Long-term unemployed losing benefits as job picture appears to improve
Nationwide about 12 million people are out of work and actively seeking a job. About 5.1 million of those are considered “long-term unemployed,” meaning they have been looking for work for 27 weeks or longer.
What’s more, one big reason the unemployment rate has been falling is because many people are giving up on finding a job or not entering the labor force to begin with. People not actively seeking a job are not counted as unemployed by the BLS.
Economy Watch – Long-term unemployed losing benefits as job picture improves.
Oil Prices Are Determined in the World Market
U.S. oil production is around 9 percent of world production. Even very large increases in U.S. production would have only a minimal effect on world oil prices, and therefore a minimal effect on the price of gas in the United States.
Thomas Friedman Goes Euphoric on Energy Production
Dean Baker comments on Thomas Friedman’s “vision” of US energy independence.
[I]magine that there were severe droughts in Africa and Asia that caused the world price of wheat to quadruple. Guess what would happen to the price of wheat in the United States? That’s right, it would also quadruple. The reason is that wheat producers would export their wheat to take advantage of the higher prices available elsewhere in the world, so we would have to match the world price in what we paid for the wheat consumed in the United States.
via Thomas Friedman Goes Euphoric on Energy Production | Beat the Press.
A Tax on Christmas Trees?
The Obama administration has imposed a 15-cent tax on Christmas trees in order to pay for a new board tasked with promoting the Christmas tree industry.
In classic media reporting bias, Fox released this non-news article in faux outrage. The author trips over himself trying to position this as a slam on the Obama administration.
Nonetheless, the article has intermingled with tid-bits of facts a heaping dose of subterfuge. The bottom line is this, economically, the tax incidence is likely to be shared between suppliers and consumers. I don’t presume Christmas trees to be particularly inelastic, so there may not be a lot of leeway anyway.
Of course, Fox and its Conservative ilk, go on at length to marginalise government involvement in private affairs, and so when a private industry group effectively requests assistance and government agrees (and wants to do the sensible thing, which is to ensure the programme costs are covered), we hear complaints about government meddling.
Moreover, whether government assessed the fee or not, the industry would still have to pay for the campaign, in which case the costs still need to be covered.
Finally as with any advertising or PR campaign, the goal is to increase demand in order to diminish the marginal costs of operation. So, sorry, Judson Burger, you are the Grinch here.
via Merry Christmas? Agriculture Department Imposes Christmas Tree Tax | Fox News.
Eliminating Minimum Wages as a Jobs Plan?
Fox News said Cain’s opportunity zone plan risks angering unions because it would enact policies they consider bad policy, such as the elimination of the U.S. minimum wage.
Eliminating unemployment is a necessary yet not sufficient solution. We need living wages. At issue here is not whether eliminating minimum wages would diminish joblessness (increase employment); rather it is to question living standards. Implementing a policy as this would create a larger poverty class. Even currently employed workers in affected areas would suffer as they would now be competing in a race to the bottom.
via Cain to scrap minimum wage in poor areas? – politics – Decision 2012 – msnbc.com.
Supply and Demand?
A humourous commentary on supply and demand economics…
- Customer: $15 bucks a glass?
- Calvin: That’s right! Want some?
- Customer: How do you justify charging 15 dollars?
- Calvin: Supply and demand.
- Customer: Where’s the demand?! I don’t see any demand!
- Calvin: There’s lots of demand!
- Customer: Yeah?
- Calvin: Sure! As the sole stockholder in this enterprise, I demand monstrous profit on my investment!
- Calvin: And as president and CEO of the company, I demand an exorbitant annual salary!
- Calvin: And as my own employee, I demand a high hourly wage and all sorts of company benefits! And then there’s overhead and actual production costs!
- Customer: But it looks like you just threw a lemon in some sludge water!
- Calvin: Well, I have to cut expenses somewhere if I want to stay competitive.
- Customer: What if I got sick from that?
- Calvin: ”Caveat emptor” is the motto we stand behind. I’d have to charge more if we followed health and environmental regulations.
- Customer: You’re out of your mind. I’m going home to drink something else.
- Calvin: Sure! Put me out of a job! It’s you anti-business types who ruin the economy!
- Calvin: I need to be subsidized.
Peanut butter prices are going up
The price of peanut butter, that American lunch bag staple, is going up, The Wall Street Journal reported Tuesday. The reason: peanut prices have skyrocketed after a hot, dry summer decimated the crop.
via Life Inc. – Holy Peter Pan! Peanut butter prices are going up.
Recession officially over, but US incomes kept falling
In a grim sign of the enduring nature of the economic slump, household income declined more in the two years after the recession ended than it did during the recession itself, new research has found.
Yes, Johnny Depp will take those millions, thanks
“Basically, if they’re going to pay me the stupid money right now, I’m going to take it,” the 48-year-old star told Vanity Fair in the magazines November issue. “I have to.”
via Yes, Johnny Depp will take those millions, thanks – The Marquee Blog – CNN.com Blogs.
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