The Jobless Recovery Rolls On…

Can you spare a "euro" brother?

Well folks the result of the recent employment numbers are in and they send a clear message as with only a mere 18,000 new jobs created in June means that yes the Obama Jobless Recovery is rolling on.  Better put, we might say it’s rolling “over” the unemployed while flipping them a rhetorical aviary gesture typically reserved for when one is cut off on the freeway.  As the unemployment rate edged up to 9.2 percent marking a high water point for the index, and at the same time, a low point for those left out in the cold.

As eve the Dow responded with common sense (led by traders) by retracing in response to this news as if new cash isn’t coming into the pockets of consumers. Then the question becomes where will these companies keep getting the cash from?  As right now the (commercial) market is stealing from itself by charging more for “less” along with the recirculation of cash from government subsidized programs such as unemployment and my favorite, “Quantitative Easing“.  What also gets me wound up as all along the economists where saying “it was getting better”, however now they are backtracking as they eat their crow in retreat.  As there is even talk from several private economists about downgrading many of their forecasts in response to this discovery as if it were a form of unseen revelation.

As what gets me is these folks are making a living from their prognostications of the economic future yet they missed this one?  Ok, many will say comments like mine are easy to call a winner when things turn your way and you have 50/50 odds.  To that I say “bunk” as common sense tells us we’ve simply postponed the inevitable and it will come as a “second shoe” dropping as where do you think the phrase came from?  As its human nature to try and starve off the negative, just as yin and yang chase each other in eternity, man will try the same.

So when will we see a real turn around, well not until our dollar drops low enough to cause capital to pour back into the country from abroad.  Yes I know if the dollar weakens there will be an impact on bonds (mainly federal), however we cap them and draw a line in the sand just as a wry couple must do with too much personal debt.  While this might sound like “tough love” and the result of which will be, there is still one fact.  Our government believes it can keep spending its way out of the hole, however it can only put as much into the system as it has, if it puts any more then that by proxy it runs the risk of folding.  As while the United States Government can be said, to be too big to fail, it sure can beach itself flop around for very long causing an amazing amount of damage including the flight of many commercial enterprises from its shores and forced by its addicted spending habits to pick pocket more and more people…

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About Joseph Campbell

As a strong believer in the fact that "people work for people", it has been a life driver to better to understand the complexities of the various aspects which drive efficiency within this axiom, especially the concepts of leadership. Supporting this, I have been fortunate enough to having experienced this as leader on a global basis over the last decade and half. During this time it has been clear there are three core drivers being Life, Leadership and Economics.
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