Quick Thoughts on Payroll and a GDP-Less Recovery

Correct. And a great analytical statement in economic language of what conservatives have been arguing in sentimental language, and what austrians have been arguing in inter-temporal language (where inter-temporal language acknowledges the differences in production cycles, and where human beings themselves are one of those cycles.) : **The misallocation of capital into the financial sector and the consequential misallocation of human beings into unnecessary skill sets and regions.**

Tongue in cheek: I knew you’d catch on eventually.

Now, all you have to figure out is how to achieve your humanitarian ends using Keyenesian spending and monetary policy without creating another even worse bubble, with worse allocations of human capital — or at a minimum,

While at the same time, you’ll have to figure out how to replace what has blocked us from doing this in the past: which is the teacher’s unions and the DOE in eduction, and the collaboration between the unions and the government. That the right succeeded in balancing union collusion with wall street collusion still moved the emphasis away from dealing with industrial policy and education reform.

My theory is that industrial policy is highly testable, and makes a government accountable, which is why politicians avoid it and work with monetary policy, government spending, and the two polar ends of the society: unions and financiers. Labor and Finance use government to transfer risk from entrepreneurs. Meanwhile businesses have to defend themselves from predation from both directions, and either flee to alternative jurisdictions and labor pools, or pay for rents as their only alternative. And they have rallied enough of the population behind them to make it possible.

Then when you’re done. You’ll realize that all government spending must be conducted using the german model (with the consent of industry, in the service of industry) in order for people in politics to possess sufficient knowledge to know how to apply spending and credit.

Sometime after that you’ll figure out (which my libertarian friends never will) that the US military if not used for nation building but for punishment of anti-market behavior, is our most profitable industry, and makes it possible to for us to export dollars as long as it’s a near monopoly. At that point you’ll be done with your personal intellectual development.

lol
Curt

“Quick glance over the internals seems to suggest we are still “loosing ”

losing.