Markets, Business, and the Economy – Page 2

Well, isn’t this interesting

In California, one out of every ten workers is here illegally. Most of them have lived here for years and live with an American citizen.

Yesterday’s protests seeking an actual living wage for fast food workers resulted in arrests — and remember, if you eat lunch at these places you need to be served by an adult rather than a kid who will someday get a “real job”.

Meanwhile, normal citizens are pressured by low wages, competition from workers here illegally, and are further oppressed by a criminal “justice” system that is pretty much out of control.

The “powers that be” better tread lightly.

In Closing: Driving “American” might mean buying a “Japanese” car; I bet when they say “diversity” they aren’t really including the ~1 in 5 American women for whom “petite” pants drag the ground; Nudies and the NSA.

Joe Average and the Economy

The bad news is that hourly wages have declined. Look at the first chart, and you’ll notice that’s even true for the top quintile! In other words, ThinkProgress is soft-selling the fact that most of us — on average — are making less per hour in favor of pointing out that those at the very bottom have it worst.

So then, how can CNN turn around and tell us that wages are up? Two things. First, they mean that median income is up, which can be explained away by more people working and people working longer hours. Second, even they admit that “the gains are not spread evenly“.

So the Very Intelligent People are wringing their hands over the fact that none of us seem to have much savings, and don’t we know we will retire one day, the fact is that for many average people, these savings tips are a cruel joke. Ha, put aside 10-13% for retirement, and reduce your debt (heh), and “Don’t make emotional purchases”? Emotional purchases like what, replacing the dead transmission in the car so you can get to work? Maybe if we just teach the middle and lower class how to manage their money better somehow they can magically make all their bills less.

When one in seven people are at the food bank, they don’t have anything to put aside at the regular bank for a rainy day; it’s already pouring.

In Closing: support staff; No Fly; bulldozer improvements; grittier than Melissa Gilbert’s portrayal; and no, this will not do what it advertises. There is no such thing as a master list of sexual predators; there is only a list of people who have convictions for certain crimes involving genitals. Ways to be put on this list include having a significant other who is underage (even if they lie about it), peeing in the wrong location, or happening to be naked in one’s own home. Schools that use this system will wonder why parents aren’t lining up and spending $20 for a background check and the honor of being allowed to chaperone a field trip or shelve library books.

Federal Judge Rules that Banks Must Follow the Law

More specifically, a Federal judge has ruled that MERS tried to circumvent state law, costing counties millions of dollars in lost recording fees, compromising public records, and confusing consumers. Needless to say, executives form MERS disagree with the judge’s interpretation of state law.

This ruling could cost MERS millions of dollars — billions if other jurisdictions are included. Since I have always felt that the entire purpose of the corporation was to get around the law, I hope they get what legal penalties they have coming to them.

In Closing: Yeah yeah I’ll keep posting NSA links as long as there are links to post (bonus anti-terror link!); tax reform; maybe it’s because nobody can afford overpriced organizing stuff; that does sound a little unfair; it turns out that Medicaid is better than nothing– for hospitals!; a couple diet, exercise, and obesity items; about nothing, “not that there’s anything wrong with that”; and “take our puppet, please!”

Oh, make up your mind already!

Oh no! The Millennials can’t afford to buy houses!

Oh yeah! The Millennials will soon be buying houses!

Oh wait! It turns out that when we say the Millennials are living at home with their parents, we meant they were living in dorms!

Oh heck! The unemployment rate among Millennials is 40% — and that’s people who are actually looking for jobs (rather than going to school and living in the dorms)! I guess cancel that house-buying boom.

Meanwhile, despite AP propaganda telling us how wonderful the economy is, we have millions of people who need some form of government aid (sure, Fox News, blame the people instead of the reality they live in) and a big problem in how our “great” economy is paying for itself. The disconnect between the economy as seen from the top and as seen from anyplace up can be seen in this graph, meant to demonstrate the difference between “average” and “median” net worth. I guess that’s how we ended up with a couple millionaires arguing about which one is poorer.

I wonder how long we can keep going like this.

In Closing: your regular shot of NSA and privacy related stories; speaking of guys I’m surprised are still alive, Ahmed Chalabi; a modern sin; not sure what I think of this; and how the Dow works.

