Some People think the central banksters are “Finding New Excuses to Maintain Low Interest Rates For Longer“.
Sounds like a Ponzi Economy.
Janet Yellen, Mario Draghi, Mark Carney, and the other central banksters maybe acting in concert, not ready to stop the music.
Is China in big trouble? According to the Australian Financial Review (AFR), “China’s property market is going through its worst slump on record…”
For 7 years central bankers have promised “RECOVERY” is here. Worst. Recovery. Ever.
The labor force participation rate has been steadily falling over the last two decades.
Some of this decline is due to changing demographics. The population is aging, and many workers who were at or near retirement age ahead of the financial crisis haven’t made it back into the workforce.
But an aging population doesn’t answer all the questions, since the labor force participation rate has also dropped for prime-age workers.
There was a time, and I admit I miss it, when the August Jackson Hole conference of central bankers got about as much mainstream attention as a particularly well-attended chess match.
Those were the good old days, before financialization, economic crisis and political paralysis gave monetary policy an arguably too central role in the economy and the allocation of capital.
This week when central bankers from around the world meet at the Kansas City Federal Reserve’s conclave at Jackson Hole, Wyoming, investors and many other people who ought to have better things to do will pay avid interest to the proceedings. […] And, as some central bankers themselves might agree, there are good reasons to regret the centrality of monetary policy. A generation of investors and business people has learned to allocate capital under these conditions and the results have not been encouraging. –James Saft
Why You Should Care About Jackson Hole
Central bankers, a group of largely independent technocrats, wield more power over the fates of politicians, investors and regular folk than ever before. In the absence of government action, they are bearing most of the burden of supporting economic recoveries in the U.S. and Europe. With their bond purchases and other unconventional policies, they have become a major force holding up financial markets around the world.
Hence, when they gather for their annual meeting in Jackson Hole, Wyoming — as they will starting Friday — it’s worth paying attention.
Wonkbook: What the world’s top central bankers will be talking about at Jackson Hole
- A group of Americans larger than Washington state’s population can find only part-time work….Those 7.5 million part-time workers who want full-time jobs are inflating the broad measure of underemployment [the job market is in poor health]. Involuntary part-time workers have gained by 325,000 from February’s five-year low.
- “The U.S. labor market still has plenty of unused capacity or ‘slack,’ and that hurts workers at the bottom of the income ladder the most, according to a paper released Friday by two economists from the Federal Reserve Bank of Chicago. They say labor market conditions have ‘yet to revert fully to prerecessionary levels.’ If job market conditions prevalent in 2005 through 2007, before the recession started, had been restored by this summer, the authors estimate, then average real wage growth, adjusted for inflation, would have been 0.5 percentage point to 1 percentage point higher.” Pedro Nicolaci da Costa in The Wall Street Journal.
- Timing of first rate hike?
“Fed forecasts show most officials expect to start raising rates next year. Many market participants see mid-2015 as the starting point. The Fed’s move is especially important because many of the world’s other central banks follow its lead. If Ms. Yellen waits, other central banks will have an incentive to wait, too.”