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Job gains present economic 'puzzle'

By StoutFiles   Follow   Mon, 26 Mar 2012, 7:58am   1,725 views   20 comments
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http://money.cnn.com/2012/03/26/news/economy/bernanke-federal-reserve/index.htm?hpt=hp_t1

"Bernanke called those figures a 'puzzle.' For the unemployment rate to fall that significantly, the economy should have been growing much more quickly. "

Hey Bernanke! People are taking jobs at a much lower pay because their unemployment finally ran out! People aren't spending as much money as before fearing another recession! How much does this guy make to be so easily puzzled?

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1. rootvg Follow Befriend (8) 1 threads 792 comments Danville, CA Premium

   1   9:16am Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   Protected   Fearing another recession? We HAVE to have one. You can't get to a growth economy from where we are right now.

2. bubblesitter Follow Befriend (5) 10 threads 2,329 comments

   2   9:19am Mon 26 Mar 2012   Share   Quote   Permalink   Like (1)   Dislike   StoutFiles says Hey Bernanke! People are taking jobs at a much lower pay because their unemployment finally ran out! People aren't spending as much money as before fearing another recession! How much does this guy make to be so easily puzzled? Isn't it amazing that this guy is in charge at Fed? In old days of monarchy a King used to disguise and merge among common people to find out what is happening at the lower level.

3. rootvg Follow Befriend (8) 1 threads 792 comments Danville, CA Premium

   3   9:32am Mon 26 Mar 2012   Share   Quote   Permalink   Like (1)   Dislike   Protected   bubblesitter says StoutFiles says Hey Bernanke! People are taking jobs at a much lower pay because their unemployment finally ran out! People aren't spending as much money as before fearing another recession! How much does this guy make to be so easily puzzled? Isn't it amazing that this guy is in charge at Fed? In old days of monarchy a King used to disguise and merge among common people to find out what is happening at the lower level. He's not going to be there much longer. Romney will replace him, odds on favorite right now is this guy: http://www.hoover.org/fellows/10298 http://www.stanford.edu/~johntayl He also has a blog: http://www.johnbtaylorsblog.blogspot.com If the signals I'm seeing are correct, we ARE going back to the right.

4. gary275 Follow Befriend 1 threads 17 comments

   4   9:33am Mon 26 Mar 2012   Share   Quote   Permalink   Like (1)   Dislike   "By 1933, the height of the Depression, unemployment had risen from 3% to 25% of the nation’s workforce. Wages for those who still had jobs fell 42%. GDP was cut in half, from $103 to $55 billion. This was partly because of deflation, where prices fell 10% per year. Panicked government leaders passed the Smoot-Hawley tariffs to protect domestic industries and jobs. As a result, world trade plummeted 65% as measured in dollars and 25% in total number of units."

5. FortWayne Follow Befriend (13) 102 threads 3,764 comments

   5   9:41am Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   Maybe they are lying about real unemployment rates, or maybe they simply don't understand how economy works. Neither option is good

6. gary275 Follow Befriend 1 threads 17 comments

   6   9:47am Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   It was German loans in 1929 and in 2009 its chinese loans. Things seldom change. My question is what do you do to prepare yourself ?

7. Bigsby Follow Befriend 2,826 comments Monterey, CA

   7   10:08am Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   rootvg says He's not going to be there much longer. Romney will replace him, odds on favorite right now is this guy: http://www.hoover.org/fellows/10298 http://www.stanford.edu/~johntayl He also has a blog: http://www.johnbtaylorsblog.blogspot.com If the signals I'm seeing are correct, we ARE going back to the right. You never left it. Anyway, I take your Romney prediction as a sign that Obama is a dead cert for reelection.

8. zzyzzx Follow Befriend (9) 414 threads 4,133 comments Baltimore, MD

   8   10:50am Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   StoutFiles says Hey Bernanke! People are taking jobs at a much lower pay because their unemployment finally ran out! People aren't spending as much money as before fearing another recession! How much does this guy make to be so easily puzzled? Berneke is just as stupid as portrayed here:

9. uomo_senza_nome Follow Befriend (13) 787 threads 1,542 comments

   9   11:58am Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   StoutFiles says "Bernanke called those figures a 'puzzle.' For the unemployment rate to fall that significantly, the economy should have been growing much more quickly. " unemployment rate is a statistical illusion, Smoke and mirrors. Here's the real deal. Civilian employment to population ratio. We're staring at a decade long depression: secular deleveraging. zzyzzx says Berneke is just as stupid as portrayed here: Funny pictures aside, I don't think he's outright stupid. He has stated that gold is a hedge against really really bad outcomes (tail risks as economists like to call it), which is completely true. He has also stated that Congress has to get its fiscal policies in order to get the economy to a more sustainable state. Actually I'd suspect he's strongly worried about the idiocy on the political spectrum.

