertainty', blah blah blah, you think those complaints are new?

They're not.

The difference is, and it's a difference that's been growing for years and years now, China (and the rest of the world) wasn't making everything before, we had countless industries here that required large workforces, we had all sorts of job creating businesses associated with those industries...

So much of that is gone now and there's nothing comparable to make up the difference.

It's the new reality.

And none of those complaints have been addressed, which is why it is getting worse. You are under the false impression that the free market is a zero sum game. China is not stealing our jobs. We still have industries that require large workforces. The reason we are not getting back to good growth is because the Federal Reserve's inflationary monetary policy has been stretched too far, and it can't artificially stimulate the economy. Obama's stimulus, like FDRs, only serves to prolong the recession, just as FDR prolonged the depression.

It is easy to say "China is growing, so we must be declining." That is not how it works.

Ohh yeah? Go to any of the large retail chains and look at what they are selling and where it is made.
The wages our industries pay is dropping becuase of global wage competition.

No, actually they aren't.
But don't let facts confuse you.

 

[Soggy in NOLA]

The recovery is weak because we are no longer a jobs economy. All of the other lame excuses that are being tossed around are conditions that have existed at one time or another, some or all, during other recoveries and they didn't stop us from getting back to low unemployment and good growth -

complaints about labor, taxes, 'uncertainty', blah blah blah, you think those complaints are new?

They're not.

The difference is, and it's a difference that's been growing for years and years now, China (and the rest of the world) wasn't making everything before, we had countless industries here that required large workforces, we had all sorts of job creating businesses associated with those industries...

So much of that is gone now and there's nothing comparable to make up the difference.

It's the new reality.

And none of those complaints have been addressed, which is why it is getting worse. You are under the false impression that the free market is a zero sum game. China is not stealing our jobs. We still have industries that require large workforces. The reason we are not getting back to good growth is because the Federal Reserve's inflationary monetary policy has been stretched too far, and it can't artificially stimulate the economy. Obama's stimulus, like FDRs, only serves to prolong the recession, just as FDR prolonged the depression.

It is easy to say "China is growing, so we must be declining." That is not how it works.

Ohh yeah? Go to any of the large retail chains and look at what they are selling and where it is made.
The wages our industries pay is dropping becuase of global wage competition.

Hate to say it, but I know very few people who shop for the most expensive items they can find. You want cheap, ok, cheap comes because some schmuck in Indonesia is willing to work for dirt. You want $300 12" TV's? Make them here in a union shop.

 

[The Rabbi]

Interesting how those experts did not mention global wage competition?
Offshoring of jobs?

I think they are more politicians than economic experts or they would mention ALL the causes.

There was off shoring of jobs in the Bush years and UE was no more than 6%, typically much less.
The US is also a net importer of jobs from elsewhere, a fact I have mentioned dozens of times.

No, the Democrats' economic policies are the issue here. Not anything else.

Can you elaborate on that net importer of jobs from elsewhere statement?

Other countries with high wage rates face the same issue we do. So they send manufacturing to the US where they have an educated workforce for lower wages.
Mercedes, VW, Nissan, BMW just to name a few built factories here.

 

[hellofromwarsaw]

I'm sure the cash hoarding has NOTHING to do with half the pub voters believing Obama is a Muslim Kenyan Marxist....Shoot Murdoch!!

 

[Soggy in NOLA]

I'm sure the cash hoarding has NOTHING to do with half the pub voters believing Obama is a Muslim Kenyan Marxist....Shoot Murdoch!!

Jesus... go take a fucking Xanbar, shit, take three.

 

[ShackledNation]

There was off shoring of jobs in the Bush years and UE was no more than 6%, typically much less.
The US is also a net importer of jobs from elsewhere, a fact I have mentioned dozens of times.

No, the Democrats' economic policies are the issue here. Not anything else.

Can you elaborate on that net importer of jobs from elsewhere statement?

Other countries with high wage rates face the same issue we do. So they send manufacturing to the US where they have an educated workforce for lower wages.
Mercedes, VW, Nissan, BMW just to name a few built factories here.

To add to that, jobs insourced to the US are actually higher paying jobs than US jobs. Even countries like India outsource jobs to the US. Because of the balance of payment, our trade deficit must be accompanied bay a capital account surplus. That means investment in the US from foreign countries will be more than investment from the US to other countries. Outsourcing is a form of foreign direct investment. And foreign countries outsource more jobs to the US in total than we outsource to them.

Thanks to outsourcing, there are more jobs in the US than before.

 

[The Rabbi]

I'm sure the cash hoarding has NOTHING to do with half the pub voters believing Obama is a Muslim Kenyan Marxist....Shoot Murdoch!!

Jesus... go take a fucking Xanbar, shit, take three.

I think you and I ought to take a trip to the user CP to put the Polish joke there on Iggy.

 

[Soggy in NOLA]

I'm sure the cash hoarding has NOTHING to do with half the pub voters believing Obama is a Muslim Kenyan Marxist....Shoot Murdoch!!

Jesus... go take a fucking Xanbar, shit, take three.

I think you and I ought to take a trip to the user CP to put the Polish joke there on Iggy.

I'm damn near there. That guy freaks me out... I mean I'm ok with snarky, but that's just nuts. And he's serious.

 

[uscitizen]

And none of those complaints have been addressed, which is why it is getting worse. You are under the false impression that the free market is a zero sum game. China is not stealing our jobs. We still have industries that require large workforces. The reason we are not getting back to good growth is because the Federal Reserve's inflationary monetary policy has been stretched too far, and it can't artificially stimulate the economy. Obama's stimulus, like FDRs, only serves to prolong the recession, just as FDR prolonged the depression.

It is easy to say "China is growing, so we must be declining." That is not how it works.

Ohh yeah? Go to any of the large retail chains and look at what they are selling and where it is made.
The wages our industries pay is dropping becuase of global wage competition.

Hate to say it, but I know very few people who shop for the most expensive items they can find. You want cheap, ok, cheap comes because some schmuck in Indonesia is willing to work for dirt. You want $300 12" TV's? Make them here in a union shop.

You are on the right track now just think on it a bit further and the impact that has on the USA.

 

[The Rabbi]

Ohh yeah? Go to any of the large retail chains and look at what they are selling and where it is made.
The wages our industries pay is dropping becuase of global wage competition.

Hate to say it, but I know very few people who shop for the most expensive items they can find. You want cheap, ok, cheap comes because some schmuck in Indonesia is willing to work for dirt. You want $300 12" TV's? Make them here in a union shop.

You are on the right track now just think on it a bit further and the impact that has on the USA.

Lower consumer prices? Better quality goods?
Tell us.

 

[8537]

Thanks to outsourcing, there are more jobs in the US than before.

Thank you, thank you, thank you.