Those Fabricated Jobs

Last Friday’s payroll jobs report is another government fairy tale or, to avoid polite euphemisms, another packet of lies.  Lies just like the House of Representatives Resolution against Russia and every other statement that comes out of Washington.

Washington is averse to truth.  Washington can only lie.

First let’s pretend that the 321,000 new jobs that the government claims the economy created in November are true, and let’s see where these jobs are.

Specialty trade contractors, which I think are home and office remodelers, accounted for 20,000 jobs.  I doubt that people are putting money into houses and buildings that are worth less than the mortgage.

Manufacturing accounted for 28,000–a very high monthly figure for recent years, one that is unbelievable in view of the rise in the trade deficit and declines in consumer spending on furniture (-3.8%), major appliances (-8.3%), women’s apparel (-17.7%), and household textiles such as towels and sheets (-26.5%), and when US business investment consists of corporations repurchasing their own stocks.

The rest of the claimed jobs are in private domestic services, that is, they are third world jobs.  Retail trade claims 50,200 and transportation and warehousing claims 16,700.  These numbers are impossible to believe in view of the closings of middle class department stores and Black Friday and Cyber Monday sales flops.

Financial activities claims 20,000, most of which appear to be insurance related–perhaps the growth of Obamacare bureaucracy.

Professional and business services claims 86,000, a very large number for recent years.  What are professional and business services?

Professional and business services are “accounting and bookkeeping services” (16,400 jobs) – a possible (temporary) increase as W2s for 2014 are coming due to be issued – and ”administrative and support services (40,600 jobs) – mainly temps.

Next we come to “health care and social assistance” with 37,200 jobs concentrated in “ambulatory health care services” and “social assistance.”  Then we have “food services and drinking places” with 26,500 claimed jobs.  Bringing up the rear is Government employment with 7,000 jobs.

What are we to make of these job claims?

It is unlikely that there were 26,500 new jobs for waitresses and bartenders when consumer spending on restaurants, alcohol, and entertainment declined by 3.8%, 4.5%, and 5.4%. Restaurants and bars do not hire more people when demand is dropping.

No one hired 50,200 new retail clerks when anchor stores of shopping centers are closing and strip malls stand abandoned in unfinished construction.

If we are sufficiently gullible to believe the BLS jobs report of 321,000 new jobs in November, we should be disturbed that the vast bulk of the jobs are third world domestic service jobs that do not produce exports to offset the massive trade deficit of the US offshored economy.   Moreover, the majority of these jobs do not produce sufficient income for a person to establish a household or qualify for a mortgage or car loan.

America is bleeding herself dry so that corporate executives and shareholders can live the high life on bonuses and capital gains resulting from exploited foreign labor and the destruction of the American middle class.

Now, let’s move on to other conclusions. John Williams, an expert on government statistical data, points out, ignored of course by the presstitute media, that full-time employment in America today is 2,400,000 less than employment in 2007.

What this means is that the US is short 2.4 million jobs from 7 years ago. So how is there an ongoing recovery?   In the meantime the population has grown.

Remember, the official unemployment rate is low, because discouraged workers who cannot find jobs are not counted as unemployed.  To be counted as unemployed, you have to be actively searching for a job.   As job search is expensive and unemployed people have no money, when job search produces no results people give up.   They are unemployed but not counted as such.

John Williams points out that most of the 321,000 new jobs were created by manipulating seasonal adjustments and by the birth-death model that arbitrarily adds jobs that the BLS model assumes were created that month.   The BLS never provides any proof of those phantom jobs.

John Williams also points out that many of the payroll jobs are part-time jobs and one person often has several jobs.   As no one can live on one part time job, many households and individuals are sustained by multiple part-time jobs.   The jobs are not a measure of the number of employed, because many persons hold several jobs in order to make ends meet.

Keep in mind that much of the increased activity in the highly touted payroll employment numbers is tied to multiple part-time jobs held by individuals.   In other words there is double and triple counting of those employed.

The alleged “recovery” is based on severely understated inflation.  When an item in the inflation index rises in price, a lower priced item is substituted for it or the price increase is called a “quality improvement” and not registered in the inflation index.  This keeps the official inflation rate low.  Therefore, when nominal GDP is deflated by the understated inflation index, real GDP growth is the result.  The growth is an illusion.   In fact, the “real” GDP growth is merely the non-measured price rises or inflation that is not captured by the erroneous methodology.

There is practically no official inflation, but somehow the price of ground beef rose 17 percent during the year.   Presstitutes and PR flacks explain away the price rise as the result of drought while others blame the price increase on smaller beef herds.

With inflation outpacing the growth of real incomes, consumer purchasing power is falling.   Real spending fells with the fall in purchasing power.   John Williams’ inflation estimates are much higher than the government’s and indicate that the bulk of the population is experiencing extreme financial hardship.

