Don’t Blame Capitalism
by Admin on Jul.02, 2015, under Do the Math, Logic / Fallacies
When capitalism is left alone to function cleanly, it works.
In the U.S., for at least 27 years now, capitalism has been hampered by all manner of government intervention and story telling.
“As documented in Parts 1-3 (Part 1, Part 2, Part 3), the Fed has generated a $50 trillion financial bubble since Alan Greenspan took the helm in August 1987. After 27 years, honest price discovery has been destroyed, thereby reducing the nerve centers of capitalism—-the money and capital markets—-to little more than gambling casinos.”
The real unemployment rate in the U.S. today is much closer to 42.9% than the reported 5.5%. Stockman’s approach to calculating this is very straightforward. How many potential work hours are available from the work-age population, and how many are actually fulfilled. If you have been paying attention at all, you would recognize that with 90+ million Americans no working, the real unemployment rate can’t possibly be 5.5%.
