Pretty good, could have been better if not for austerity:
Another factor holding back strong job growth has been a steady drop in public employment. In June, private employers added 202,000 positions, while state, local and federal governments shed 7,000 workers.
I am genuinely perplexed by GWOK, the global war on Keynes, who was gay and thus could not understand what the next generation needs.
jeffreyw
GWOK is the purest expression of IGMFY. (See also: Calvin’s Girl Hater’s Club – CGHC) [Needs cite]
Corner Stone
Keynes knew he would not have children so he just wanted to spend it all right now looking fabulous!!
PeakVT
Better, but still not good. The participation rate barely budged. More graphs here.
Comrade Jake
Unfortunately reasonably good job reports will only serve to confirm GOP Congresscritter’s belief that there’s no price to be paid for continued sequester-actions.
NickT
And yet, the media listen to Andrew Sullivan who is gay and.. so on and so forth. Keynes’ mistake was obviously in not spending a night sexually experimenting with Niall Ferguson.
Corner Stone
I wish whoever had declared a global warm on Texas would back it off a little.
AdamK
Because you typed “warm” instead of “war.”
Davis X. Machina
@PeakVT: You’re watching the conversion of jobs to athe category of positional goods. What makes them good is not that theyr’e good, but that others don’t have them.
Where they suck — shit hours, shit wages, shit conditions, no pension, no union — but they’re better than the alternative, which is no job at all.
That way, for more and more people, the default answer to ‘my job sucks’ is to think ‘Hey, I have a job”. And when you see someone whose job doesn’t suck — with real hours, occasional raises, a respectful workplace, real provisions for retirement, maybe a union — , your first impulse will be not 'How can my job be made like that?" but instead "Hey, I don't have that, take that away from him“.
Screw Hayek. There’s your road to serfdom, one worker at a time, as we enserf each other. One big crab bucket, from sea to shining sea.
rikyrah
Keep on asking yourself this..
Austerity, IMO, is a weak sauce word..
call it what it is:
The GOP has been committing ECONOMIC TREASON against this country since January 20, 2009.
PERIOD.
Alexandra
Relatedly, I’m currently enjoying the ongoing gold-buggery meltdown on various forums. Lots of denial and conspiracy-mongering at this stage… abject fear yet to come.
Lavocat
Well, you just nailed it. No doubt, the great UNSPOKEN reason why soooooooooooooo many conservative commentators and economists LOATHE Keynesian economics has as much to do with the man’s sexual orientation as his political philosophy.
So, let’s translate denial over the fact that The Gay Man Was Right into global austerity for the masses.
Talk about projection! Damn!
Corner Stone
@Alexandra: I wonder how many were buggered enough to get in big when it was closer to $2K ?
eric
@Davis X. Machina: This, comrade. The real animator of conservative politics is resentment. The solution, however, is not a rising tide, but a shallow sea for all. Playing off the worst of people for the betterment of the .1%.
Tommybones
Once again, overall jobs numbers are not enough. How many new jobs are low pay/part-time/no benefit jobs? If Albert Pujols is in the midst of an enormous slump and suddenly gets 3 hits in 10 AB’s, but all three are cheap, infield singles, do his fans rejoice? Do they breathe a sigh of relief? No.
Alexandra
@Corner Stone:
The ones who are now swearing it will go to $5k or $10k, it seems. Buy moar tulips!
schrodinger's cat
@Davis X. Machina: Reserve army of the unemployed. Its like they want to prove that Marx was right. Who I think was right about what is wrong with capitalism but not the solution. Keynes ideas were better in that regard.
Ben Cisco
@rikyrah: Amen.
NickT
@rikyrah:
Fiscal terrorism.
schrodinger's cat
@rikyrah: Comforting the comfortable.
MattF
FWIW, I doubt that the decrease in public sector jobs means much– In particular, I’d bet that, especially for technical work, the jobs have just moved to the private sector, and then become contract jobs for the public sector.
schrodinger's cat
Kitteh has a diagnosis for our policy makers.
