The death of retail: What do RadioShack and J.C. Penney say about the future consumer economy? Low wage retail work to take a hit.
RadioShack recently announced that it will be closing 1,100 of its 5,000 stores. Holiday sales were dismal and shares were pummeled dropping by 24 percent. The problem of course is that these 1,100 store closures will result in many Americans out of jobs in one of the biggest employment sectors in the country, retail. Yet […]
Personal income faces first year-over-year drop since recession ended: As incomes collapse, spending via consumer credit begins to increase.
There is little doubt that our economy runs on access to debt. Not a tiny bit of debt. But Himalayan mountains of debt. The banking crisis was pitched to the public as one of liquidity but in reality, it was one of solvency. The difference? One is a temporary inability to repay debts while the […]
The biggest export from America? The middle class. The tradeoff for cheap goods and financial cronyism is coming back in a big way.
There is always a tradeoff in economics. The adage about a free lunch comes to mind to the rise of low wage capitalism in America. It is a complicated web driven by financial cronyism and a system largely driven by ignoring the plight of the working class. The story of US manufacturing is probably one […]
Low wage capitalism with a dab of cronyism: Of job sectors with the highest growing raw number of positions 9 out of 10 will pay $35,000 a year or less with little to non-existent benefits.
There was a big miss with the latest employment report. The addition of 74,000 jobs produced the weakest employment report going back to January of 2011. Yet part of this is not a surprise given the weak retail sales over the holidays at the expense of cash strapped American consumers. If you dig deep into […]
The booming non-labor force in the United States: Those not in the labor force surged by nearly 1,000,000. A large portion of added jobs were in low wage sectors.
Any job is a good job for the headlines. While one part of the BLS survey showed that US payrolls increased by 200,000 last month, another survey finds that nearly 1,000,000 Americans dropped out of the labor force. That is right, a stunning 932,000 Americans simply dropped out of the labor force last month bringing […]
Means-Tested recovery: Over 108,000,000 Americans received means-tested benefits in latest report from Census Bureau, more than are currently employed full-time.
The Census Bureau released some interesting data in October. One of the pieces of data that we knew was coming was the continuing decline of household income. This decline is in line with the growing income disparity that is occurring in the US. Another piece of data made this trend abundantly clear. The comprehensive data […]
McJobs for McAmerica – Fastest growing jobs in low wage sectors. Of 10 largest occupations in US only one pays more than $35,000 per year.
The end of the Great Recession has done little to protect the middle class. The largest employment growth has come from low wage positions. According to Social Security data on wages the per capita wage for Americans is $26,000. Your typical household is pulling in about $50,000 per year. The growth in low wage jobs […]