May 2014 Payroll Employment
After 76 months, we finally got back to the prerecession level of payroll employment.
Click on the image to get a bigger version.
The best summary of the state of our economy is the graph (below) of employment as a fraction of population for people over 16 years old. The decrease is large, but the most troubling feature of the graph is the flat trend .
Donald Marron likes European interest rates. Click on the image to get a bigger version. Can you find three distinct subperiods?
Brad DeLong favors the U.S. gdp gap.
Money Supply M1 growth is now over 20% per year over a 12 month lag. M1 growth has touched 20% before, but not with excess reserves of $1.6 trillion. Where is M1 headed?
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Israel’s major problem is that circumstances always change. Predicting the military capabilities of the Arab and Islamic worlds in 50 years is difficult. Most likely, they will not be weaker than they are today, and a strong argument can be made that at least several of their constituents will be stronger. ...
For the most part, no, although financial repression is an issue to look out for. There is a new NBER Working Paper by Jens Hilscher, Alon Raviv, and Ricardo Reis which works through the numbers:
We propose and implement a method that provides quantitative estimates of the extent to ...
Here is one way to boost the employment to population ratio, two birds with one stone you might say:
Feng’s 23 year-old son, “Xiao Feng” (小冯) started playing video games in high school. Through his years of playing various online games, he supposedly thought himself a master of Chinese online role ...
…trade typically favors the poor, who concentrate spending in more traded sectors.
That is from Pablo D. Fajgelbaum and Amit K. Khandelwal, the full paper is here.
Alan S. Blinder and Mark W. Watson have a useful unpacking of this question, here is the abstract summarizing their conclusions:
The U.S. economy has grown faster—and scored higher on many other macroeconomic metrics—when the President of the United States is a Democrat rather than a Republican. For many measures, including ...
Alternet: The idea that men are naturally more interested in sex than women is [so] ubiquitous that it’s difficult to imagine that people ever believed differently. And yet for most of Western history, from ancient Greece to beginning of the nineteenth century, women were assumed to be ...
If monopsony power is an important feature of the labor market, and monopsony power should be prevalent when firms are bigger and therefore have a larger share of the local industry, then why do big firms pay more than small firms? The small mom and pops should be closest to ...
There is a newly published paper by Paola Profeta, Simona Scabrosetti, and Stanley L. Winer. The most concrete statement of the argument is that wealth is held disproportionately by the elderly, and they will oppose wealth taxes just as they oppose cuts in Medicare. And since 1965 wealth ...
…in Germany, the government is rolling out a red carpet by simplifying immigration procedures, funding free language classes, even opening “welcome centers” for newcomers looking to carve out a piece of the German dream.
In the rankings of the globe’s most prosperous countries, this economic powerhouse of 82 million has now leapfrogged ...