Yay?

So, another jobs report came out today. Now, remember that economists believe it takes 150-200k new jobs gained each month to keep up with new people entering the workforce. Obviously that’s an average, and also obviously June is one of those months that a disproportionate number of people get out of school and start looking for jobs. Keep that in the back of your head, even though it’s not going to get mentioned elsewhere.

In June, the United States added 288,000 jobs, roughly 10% of which were government jobs. Unemployment is down to a mere 6.1% nationally. And there’s more good news hidden behind the headline: average manufacturing workweek is above 40 hours, so theoretically factories need more workers now; long term unemployed is down to [a still depressing] ~3,100,000.

Of course there’s bad news hidden too: average workweek overall was 34.5 hours; wages aren’t up; when you include the underemployed and discouraged workers, unemployment looks more like 12.1%. Think about that: just under of 1 in 8 workers is either working part time when they want full time work, or has given up on finding work at all!

As a guy with more expertise than me summarized, it’s “meh.” Or perhaps you prefer the more technical “yawn.”

Nevertheless, Wall Street went WHEEEEE! on anticipation that the Fed might actually raise interest rates.

Oh, and it turns out that the states with the most job growth are the ones with those “job killing” higher minimum wages.

In Closing: Oh yeah, get those sweet sweet NSA and spying on Americans and the world links here; free science books; birth control Supreme Court Hobby Lobby ruling follow up links; problem solved!; media points out what many of us have been saying for years; apparently I’m the only one surprised that Maliki is alive and actually in charge of anything; when a red cross blanket on a gym floor is soooo much better than home [insert sad face here]; for pity sake, use seat belts and make sure the kids buckle up too; and then they wonder why the locals are pissed at them.

Another Month, Another Jobs Report

Good news everyone!

Employment is at an all time high. There’s 217,000 more jobs than last month, and we finally have more people working than at the start of the Great Recession.

Ok, now for why that isn’t really very good news at all. Good jobs went away only to be replaced by crappy ones with low wages and low/no benefits. This is double true if you happen to be a man. And the number of people who are not in the labor market but now want a job is up 292,000 this month (for the math impaired, 292,000 is greater than 217,000). And we still have businessmen arguing with a straight face that it would be bad for business to pay sick workers to stay home 3 days a year rather than have them come to work and share their illness with coworkers and customers.

No wonder the majority of Americans think that the “American Dream” is out of reach.

In Closing: Got a whole heaping helping of random NSA, Snowden, privacy, secrecy, spying, terrorism, and related links; people hate the cable company, love cute kittens, film at 11; a couple of gun links; turns out the stoner was actually drunk, but that doesn’t make for a good pot-is-bad story; breakin the law; careful what you post on Facebook; eggs; for a movement that calls itself “men’s rights“, they spend a lot of time worrying about women (yeah, pretty sad that’s Cracked pointing it out too); young adult literature; and social media.

I bet I know how some jobs could be created….

More than half the nation’s public schools need to be repaired, renovated or modernized, a survey released Thursday found.

Getting these schools in good condition would cost about $197 billion….

Since to the best of my knowledge there’s no Renovation Fairy who can complete a project by waving a magic hammer, that work would have to be done by people. And since all those schools are here in the United States, there’s no outsourcing this to a foreign country with cheap labor. As a bonus, it might result in schools with fewer structural safety issues and better learning environments.

And when they’re done with that project, maybe they can do something about the 78,000 bridges that need a total of $3,000,000,000,000 in repairs.

Seems to me we can keep some construction workers busy for the foreseeable future.

In Closing: your dose of Snowden, NSA, privacy, CIA, and assorted related news; I guess Billie Jean was his lover, and the kid really is his son; sex work; and Vegas, baby.

More thoughts on Minimum Wage

Many arguments against raising the minimum wage — and indeed, against helping those in low wage jobs — does boil down to victim blaming. That is, “it is the fault of the person making low wages that they make low wages and it is on them to do something about it.” Never mind the fact that as long as we want to be able to buy a fast food lunch, some adult has to make it and sell it to us (oh look, another reason that “minimum wage is not just for kids”, kids should be in school at lunchtime) and that adult deserves to be able to pay his/her bills.

