Mexicans and Chinese Aren’t “Stealing Our Jobs”, by Bill Bonner

The US government, not the Mexicans and Chinese, are responsible for the drying up of vitality and risk taking, and consequently the job creation, of the economy. From Bill Bonner at bonnerandpartners.com:

GUALFIN, ARGENTINA – Now comes a report from the Financial Times that tells us the nation’s No. 1 industry – homebuilding – has been backing up for a quarter of a century.

According to the newspaper, U.S. homebuilders “started work on the same number of houses in the past year as they did a quarter of a century ago, even though there are 36% more people working as residential builders now than then.”

The report puzzled over the apparent collapse in productivity in the sector.

“Somewhat difficult to believe,” say researchers.

(It’s not so difficult for us to believe… but we’ll get to that in a minute.)

Tremendous Flop

As we’ve written about before, so far, the 21st century has been a tremendous flop.

At least for America.

Economic growth rates have been trending down for 40 years. The number of people with “breadwinner” jobs – as a percentage of the working-age population – is at a 40-year low. And homeownership is back to where it was half a century ago.

There are pockets of prosperity. But get too far from the good neighborhoods and you find dilapidated houses… minimum wages… and drugs.

What happened to all that dazzling new technology from Silicon Valley?

What happened to all that super-duper capital allocation being done by Wall Street – matching young entrepreneurs with trillions of dollars in financing?

And where did all those trillions of dollars in new money – put out by the Fed via its quantitative easing (QE) program – go?

Many are the bogeymen… the fall guys… and the stooges in this spectacle.

Ask around: Some blame the Democrats. Some blame the Republicans. Some blame robots. Most don’t know whom to blame.

To continue reading: Mexicans and Chinese Aren’t “Stealing Our Jobs”

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2 responses to “Mexicans and Chinese Aren’t “Stealing Our Jobs”, by Bill Bonner

  1. Here is the EIG link, if interested.
    https://eig.org/dynamism

    Like

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