Millennials are killing countless industries — but the Fed says it’s mostly just because they’re poor

zenosanalytic:

cannibalcoalition:

puttingcursesondonaldjtrump:

The short version:

Millennials buy the exact same stuff as the previous generations, but less of it. 

Me at 20: Everything costs too much.
Older generations: Well, stop buying so much stuff!
Me: Okay.
Older generations, ten years later: No wait, we fucked up.

FTFA:

Average real labor earnings for male household heads working full time
were 18% and 27% higher for Gen Xers and baby boomers when they were
young compared with millennials, the study found. For young women, the
difference was smaller — 12% for Gen Xers and 24% for boomers

20-30% higher full-time wages for men. 15-25% higher full-time wages for women. And that is just wages. That was a time when “full-time” was shorter, overtime was expected, benefits(dental, medical, optical, retirement, sick leave, etc) were common, and full-time employment was the rule, rather than the exception, so compensation was actually higher, and for less(though more reliable) work.

And it’s important to note none of this is new or surprising for economics or the financial industry, though to have the fed recognizing it is a welcome change(and probably due to some younger, non-Chicago School econs gaining positions of importance in the Reserve’s hierarchy): setting aside sensible Keynesian economists like Krugman, Baker, and Galbraith who predicted this impact back in 2006-7, Goldman-Sachs was advising corporate clients to shift to an upper-class-centric business model years before the GFC(which they knew was coming, considering they were both inflating the value of CDOs and betting against them). If you’ve ever wondered why Walmart started opening up “boutique” stores aimed at richer patrons around that time, this is why.

Millennials are killing countless industries — but the Fed says it’s mostly just because they’re poor

🔥 technological unemployment and ubi vs wage subsidies and/or abolishing the minimum wage

the-real-seebs:

ranma-official:

blackblocberniebros:

argumate:

mailadreapta:

argumate:

eightyonekilograms:

wirehead-wannabe:

thathopeyetlives:

mailadreapta:

UBI will be disastrous if implemented. Long-term idleness, which is what UBI enables, the explicit reason that UBI exists, is disastrous to the human spirit, and it will inevitable reduce a large fraction of the population to a near sub-human existence.

My preferred solution to the problem (if it is a problem) is a guaranteed jobs program.

I am somewhat inclined to agree with the second sentence, not quite as much with the first. I have a fair amount of hope for such a project, just not very much optimism

(FALC and UBI-plus-heavy-automation combination worries me much more)

What about a guaranteed capital program? Jobs mitigate some of the long-term idleness issues but hardly attack the source. 

Makework feels to me like it might not be that much better than idleness, in that it teaches you, at least on a system-1 level, that work isn’t something that’s *really necessary*, and that it’s just a pointless obligation imposed by authority figures.

Seconded, and maybe it doesn’t even go far enough. Make-work is awful. I can’t overemphasize how much resentment is generated when you’re forced to bust your ass for work that you know for a fact has no point. And to be honest, since a lot of labor in our current economy, even for the employed, is bullshit make-work and the malaise is already obvious, I’m confused as to how someone could think it’s the solution.

At least in idleness you could be playing video games. (I’ve seen the hypothesis floating around that, in utter seriousness, video games are the other half of the UBI puzzle. I don’t know if I believe it, but it’s a delightfully subversive take.)

“idleness” can also involve creating works of beauty that might not be financially sustainable in the current economic environment.

think of all the scientific discoveries and works of art and literature created by aristocrats who were technically “idle”, coasting on inherited wealth.

sure, some people may choose to spend their lives cock fighting or whatever instead, but so what.

“Idleness” can involve creating works of beauty, but honestly argumate, how many people would do that? “Somebody could paint the Mona Lisa in their UBI time” is not a serious argument, because only a tiny, tiny fraction of the population has the inclination and the skills to do that.

The people who already live entirely on gov’t support, what do they do? Does it look like “scientific discovery and works of art and literature”? Do you want to dramatically expand the number of people living under those conditions?

better round them up and send them to the sugar plantations then, for their own good

Who the hell are these fucking super villains who think idleness is bad? Fuck off and head down to the salt mines if you think hard labor is so soul-nourishing. You’ve got no business forcing it on everyone else.

there’s nothing “super” about these villains

Hey, @mailadreapta, you know what reduces people to a subhuman existence? Working fourteen hours a day. Being abused by their boss and just taking it because the alternative is starvation. Having to beg for scraps.

I think mailadreapta may be the unicorn: The actually lazy person.

When evaluating social policies, people assume other people act the way they would act. The people who think people would be lazy and do nothing are the people who would immediately stop and do nothing the moment they had subsistence-level supports, rather than seeking something to do.

