It seems like there is a lot of bullshit spewing from the lips of government interpreters. Not just at selfie-opportunistic funerals, where the interpreters are invited to conduct interpretive dance, but coming from the very government departments responsible for providing timely and accurate data. Full disclosure: I frequently rely on government data in my research and work (did you think I was going to admit to working for a government data generating entity? HA! No, I generally look down on government employees as problem-creating dregs of unemployment flotsam gently collected by the ever benevolent infinite-multiplier-generating welfare state.)
Really though, I mean that we are faced with ever more questionable data coming from our government. Case-in-point: yesterday (April Fool’s Day), the government announced that 7.1 million people had “signed-up” for health plans under the Affordable Care Act exchanges (the ACA is of course the euphemism for the budget busting Obamacare legislation). How, after being totally incapable of producing numbers for seven to fourteen days after the last day of each month, has the government suddenly, within hours, been able to announce 7.1 million sign-ups? I will tell you: like many government metrics they made it up to fit the story. I would bet that 7.1 million accounts were opened on the exchanges – that says nothing of who selected a plan, completed the enrollment, and paid their premium (much less will continue to pay their premiums for the remainder of the year). Maybe the government counted some more activities beyond just opening an account… maybe 1 million people stood in line yesterday to fill out paperwork and they counted those people too.
Like many government metrics, the ACA sign-ups are all too questionable. What is the real unemployment rate? If we counted something beyond the headline rates, we would look at the total people who want to work (or work more) but cannot do so for economic reason – this is typically the U-6 unemployment rate: as of February 2014 it stood at 12.6 percent, seasonally adjusted, or 13.1 percent non-seasonally adjusted. This rate is generally declining, despite our adding more working age adults to the population each month than there are jobs created. In other words, unemployment is declining while workforce participation rates are also declining – are people retiring by the hundreds of thousands each month? Yes, I know how these calculations are made. Truth: they are made to reflected well on the current administration. Jack Welch called it when he proclaimed the unemployment numbers bullshit, and it turns out, he was right! Somebody rigged them that month. The truth is, they are rigged every month, but in a way that makes them seem official. The truth is, America is shedding jobs.
Low-skill, non service jobs are fleeing the US or suffering significant wage suppression. When you let millions (yes, fucking million!) of low-skill immigrants run across your boarder and refuse to send them home, they end up taking jobs – how can you deny it. The labor force increased (INCREASE IN SUPPLY) while employers simultaneously reduced demand (see above). Econ 101: prices (i.e. wages) fall. The government institutes a price floor (minimum wage), and employers (the purchasers of labor) decide they need even less – resulting in off-shoring and automation. Better yet: the same fucking people who got laid off and had their jobs shipped off to Asia run out and buy a bunch of shit from Walmart to soothe their tired souls with rampant consumerism. HELLO?!?! Walmart buys all of its shit from ASIA! Not America. You fucking consumered yourself right out of a job… dumb-ass.
Now you have government mandated health care requirements – your insurance MUST pay for routine maintenance. That’s not insurance (but I’ll leave that argument alone for some other day). Why the fuck would I employ people full time when I have to pay a salary (okay, that’s fair, people should get paid a market wage for their work), train them, pay taxes on them, provide ultra-expensive insurance, and run the risk that I hired an idiot. Instead, I could buy a machine to take your order – boom! Problem solved. While you’re busy demanding a wage increase for the skills you don’t have, I am busy calculating the returns to labor and capital and deciding when to replace you.
Do I agree with it? It leaves out the equity argument, which many economist do (and I admit, I omitted it and often do). I don’t agree with it, but it is the expected outcome of the constant progressive push to decrease the returns to labor, increase the labor force through shitty immigration policy, and stick your fucking fingers in every aspect of business. So? 7.1 million people signed up for the ACA plans? Great. If it is true, and every one of them paid, all I see is a massive tax bill in the future – a huge wealth transfer to people who Walmart shopped their way out of employment and demand pay for no skills. One more government mandated lie to cover up the massive bureaucratic, centralized over-reach destroying every facet of what was once a beautiful republic where economic freedom was the cornerstone of all of our liberties.