ETA: Dr Kitteh is on a roll, he even made it to the FP of ICHC/lolcats yesterday! He is fifth from top right now.
Doug Milhous J
@AdamK:
Thanks.
eric
@schrodinger’s cat: ah, but the social safety net was an admission that Marx was right, that is why the barons of industry agreed to it. They were a different kind of villain, far more sinister — they knew that the underclass could not overly expand or fall too far into despair or they would march on the corridors of power to feed the guillotines.
schrodinger's cat
@eric: Yes he was right about the diagnosis, but his solution of worker’s paradise did not work out so well in real life. Keynes solution of government and markets working in tandem, with government preventing the worst excesses, worked better in my opinion. Case in point, US in the post war period.
Just Some Fuckhead
I thought Keynes was warm. What happened?
eric
@schrodinger’s cat: one could argue that the reason it worked so well was that the first world economy had been decimated and with abnormally high demand, the US had the only remaining infrastructure and labor supply that could fill the void.
Emma
@Lavocat: No offense, but I have seen that very same argument — that Keynes was gay and therefore had no investment in the future — put forward seriously not to long ago. There was an uproar about it in the usual economic blogs. IIRC even Krugman commented on it.
(remembered) it was Neil Ferguson. He was forced to apologize after people smacked him over the head. Then IIRC he or someone else doubled down on it.
taylormattd
@Corner Stone: lol
schrodinger's cat
@Emma: It was Niall Ferguson who made that comment.
Citizen_X
@Just Some Fuckhead: Mistah Keynes, he dead.
Belafon (Formerly anonevent)
@rikyrah: but it’s not treason if you take our jobs and give them to places like China and Russia. You are a hero to the left. Or something like that.
Citizen_X
@schrodinger’s cat: Love how kitteh’s got that one-ear-flattened, “Ima cut you inna second” look.
eric
@Citizen_X: He is no more, has ceased to be, bereft of life, he rests in peace.
AxelFoley
@rikyrah:
Aye.
Martin
@eric:
True, but in that situation, why didn’t we see the kinds of class excesses then that we’ve seen during other boom periods (like the 90s)? What’s notable about the 50s is that the economic boom was widely shared. It was the time when the middle class emerged while the upper class did not grow in power. Residual policies from the war were key to much of that happening.
You identified the driver for the economic growth, but we’ve had strong economic growth (in aggregate) since the 80s. It all goes to about 1% of the population, and then when there’s a downturn, the 99% get their wealth wiped out, and have to start over again during the next recovery. That didn’t happen from the end of the war until Reagan.
Southern Beale
Saw a statistic about where our employment would be if we hadn’t cut all of those government jobs — which a lot of people don’t talk about this but most of those are teachers. Not government bureaucrats with clipboards going door to door to count your guns. TEACHERS.
Ah well. So, here’s my weekly round-up of other good news ….
Martin
@MattF:
True, but we’re getting pretty pissed about that. I just contracted some of my work out and because the state won’t give me a full time position (they’re worried about sustained funding) they gave me the equivalent in cash for one year of the position they would have given me. Well, for what 2,000 hours of a full time position would cost me, I can get about 800 hours of work out of the private sector – and it adds a good 100 hours of work to have to deal with that kind of a hire. So rather than 2,000 hours of work for your pile of tax dollars, and a stable, full time position, you’re getting a net 700 hours of work, no stability, and a bunch of pissed off public workers that want to know why they’re getting paid half of what the contract guy is earning.
I can’t tell you how damaging this is long-term.
Baud
@Martin:
This. Obviously, the government can’t do everything in house, but government contracting seems to have become a big grift. Neither cheaper nor better quality than public sector workers in a lot of cases.
gogol's wife
@rikyrah:
And a few other kinds as well.