Also, the point about UBI is… It’s enough to live on. It’s not necessarily enough for a comfortable life. Virtually everyone I know would trade at least some hours of time for, say, money for video games or something.

But all but one or two of them would make things. If you wouldn’t, mailadreapta, that is your fucking problem, please stop blaming everyone else for a character flaw you are projecting onto them. Find something you care about enough that you’d do it even if you didn’t have to, and grow the fuck up.

jumpingjacktrash:

tiltilla:

declansutherland98:

tiltilla:

declansutherland98:

tiltilla:

declansutherland98:

tiltilla:

declansutherland98:

tiltilla:

declansutherland98:

inkskinned:

Every day I handle more money than I will ever make. Every day.

At the start of my employment, my boss showed me videos of people stealing, and we both had a chuckle about it. How silly they were! There was a camera overhead, and it’s not to watch the shoppers. See, we can’t actually stop shoplifters. They get away with it maybe nine out of ten times. But we, who are watched and tallied and witnessed? We are always caught.

At first it was hard to hold one hundred dollars bills. An amount I had never seen before. An amount that didn’t exist in my household. It’s normal now. Here is something that is not for me.

“What the hell, I’ll take another,” says the man, pondering our 200 dollar watches. What the hell. Total comes to 580 and not even a flinch in his face. I have been working for 11 hours today and made only 110 dollars. It will go to my rent. Today I work for free, it feels. When I get my check, I will have 35 dollars left for food and saving.

The six hundreds he hands me go into the cash register. For a moment, I imagine having money. Then I put it away, counting out his change.

I know for a fact we sell our products for double what they are worth. That I could be making commission. That they could hand me those 580 dollars and change my life and not even mark the difference in their checkbooks. He’s not the only sale they make today, but I am the reason they made it. He’s not the only one spending 600 dollars, but if I hadn’t spent two hours with him telling me about his life, he wouldn’t have spent any. I go home. I don’t own a watch.

I have watched and rewatched a video on how to make salmon four ways. My shopping list is always the same. Pasta. Rice. Tuna. If I can afford butter it was a good week. I dream of the world I will never walk in, where I can throw the best fish fillet in the cart with a shrug. I hold hundreds in my hand and look up at the camera. I put them under the cash drawer.

I go to work. I scrap together my savings. I eat my bowl of rice slowly. My manager takes a paid week off from work just for his birthday. He owns a yacht. 

I’m not worth the cost of a watch.

Maybe if you develop talents and skills you’ll be worth more.

Fuck you in your presumptuous goddamn face.

If there is a desire for a job to be filled, then the person filling it should be paid enough to live.

No? Why should a job my 6 year old cousin could do be rewarded that much? Doesn’t make sense.

Because the job needs filling? Because there is a demand for that skillset to be employed? Because the business which sells $500 watches and obviously makes a significant profit has a need for an employee who can A) Sell a product B) Knows enough about said products to offer information on a range of options C) Can be trusted to handle large sums of money D) Maintains a positive attitude.

Retail IS A SKILLSET. And it is a job that needs filling. We as a society need people to work with customers to improve their experience, and that is evident by the fact that these jobs exist.

If everyone fucking decided they will “Develop” skills to be “worth more,” then who will perform this labor?

The fact is that in our economy, we need people at the base level to work retail. They put in the hours, they work hard, they put up with people’s bullshit, and they deserve to be able to survive.

What doesn’t make sense is creating the need for a person to work full time, and then not paying them enough to survive when working full time.

They don’t deserve to be paid over the odds to do a job that anyone else can. That’s simple economics, basically anyone can perform those roles, it’s not special or unique. Therefore it isn’t rewarded as such.

Being paid enough to eat at night isn’t some high-class goal. He’s not asking for a five bedroom three bath home. He is asking for enough money to pay rent and eat. That bare minimum to survive.

You want to talk economics? Let’s talk about forced scarcity. In America, for example, there is more than enough edible food to feed everyone. Period. Factual statement. There are enough homes that everyone could live in a house or apartment. Factual statement. There is an excess of the bare minimum, and it is forcibly destroyed because of this ideal that jobs that need to be filled still don’t deserve fair pay.

Tell me, what ‘economic sense’ is there in destroying so much food that the poor can’t eat? What economic sense is there in making good employees unable to work by denying them the ability to live on the most basic level? What economic sense is there in creating stagnant wealth pools where the poor can’t contribute to the economy because they lack the means to – even when working.

Here’s the short of it: If you need someone to fill a job, PAY THEM FOR THAT JOB.

How do you know that? You’re hearing this man’s sob story, and assuming that somehow his boss is responsible. He is being payed minimum wage, if his lifestyle cannot live on that. That is his fault alone.