An economy based on consumer spending cannot grow when real consumer incomes and/or consumer credit do not grow.   As these are not growing, the “recovery” is a fiction created by a measure designed to understate inflation.

In the 21st century “democratic” Western policymakers have brought about an extraordinary concentration of income and wealth in elite hands, while subjecting the vast majority of Western populations to financial stress.

The ladders of upward mobility have been taken down.   A new aristocracy of wealth has been created along with a militarized police state to defend the aristocracy’s interests.   A political-economic-social system has been created in the West in which only the elite have a stake.

This stake is based on a house of cards.  The utterly corrupt central banks of the West, a collection of gangsters, have kept the house of cards standing longer than I thought possible.  But it will be a historical first if a house of cards stands forever.  The derivatives exposures of four American banks exceed by several times the world GDP.   There is no way these exposures are covered by the banks’ capital or by their depositors deposits.

Wall Street and the presstitute media have manufactured the impression that all is well, and those fools driven by greed have gone along with the manufactured impression.  But the facts are otherwise.

Update: Tyler Durden points out that income and payroll tax receipts do not support the job claims made for the 2014 economy.

This article was originally published on the Paul Craig Roberts website



tyler i have data

Unreported data.

If you call the labor companies (pay-daily) you are able to determine the amount of jobs available per city.

Calling 10 labor companies in the State of Washington, home to the enemy Microsoft and their socialist lobbying efforts against the America people.

These 10 labor companies had no jobs.

From Seattle to the Canada border was 1 job, a salvation army bell ringer. Commute for job was 35 miles one way to a country town grocery store paying min wage. within an hour the job was no longer available. Two day background check was also needed for this position which lasted till christmas.

Microsoft is lobbying/promoting the need to import more talent when the people in the state have no work. Dehumanizing people, demoting Americans inplace for lower wage workers that are again replaced by more lower wage workers.

American workers are already bidding less than India workers.

I know people that work for these companies. and their policy although secret, is when you call them and ask if they have work, they always are told to tell people 'yes'. But they are a first come-first serve employment, so even though they have jobs, they are already taken by thousands of people on the waiting list.
There are no labor jobs. I know people traveling across the country to work a job for twelve dollars an hour since its the only job in the country.

An end to this madness is simple. Get enough signatures in each state to obtain on the ballot a vote for action against these types of tax evading corporations.

Lets put up for vote American citizens get hired first. It will be a landslide and any politician who goes against the people of this country will be prosecuted for treason and crimes against the American people.

We know we are close to a win, cause they know it too....

Politicians Preparing Financial System to edge of oblivion AGAIN

Politicians Preparing Financial System to teeter on oblivion AGAIN with new permissive banking regulations while delaying implementation of the recently SEC approved “Jumpstart Our Business Startups Act (JOBS Act)”.

It’s a question of integrity and accountability in paying us unemployed who bare the weight as the financial system comes back from teetering on the edge of oblivion due to some thoughtless decisions by those who are well insulated from poverty.

Since I now work 4 part time jobs in my attempt to make my $600 monthly rent payment and put groceries on the table, I guess I am supposed to be convinced that prosperity is here. Too bad that one of my contract jobs sometimes doesn’t even pay for gas needed to deliver Edible Arrangements, another limits my auto dealership test drives to one location visit per year while payment for my bank secret shopper efforts are undependably invoiced and paid 60 days later unlike my fourth company where I get paid every 2 weeks for trimming hedges.

It could still be worse; last year after scrapping up $500 to get my DirecTV satellite certification, I begged and borrowed for 3 months to pay gas and tolls to do installs before I finally started receiving installments of my wages due.

And then there is the shortage of my unpaid truck driving wages due since workers desperate for income must accept risks of non-payment issues. Since Federal, State or Local authorities do not enforce the laws when trucking companies cheat the drivers, paychecks usually fall far short of compensation wages I actually earned.

Complaints of extensive promised but unpaid diverted loads in the Texas oil country fall on deaf ears at the Department of Labor where they focus on “minimum wage issues” to companies who stretch the truth and mislead drivers about allowable axle spreads to leave the drivers personally liable for the thousands in overweight fines merely to be replaced with more of the trusting naive willing to take a chance to put food on their family’s table.

And the local law enforcement who decline to prosecute the fully documented thousands in bad check’s paid to the drivers or those punished for refusing to drive CDL risking overweight, poorly maintained death traps and fatigue conditions potentially endangering the unsuspecting public.

It’s a question of integrity and accountability in paying us unemployed who bare the weight as the financial system comes back from teetering on the edge of oblivion due to some thoughtless decisions by those who are well insulated from poverty.