Omnes Omnibus
@Baud: There are very few jobs done by the government that cannot and should not be done by a regular government employee.
ruemara
@Martin: This. It’s happening in local government. Our leaders are contracting crazy and are using all the cuts to employees to parade around as fiscally conservative for killing pension benefits and health benefits for retirees. But the operational deficits are getting bigger and bigger as we turn to contractors for darned near everything. We were “broke” when we were on budget and had a reserve of $15 million, now we’re fine as we drain the reserve to pay for contractors and fire every person who isn’t a manager and actually does the work.
Villago Delenda Est
I’m not. Keynes postulated that for the good of the economy for all the rentiers would eventually be euthanized, as they are nothing more than parasites sucking off of everyone else.
This drives “conservatives” batty, because, of course, “conservatism” is little more than a rationalization for the greedy.
schrodinger's cat
@Citizen_X: Kitteh looks annoyed, for sure.
Comrade Dread
Why? People have long found all sorts of reasons to disagree with facts and information that disagree with their fundamental world views.
Conservatives consider supply-side economics holy writ handed down to St. Reagan by God on two stone tablets. It doesn’t matter how much data you present that is contrary to that or shows that voodoo economics is slowly turning a large part of the US into a zombie state, they will find a reason, any reason, why the answer to all of our economic woes is another tax cut for the Koch brothers.
liberal
@Baud:
I work for a government contractor. Everyone like me here could easily be a federal employee. (Meaning, the contracting company adds no value; it’s essentially a shell, or passthrough.) I don’t think the contracting company really sought the grift, though I’m sure they were happy to take it. Rather, it’s part of the “downsizing government” bullshit that started under Clinton.
The only good thing about it is that if someone really really sucks, you can get rid of them. While I’m liberal/left, pro-union, blah blah blah, it really is very difficult to fire people who do no work (if they have GS ratings).
Southern Beale
Here’s a must-read on monetary policy. Apparently there’s this thing called “deficit owls” in Keynesian circles, and they may be gaining traction:
I could quote the whole thing … but I won’t … go over to the Times and read it, verrry interesting.
Baud
@Omnes Omnibus:
Agree when talking about governmental tasks. Things like supplies (pencils, computer equipment, jet fighters) are probably best done by contractors, however.
liberal
@Villago Delenda Est:
Yes, well, if you include “landowners” amount rentiers (clue: consider the root of the word “rentier”), people across the political spectrum (including here) will howl.
liberal
@Baud:
Not really sure I buy that. Meaning, I could see that Uncle Sam maybe shouldn’t be making computers, but I doubt he gets a reasonable price on them. Instead of U.S. just buying crap from Dell, he should should say, “Here are the specs, this is the volume, this is what we’re willing to pay.”
Furthermore, the idea that Uncle Sam buys Microsoft products is ludicrious. For the amount spent, I find it hard to believe that the federal guvmint couldn’t have paid someone to create (or improve an opensource) office suite and OS, and just make it free for everyone else.
Villago Delenda Est
@liberal:
Which is why George is ignored by glibertarians.
schrodinger's cat
@liberal: I think Keynes meant people who live on investment income not wages.
Omnes Omnibus
@liberal: Dude, the fact that land tax and property tax got conflated in previous discussions does not necessarily mean that people here are pro-renter. To be frank, you could have cleared it up fairly easily but didn’t.
eric
@Martin: because there was no real time way to outsource labor and keep information costs low enough to make it practical. Now, there is no information barrier to using low-wage workers from around the world so that labor here is depressed. Add in the destruction of the safety and the increased skepticism (hatred) of national government and you get true worker Angst and a true road to poverty that has no real roadblocks.
Baud
@liberal:
Perennial problem in government contracting. I don’t think anyone has come up with an ideal system that works across the board.
Don’t know enough about OS’s to comment. I do think it’s hard to come up with hard and fast rules about when contracting is preferable, although I do believe that we are out of balance in favor of contracting right now.
Baud
@schrodinger’s cat:
How were business owners classified? Technically, they don’t get “wages,” but if they actively work at their businesses, they aren’t exactly living just off their invested capital.
becca
I am heartened a bit that people all over the world are realizing what a shit sandwich the 1% have served up for much of human history. Smells like evolution to me. And revolution, hopefully peaceful.