Even the President is calling for a hike in the minimum wage and a “better tax deal for working families” (of course he’s talking out both sides of his mouth). All those petition sites might just be getting some traction.

Nah, that would imply that we live in a democracy where elected officials actually care about voter opinion.

Look, there’s no way around the fact that posting is going to be light this week due to an unusually large number of exams. In return, please accept some amusing comics and other imagery.

In Closing: A few diet links; Elvis House.

A little reasoning

This post may seem a little dry, but bear with me.

Let’s start with a basic premise: There are millions of square feet of retail, office, and light industrial space in this nation, and it all requires cleaning on a regular basis. I think everybody sane should be able to agree on this point.
For practical reasons, most of this space needs to be cleaned when it is not in use. That usually means somebody needs to clean it at night, after closing.
I can think of several very good reasons this work should be done by adults. First — remember that the cleaning is being done after business hours — the cleaning staff needs to be someone that can be trusted with keys. Second, adults have more experience cleaning things in a safe manner. Third, if we really think education is important, young people should be studying and sleeping so they can do good work in school (add the implied “you don’t want to be working as a janitor when you’re 50, do you kid?”). These are just a few reasons off the top of my head; give me a while and I am confident I can come up with more.
I reject the idea that the minimum wage “is for kids who are going to work their way up to a better job” based on the reasoning above. In fact, the original law mandating the existence of a minimum wage said the idea was to create a “minimum standard of living necessary for health, efficiency and general well-being, without substantially curtailing employment”.
Adults who work full time jobs deserve a wage that allows them to pay their bills. Ok, the cleaning staff maybe don’t need to drive Ferraris, but they do deserve to be able to pay the rent, the power bill, and still have money for groceries. I don’t see how anybody can say with a straight face that an executive who sits behind a desk all day works harder than the guy who spends the night cleaning the office toilets.
Someone working 40 hours a week, 52 weeks a year at minimum wage earns $15,080 annually. Do the math yourself if you like. That’s no vacations, no getting sick, actually getting scheduled 40 hours every week, and no getting stiffed on hours (I can hear the laughter). The poverty line for a family of two is $15,730. That’s an average across the lower 48; obviously $15,730 is not going to go as far in some areas.

I think it’s fairly obvious that I support raising the minimum wage. You’ve heard news reports over the last few days about how the CBO report on this proposal offers conflicting opinions. It turns out that some of that reporting may be misunderstood. I’m not an economist, but I do know that when people who have a hard time paying the bills, they spend money. And I also know that consumer spending is a major factor in our economy. More people with more money buying spending more money means more demand, and that is a good thing right now. As a bonus, more wages means more taxes collected — including Social Security contributions. Seeing that certain people in Congress are still clutching their pearls about how there’s not enough money in the Federal coffers, that has to be a good thing too.

A special announcement: I have been asked to share a little information with you. If you’ve ever thought that medical coding and billing might be a great new career for you, you should really check out this site and their free ebook.

In Closing: Wheeee, let’s have some fun NSA, NSA, and NSA links to start off (you know, if they had come clean in the first place, we might not still be talking about it months later); flood zone; rich people problems; political reality set in; be careful buying a used car but not for the reason you think; engineering marvel; and the Bobcats.

But the CEO might not be able to afford a second Bentley!

You’re going to have a hard time convincing me that raising wages a few dollars an hour is going to result in massive inflation in an environment where every fast food joint I can think of is highly profitable and introducing new low-price options on a regular basis. On the other hand, I can see where raising wages a few dollars an hour might relieve strain on the safety net and result in increased spending in general, which will in turn raise GDP without the government having to perform voodoo rituals on the actual economic data or gasp spend money.

That is all.

In Closing: There’s always more room for NSA, spying, privacy, and general stupidity links (go on and sign that ACLU petition like I did this morning); I hope nobody thinks this is good for the flying public; if only the anti-vax morons were the ones reaping the folly of their actions instead of their children and communities; kill it; interesting notion; not buying it; stupid breeder tricks; right on, Dave; and pet tigers turn out to be a bad idea.