With Spring nearly upon us, today may be the last chance for excuse-makers to blame this winter’s awful weather for poor job creation. Consensus estimates are that Payrolls increased 149,000 in February after a mediocre gain of 113,000 in January.
What is to blame for this weak ongoing job creation? Is it the Fed’s fault? Obamacare? An obstinate GOP controlled House?
I go with “none of the above.” The reality is far more nuanced and complex.
As I have been writing (and pleading and screaming) for the past 5 years, we are in a post credit crisis recovery. These are relatively rare. They look very different than the normal, post-recession jobs recovery. As Reinhart and Rogoff first observed in 2007 – the paper without the spreadsheet error – post credit crisis recoveries are typically slow, characterized by weak GDP gains and mediocre job creation. The Deleveraging process by corporations, households and government is the reason why. Continues here
Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.