Paul in KY
Don’t see why you would be perplexed (unless that part of comment was snark). He’s agin their preferred remedies & so he must be destroyed.
Paul in KY
@Belafon (Formerly anonevent): Not this Left.
Paul in KY
@Villago Delenda Est: Spot on as usual, VDE.
Paul in KY
@Southern Beale: Sounds like Eisenhower railing about the Military Industrial Complex 1 week before his retirement…
Patricia Kayden
Republicans are doing everything they can to thwart any job growth. Sure this job report is depressing for them.
PeakVT
@Southern Beale: I think the MMTers are sort of the economic equivalent of firebaggers, since they seem to spend as much time attacking Krugman as anyone else. I also think they live in a fantasy land when it comes to creating money. There are very good reasons why we don’t want elected politicians to have direct control of the printing press. (That doesn’t mean letting the Fed be captured by the finance industry is a good thing, which it hasn’t.) But in the long run MMTers may have something to contribute. They may also help by making hard-line traditional Keynesians look moderate.
BruinKid
Well, this isn’t going to end well. Adam Kokesh made a video showing himself loading a shotgun in a park in D.C., where’s it’s quite illegal to do so.
Craziest thing is I recently found out one of my friends from UCLA who became a Ron Paul supporter is actually dating him now. And now I can’t debate politics with her on Facebook anymore, because if Adam sees any of those threads, others have warned me that he IS the kind of person who would drive all the way over to Los Angeles, hunt me down, and then kill me with a sniper rifle.
Steeplejack
@Villago Delenda Est:
Who is George?
burnspbesq
@Corner Stone:
This is God’s payback for electing the clown-show that is the Texas Legislature. The suffering will continue until the electorate gets its collect head out of its collective hindquarters.
Baud
@BruinKid:
Stand Your Ground!
burnspbesq
@eric:
Marxists crack me up almost as much as hipsters. Do you also wear strange hats and drink Pabst Blue Ribbon?
Your theories were the subject of a multi-generational, real-world experiment. They suck. Get new theories.
BruinKid
@Baud: I’m in California. No such law exists.
Baud
@BruinKid:
That’s what you get for choosing to live in civilized society.
Yatsuno
@BruinKid: I thought he was already in jail. Obviously the video could have been made before that, but I recall a big stink show where he got arrested. I didn’t hear of him being released afterwards, but I suppose it’s possible.
kc
@BruinKid:
What a fucking whack job.
kc
@BruinKid:
Well, self-defense is a defense in every state.
Paul in KY
@BruinKid: Go ahead & let it rip. He’s not gonna shoot you. He might defriend you or detwit you or whatever…
eric
@burnspbesq: huh? glib is no substitute for an argument. why dont you take the time to bother with an actual substantive response to what i wrote. I am a marxist insofar as I believe that Marx was right that capitalism leads to Rent and excess Rent can lead to revolution. I deny the a priori moral judgments that afix to each stage and I deny the necessity of transitions and I deny the necessity of a classless outcome. So, let me have it with real substantive claim in rebuttal. I tend to think, and it is the trajectory of this precise thread, that the experiment woudld have been a failure, but for the safety net that is being dismantled now.
dww44
@MattF: Yep, This.. Suprisingly, I heard Ted Koppel on the last “Talk of the Nation” broadcast on NPR last week. One of his closing remarks, when asked about how he felt about the future of the country,was that we had been ill-served by the privatization of government services in the intelligence sphere, the military sphere, and generally in all others. that by doing so we’ve lost the ability to hold providers of services accountable to the government and then to us. Plus, privatization is just an enormous sinkhole for tax dollars.
Omnes Omnibus
@Yatsuno: he was arrested at the pot smoking demonstration a while ago. I don’t remember the exact charges, but it was nothing that would have kept him in jail. Info remember the freak out that he was being preemptively detained to stifle his 1st/2d Amendment rights.