10. freak80 Follow Befriend (4) 52 threads 4,416 comments Corning, NY Premium

    10   6:55pm Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   Protected   gary275 says My question is what do you do to prepare yourself ? You get advice from our good friend Apocalypsefuck! Or was he kicked off the forum?

11. thomas.wong1986 Follow Befriend 16 threads 4,426 comments

    11   8:28pm Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   StoutFiles says Hey Bernanke! People are taking jobs at a much lower pay because their unemployment finally ran out! People aren't spending as much money as before fearing another recession! How much does this guy make to be so easily puzzled? he worked in academia... never in the real world. He never saw a former software sales executive or a cost accounting manager who were working for former top F500 company suddenly working at Macys mens department.

12. Dan8267 Follow Befriend (16) 763 threads 7,707 comments Boca Raton, FL Premium

    12   9:01pm Mon 26 Mar 2012   Share   Quote   Permalink   Like   Dislike   Protected   StoutFiles says How much does this guy make to be so easily puzzled? He's a Keynesian.

13. tatupu70 Follow Befriend (3) 15 threads 5,637 comments

    13   5:16am Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   uomo_senza_nome says Here's the real deal. Civilian employment to population ratio. That's another interesting piece of data, but it has it's own flaws. It's heavily dependent on demographics and as the boomers begin retiring, that ratio will naturally decline.

14. tatupu70 Follow Befriend (3) 15 threads 5,637 comments

    14   5:21am Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   uomo_senza_nome says Funny pictures aside, I don't think he's outright stupid. He has stated that gold is a hedge against really really bad outcomes (tail risks as economists like to call it), which is completely true. Of course he's not stupid. Despite what all the self proclaimed geniuses on random Internet message boards might say.

15. Bigsby Follow Befriend 2,826 comments Monterey, CA

    15   7:14am Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   tatupu70 says uomo_senza_nome says Funny pictures aside, I don't think he's outright stupid. He has stated that gold is a hedge against really really bad outcomes (tail risks as economists like to call it), which is completely true. Of course he's not stupid. Despite what all the self proclaimed geniuses on random Internet message boards might say. He's obviously extremely smart, but smart people don't necessarily make the right decisions.

16. tatupu70 Follow Befriend (3) 15 threads 5,637 comments

    16   8:07am Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   Bigsby says He's obviously extremely smart, but smart people don't necessarily make the right decisions. Agreed. My only caveat is that we don't have the same information as he does. What looks obvious at face value may not be so simple once you get the full picture.

17. StoutFiles Follow Befriend (1) 24 threads 557 comments

    17   10:25am Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   tatupu70 says Bigsby says He's obviously extremely smart, but smart people don't necessarily make the right decisions. Agreed. My only caveat is that we don't have the same information as he does. What looks obvious at face value may not be so simple once you get the full picture. The other theory is that he knows everything and plays dumb to keep the market stabilized. Fake confusion is better than acknowledging we're screwed and that we likely need another recession to fix the problem.

18. uomo_senza_nome Follow Befriend (13) 787 threads 1,542 comments

    18   11:20am Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   tatupu70 says it has it's own flaws. It's heavily dependent on demographics and as the boomers begin retiring, that ratio will naturally decline. At least it's not fudged like the unemployment rate. Dropping people off the labor force and reducing a few percentage points on the unemployment rate can boost the stock market, but is not any meaningful recovery in the real economy. Labor market has been structurally destroyed with cheap credit.

19. uomo_senza_nome Follow Befriend (13) 787 threads 1,542 comments

    19   11:23am Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   tatupu70 says My only caveat is that we don't have the same information as he does. What looks obvious at face value may not be so simple once you get the full picture. But we do know that he's stuck to the Keynesian dogma as far as his monetary prescriptions are concerned. Monetarily, we are total Keynesians. Fiscally, we are selective Keynesians, we want to be fiscally Keynesians when times are bad and we are never fiscally prudent when times are good. Keynes totally ignored the fact that politicians are morally corrupt and inept people.

20. realitycheck Follow Befriend 2 threads 47 comments Fremont, CA

    20   12:35pm Tue 27 Mar 2012   Share   Quote   Permalink   Like   Dislike   Ben is pretending that he doesn't know what is going on. He need excuse for another QE