Comments on: Adjusting to “A New Normal” http://www.ritholtz.com/blog/2009/05/adjusting-to-a-new-normal/ Macro Perspective on the Capital Markets, Economy, Geopolitics, Technology, and Digital Media Tue, 14 Feb 2012 17:38:10 +0000 hourly 1 http://wordpress.org/?v=3.0.5 By: Simon http://www.ritholtz.com/blog/2009/05/adjusting-to-a-new-normal/comment-page-1/#comment-171806 Simon Fri, 15 May 2009 07:58:12 +0000 http://www.ritholtz.com/blog/?p=26570#comment-171806 I agree, Mr El-Erian has a very good point. In addition Governments are potentially more prone to demands for increased wages by their new employee's. Unemployment in the 1970's was pretty high at times too I suspect. As soon as permanent layoffs occur factories or parts of factories disappear. They appeared quickly during the boom times and I know from personal observation they can quickly disappear. They have been known to appear and disappear overnight in some cases when foreign owners visit them in China. But thats another story. Thanks Jack I agree, Mr El-Erian has a very good point. In addition Governments are potentially more prone to demands for increased wages by their new employee’s. Unemployment in the 1970′s was pretty high at times too I suspect.

As soon as permanent layoffs occur factories or parts of factories disappear. They appeared quickly during the boom times and I know from personal observation they can quickly disappear. They have been known to appear and disappear overnight in some cases when foreign owners visit them in China. But thats another story.

Thanks Jack

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