RSR
Philadelphia just laid off almost 4,000 public school teachers, but I’m not sure if the official date was June 30 or July 1.
esc
@Martin: If the contractor is really earning that much. There is the extra bonus layer of grift with the staffing agencies. Instead of hiring directly, most all of the defense contractors around here contract out to the agencies rather than sorting through applicants themselves, then the staffing agency takes a very large cut of what the contractor is paying for the worker for the length of the contract with a huge lump sum at the end if it is contract to hire.
Omnes Omnibus
@Omnes Omnibus: FY auto correct and lack of edit function for mobile devices.
JoyfulA
Keynes had no children, but he was married, and his wife had two miscarriages.
BruinKid
@kc: See, I originally thought he’d drive here (his girlfriend knows where I live; I met her through my former neighbors who got her hooked on Ron Paul), and then wait for me to come home one day and then beat me up or something. But I was talking with someone who also knew Kokesh, and was told he’d probably use a sniper rifle to kill me from a distance, instead of hand-to-hand combat. There’s no self-defense then, when you cannot even see your assassin.
Paul in KY
@eric: I don’t think you should bemoan a basic safety net as being a sinister plot by the rentier class (even if it was).
There are many flesh & blood people who have been saved from starvation by it.
Steeplejack
@Yatsuno:
On the local (D.C.) news last night they had a story on the video. Authorities (the Park Police, I believe) were made aware, went to the scene, didn’t find Kokesh. “Inquiries are under way.” TV reporter made a point of noting the plethora of surveillance cams at the site where Kokesh’s video was made, so evidence should not be a problem.
The interesting subtext is that yesterday was the day Kokesh had been calling for an army of patriots to show up and be seen, but somehow it dwindled down to him making a furtive video. (The light in the video looks as if it was shot very early in the morning.)
Corner Stone
@BruinKid: Couple things. She’s with someone who could conceivably do this, *and* would tell him where you live?
He’s going to snipe you for discussing politics on FB?
Omnes Omnibus
@BruinKid: FWIW I just ignore most libertarian craziness from people on FB. I also avoid beating my head against brick walls most of the time.
Paul in KY
@BruinKid: Well, the police will certainly have a suspect if that happens…
Corner Stone
@eric: God but I hope he does not.
different-church-lady
@BruinKid: Just like the founding fathers!
/GOS rec list
dww44
Tried to post a link to the part of the 6/27 final broadcast of “Talk of the Nation” in my comment #75 and it wouldn’t take. Don’t know what I did incorrectly. First try since the blog format update. Wouldn’t mind if someone told me how to do it for future reference, but here’s the relevant part of the interview with Ted Koppel, all of which is very readable and listenable at the NPR website.
scav
If we were to judge the ultimate, definitive and everlasting value of Capitalism and Elections based upon the performence of the Russian exemplar recently . . . . Their implementation of Monarchy was also one for the books.
Paul in KY
@Corner Stone: I’ve been on some blogs where you got smacked down hard if your shit wasn’t tight (Steve Gilliards old blog (fuck the fucking Yankees) was one), but these dudes play for keeps ;-)
eric
@Paul in KY: I dont bemoan at all. I merely point out that it was accepted by the rentier class because it made their rent seeking sustainable. Unlike hard core or orthodox marxists, who could perhaps bemoan it as delaying the inevitable (i dont that any actually exist, though theoretically, they could), I would never do so.
Omnes Omnibus
@dww44: Private armies of mercenaries worked really well for Italian city-states during the Renaissance. Or not.
Yatsuno
@dww44: Ted is wrong. It’s working quite well for the owners of the companies and the politicians getting kickbacks from said company owners. Efficiency of execution and competence are not a part of this because, well, not in the contract now is it?
Anything that can be bought and sold will be bought and sold.
Anything that cannot, is not.
@Steeplejack: Is the video that recent? I didn’t bother to watch it and see if there are any date stamps or if he mentions a date. It’s quite possible his big protest was a total dud so he just made some shit up as he went along.
RaflW
@Baud:
For one obvious reason: the f*ing contractor has to make a profit margin. And pay himself a salary to boot. This has been the biggest rentier ripoff of my lifetime, the unadulterated myth that the holy market is more efficient than direct employees.