You cannot live on minimum wage. That has been established on study after study. You are wrong. Flat out wrong.

Then blame the government. Do not blame some private entity that just wants to make money. The government is responsible to make sure minimum wage is enough, a random company is not. Do we agree there?

Eat a dick and die. 🙂

i mean, aside from the fact that this idiot is enshrining greed as the highest good (anyone who just wants to make money, and doesn’t want to participate in society in any positive way, is a sociopath), his economic theory is complete bullshit.

when you underpay your work force, the economy tanks.

period.

because the economy of a nation doesn’t run on rolexes. it runs on corn oil and gasoline.

it doesn’t run on the 1%, because the 1% don’t spend enough. it runs on the 99%, and if they’re not buying clothes and food, if they’re cramming up 6 people to a 1-bedroom because they can’t afford an apartment of their own, if they’re walking 10 miles to work because they can’t afford the bus, then money is not circulating and the economy is sliding into the shitter.

the rich want to sit on their pile. morons like @declansutherland98 want to pretend that someday they’ll be rich enough to have a pile to sit on. the rest of us would really like retail workers and other laborers to get paid enough to participate in the economy, thank you very fucking much.

the-real-seebs:

ohemult:

fresh-outoffucks:

pastel-hutt:

Something my middlest brother pointed out yesterday:

The wealthiest people on Earth do literally nothing with their wealth. They do an awful lot with their power, but not the hoarded wealth itself. Any spending or reinvestment is minuscule in proportion to the sheer amount that exists just to sit there and accrue. The wealth grows far faster than it can be spent, so any argument that spending is itself an efficient form of redistribution falls apart. 

Under capitalism, capital races to become inert wealth. It is not a self-perpetuating dynamic system, it’s a system degrading toward a kind of heat death.

Of course. If they spent their money. They wouldn’t have money anymore. The rich suck money out of circulation in the economy and it stagnates indefinitely with them. Any amount they spend, no matter how ridiculous to us will never be a significant fraction because that’s what makes them rich and that’s how they stay rich.

The more rich people there are, and the richer they are, the weaker any economy becomes. There’s no way around it.

Their class warfare propaganda castes themselves as economic saints who “create jobs” as if they’re paying all their wealth out to their employees. If that were the case they’d be losing money the more they expand their business. But that’s not how business works so. Duh. That is a lie. They expand their business only to expand their profits and they always make far more than they pau back, so, literally the more jobs they create the more they suck out of the economy.

They also cast the poor as a burden, in order to pit those with a little to lose (middle/working class) against those with nearly nothing to lose (working poor), keep them squabbling with each other over the scraps of their salaries and tax funded benefits and nobody thinks about the tiny minority that has EVERYTHING and leaves everyone else squabbling over scraps.
But the truth is, the poor can’t afford to save money, sequestering it from the economy. They spend every penny they make and still go hungry. But all that cash flow strengthens the economy. Every penny of every benefit they collect doesn’t stay with them, it gets paid by the government to private interests, like grocery stores and land lords. Benefits for the poor don’t go to the poor they go through the poor right back to the rich anyway.
The poor are the opposite of a burden, no matter how much benefits they receive, everything they get they pay out immediately.

The rich are the ones taking more and more away and never pay back in as much as they take out. The rich are by definition the only real burden on the taxpayer and the economy. If they are allowed to keep getting richer without limit, eventually our economy, society, and political system will collapse under the weight of the money they amass.

The whole idea of market-based economies is that money is in circulation. People work, get paid, use this money to buy things, which pays other people so they can make/buy more things, that are bought/made, ad infinitum.

But when you take a bunch of the profit out of the calculation it just collapses.

It’s pretty rare for money to actually be out of circulation.

When you keep money in a bank, they don’t just have a giant vault full of money. They are usually lending that money out. Which means other people are actually using it.

And, like, look at Elon Musk. Dude’s super rich. He’s been doing Tesla, and SpaceX, and other things, and he’s actually investing his wealth and, yes, creating jobs. But even if he were just leaving the money in a bank somewhere (and thus, not making as much money as he is this way), the money would still be getting used.

jumpingjacktrash:

andinthemeantimeconsultabook:

Personally, I’m still trying to figure out how $12/hr is considered “competitive pay”???? ????

i couldn’t live on minimum wage in 1992, i don’t know why people think you should be able to do it now, with everything so much more expensive.

gen x spent our 20′s crammed up 6 people to a 2-bedroom apartment, living on ramen and clothes shopping at the army surplus store, because minimum wage wasn’t a living wage in the 90′s. since then, rent has doubled, but minimum wage has gone up by a single dollar. so let me reiterate:

they’re not buying anything because you’re not paying them anything, you egregious slime molds.