Thursday, September 08, 2016

Are Elite and Bureaucrats Covering Up Our Sick Economy?

"Democrats enable incompetence because they are beholden to public-sector unions that expect their members to get paid whether or not they do the job."

Peter Thiel, PayPal founder

Tyler Durden, a pseudonym used by anonymous “Zero Hedge” financial industry analysts, mixes facts and opinion while writing about what’s wrong with today’s U.S. economic stats:
If we were in the midst of an expanding economy why would 41.6% of African Americans and 36% of Hispanics be receiving means-tested benefits each month?
The most blatant attempt by the ruling class to subvert the truth regarding our ongoing depression is the despicably absurd propaganda churned out by the government apparatchiks at the Bureau of Labor Statistics. With a working age population of 253.9 million people and only 151.6 million of them employed (27 million part-time, 15 million self-employed, 7 million working multiple jobs and worst of all 22 million government workers), the BLS has the gall to report only a 4.9% unemployment rate. There are 102.3 million working age Americans not working, but only 7.8 million of them are unemployed according to the highly educated establishment lackeys at the BLS. The other 94.5 million non-working Americans must be frolicking in the surf, sipping margaritas and counting the millions they’ve made in the rigged Wall Street casino.
Would the labor participation rate and employment to population ratio be hovering at levels last seen in 1978 if the jobs market was booming? And don’t blame it on Baby Boomers retiring. With 28% of people over 55 years old with no retirement savings and the median retirement savings of those 55 to 61 years old of $17,000, few Boomers can afford to retire on $12,000 of Social Security per year. The percentage of those over 55 years old working is at an all-time high, while the percentage of men 25 to 54 (prime working years) working is at an all-time low. Since 2007 the country has added 5.6 million mostly low paying service jobs, while 15.7 million Americans have supposedly left the labor force of their own free will, and the unemployment rate is virtually the same. Only an Ivy League educated economist or highly paid CNBC pundit would believe such malarkey.
[I]f you want the true unemployment rate you must adjust the government figures for the misinformation which began in 1994. Long-term discouraged workers were defined out of official existence in 1994. If you stop looking for a job because there are no jobs available, the BLS pretends you no longer exist and you are dropped from their unemployment calculations. John Williams at Shadowstats rightfully adds these discouraged workers, who are willing to work, back into the calculation and surprise, surprise, the real unemployment rate in this country has been between 18% and 23% for the last seven years (see graph below). Those rates are identical to the worst years of the Great Depression.

Comment: Real unemployment "between 18% and 23%" for 7 years.  Wow.

Government workers are like the media; they are woven into America’s progressive elite. Here, from conservative commentator Glenn Harlan Reynolds, in USA Today:
the civil service, though supposedly professional and nonpartisan, has become a Democratic Party monoculture. Federal employees overwhelmingly vote for Democrats, donate to Democrats, and, by all appearances, cover for Democrats as a routine part of doing their job.

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