EconWatcher
It’s almost funny to read K-thug’s consternation on this point. As he’s pointed out, rarely in history has an intellectual position been so thoroughly and quickly routed by the facts than the austerity position from 2009. And yet its popularity has hardly been dented. And Reinhart and Rogoff seemed at least partially successful in changing the topic of the conversation to Krugman’s lack of civility.
I think this has been a radicalizing experience for Krugman. He didn’t believe the opposition was so completely unprincipled. Now he knows.
Anya
@Emma: I don’t think his apology was that sincere. He followed his apology with “An Open Letter to the Harvard Community,” published at The Crimson — which basically said that he was not racist or homophobic because his wife is a black Somali and he has gay friends.
I don’t understand why anyone takes that asshole seriously. He’s been consistently wrong about every economic prediction he made.
Steeplejack
@dww44:
The link-mo-tron works the same way that it did before, I believe. (I’m assuming from your comment that you were able to do it successfully at some point.) Worst-case scenario, you can always drop in the naked hyperlink.
ETA: Hmm, problem dropping in naked hyperlink FYWP!
Yatsuno
@Steeplejack:
Oddsfish.
Steeplejack
@Yatsuno:
It came out yesterday and was covered on the news last night.
Paul in KY
@eric: Thank you for clarifying that.
Paul in KY
@EconWatcher: Mr. Krugman seems then to be a bit less cynical than I, if he really thought they would disown ‘austerity’ no matter what happened in ‘reality’.
NickT
@Omnes Omnibus:
Sadly, virtuous citizen militias were even worse – as poor old Machiavelli found out.
Anya
@BruinKid: Why don’t you take one for the team? Move to Florida, goad him then, you know, stand your ground! Unless you’re black that is!
Steeplejack
@dww44, @Yatsuno:
First, “Hopes and Fears for the Future of the World.” FYWP.
FYWP demands the “http” prefix at the start of a hyperlink. Almost all the linky failures I have seen stem from this. But, oddly enough, FYWP stripped out the “http” when I dropped the naked link into my previous message.
ETA: Goddamn it. Message edited to fix further FYWP stupidity. Shoot me now.
Corner Stone
@Steeplejack:
Where is your Kokesh now?
NickT
@Corner Stone:
Dude, you have no Kokesh.
Roger Moore
@Anya:
It sure doesn’t look like it, especially because it turns out that he’s been using essentially the same bullshit ad hominem for years and just hadn’t been called on it so publicly.
dww44
@Steeplejack: Exactly. Dropped in the naked hyperlink but it still didn’t take. But, interestingly, when I tried to actually reply to my first comment, I couldn’t. As hitting the “reply” button actually took me to the NPR site that I was trying to link to. That was just plain weird.
And, yes, I had provided links in the previous version of BJ with no issues.
Steeplejack
@dww44:
The “old” way of doing it still works for me. Just make sure that you get that “http://” prefix in there. The other problem I have seen is that people get a double prefix, because FYWP provides one at the start of the Link field. If you “accept” that and append your hyperlink to it, you get the double prefix, which screws the link. The most reliable way I have found is to copy my address into the Link field, overwriting whatever is already there, then check to make sure there is an “http://” at the front.
(Way too detailed, but I know a lot of people have problems with doing links.)
schrodinger's cat
@Baud: He is mostly talking about investors in capital markets, I think.
ETA: And not your average Joe who is invested in the stock market through a retirement account but someone like Romney.
dww44
@Steeplejack: Thanks, that confirms that what I was doing was correct. I did copy and paste my link into the link field and removed the extra http thingy. It didn’t work for whatever reason. I feel a tad better knowing that you also had issues with FYWP.
Although you did get a link to the piece at Talk of the Nation. Thanks. Actually, I was a bit surprised at Ted Koppel’s sorta progressive vibes, apart from his buying into that “both sides are equally to blame for our excessive political partisanship” meme.