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Mortimer Zuckerman, publisher of U.S. News and World Report, looks behind the unemployment numbers and points to U-6 the real measure of under utilized labor and of workers working part time because of a lack of full time work, and says this is at about 15%. Add the eight million who quit looking and it is 19%, says Zuckerman The unemployment rate of 8.1% does not reflect the eight million workers who have quit looking. The long term unemployed, workers unemployed for more than 27 weeks is at 40.7%, or 5.2 million workers. Fewer Americans work today than in 2000, even though the population has increased by 31 million. Only 96,000 jobs were generated in August 2012. Something is seriously wrong and the right steps have not been taken.

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Newspapers like the New York Times are seeing an increase in digital ad revenues . The Times showed a 21% increase in digital ad revenue in second quarter 2010, with digital accounting for 26% of total ad revenue. But total digital ad revenues for newspapers is only $2.7 billion, and is still too small to make up for the $24 billon loss in print ad revenue from 2000 to 2009. On line classifieds are hardest hit. For newspapers display ads offer the best opportunity on line.

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This review of Acemoglu and Robinson in the MIT News is relevant to the situation faced today. The two professors at MIT and University of Chicago, have provided two books relevant to today's crises, the first "When Nations Fail" in 2012 about the need for inclusive nations, and the second "The Narrow Corridor" about the importance of the role of individual and society in sustaining democracy. Their point in the first book "When Nations Fail" in 2012 coming after the financial crisis caused by banking excesses stated that the nations fail when they are not inclusive.  In practice it is about " the system being rigged" to favor some groups as the Republican party and Mr. Trump say has happened. The banks and lobbyists, pharmaceutical industry and lobbyists, tech industry and lobbyists, leading to a system where individual and society are pushed into a corner. Social theorist and economists fail to look at things in practice such as profit seeking behaviours and unethical behaviour that goes unchecked, which continued after the financial crisis into the election of 2016, with charges of rigged systems.  This week Germany's DW.com oped pages covered New York with the statement that treatment in New York costs $15,000 for coronavirus infection illness yet many New York residents in the worst affected neighborhoods would find a $500 expense difficult to bear. Early closing of schools to control infection rate was resisted by Mayor De Blasio of New York because many parents depended on schools for lunches for their kids. The situation had been allowed to deteriorate to that level.  In their second book the MIT authors are saying that the role of the individual and society are important to check that of the state (for example if it is perceived as being rigged by the influence of lobbying of legislators and politicians as the Republican party and Mr. Trump have maintained). It is only when it is checked and there is some tension is there the possibility of democracy and democratic processes, say the two MIT authors. In the absence of this the states and elites of politicians and business interests supporting the leaders and their common behaviours, become a perpetual state, in effect a one party rule of two parties with similar behaviours and interests in the state. A situation that allowed the outshoring of American manufacturing and European manufacturing to China including critical infrastructure, essential infrastructure over 2 decades even over the protests of Mr. Lighthizer since 2010. As the twin crises evolved in Europe of austerity policies after banking excesses in Europe, and the migration crisis of migrants coming from North Africa and the wars in the Middle East, a similar situation began to develop in Europe as the political elites entrenched in Germany, France, and Spain faced new voices. The tensions that arose were constructive bringing in the role of society and individual that the MIT authors say are so necessary for the narrow corridor of democratic process to function. New parties emerged in France with Macron's La Republique En Marche, Podemos and Ciudadanos in Spain, and in Germany with the SPD and CDU shrinking till the revival of Merkel for her handling of the pandemic. Coming from an intuitive way born from experience in East Germany, Germany's recent president Joachim Gauck, civil rights activist  came up with the same ideas. He is a Lutheran pastor in former East Germany who struggled against the government of the German Democratic Republic (former communist East Germany) for a role for individual and society against the state. We profiled and quoted him in "The Way Forward"  column in Lyrarc.com. Gauck's point was that  having diverse groups in the conversation is important, not excluding others from outside in the conversation is important. Gauck called  debate "the oxygen of democracy,"  that needed to be maintained.  Genuine democratic process is hard to sustain, it happens only when the role of individual and society is given prominence, so that only a narrow corridor exists for democracy, a narrow space in which can be sustained only if the effort is there, the goodwill is there, and the grace of Divine Providence.  It is fragile and it is critical to sustain.   In this sense the sometimes heated debate in the U.S. and Europe, Asia and Latin America about words such as- austerity, community, solidarity, migration, New York Mayor De Blasio's choice between school lunches and infections, about infrastructure, pharmaceutical prices, infrastructure, outshoring, jobs sent overseas, manufacturing locally, made in USA or made in India or made in France, Atmannirbhar Bharat, misallocation of capital starving health and public services, are all relevant and essential for democracy. This includes the discussion to avoid use of the military in protests in American cities in the middle of a pandemic which just crossed the 2 million mark in cases in the U.S., that was taken up by Defense Secretary Esper. In it lies the hope for democracy and many voices. Der Spiegel recent look at the pandemic how it happened in China, closes with the line- you need more than one voice in society. A constant reminder that many voices be heard, counseling patience, but also that wise choices be made with divine providence.           ...

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Information provided by experts suggest that the government plans including the public-private partnership with $1 trillion committment to absorb the bad assets in financial institutions, offered as a general solution without specifics by Treasury Secretary Geithner, will be inadequate to cope with the growing bad debt. Nouriel Roubini at New York University says his analysis suggests that the USA financial institutions are already insolvent. The bad debts of banks he says now surpass bank assets. Roubini has been ahead of the curve in his estimates in 2008, and is respected for his prescient remarks about growing credit problems. In his latest report he says that total losses by American financial institutions and the fall in market value of the assets they hold will reach $3.6 trillion , up from his previous estimate of $2 trillion. Of the total he says American banks face half of this or $1.8 trillion, with the rest borne by other financial institutions in the United States and abroad. Mr Posen an economist at the Peterson Institute agrees. He says the liabilities of of American financial institutions far exceed their assets. The only qualification of this says Posen is whether this should be seen as a temporary panic, or whether the economic climate will improve and the value of bank assets recover from depressed values. Raghuram Rajan, of the University of Chicago graduate business school, agrees that if the banks had to sell these assets today at distressed prices then they are insolvent, but if there are calmer times say in ayear or so and values recover then banks may get anew lease on life. So much of this depends on market psychology, market confidence and the economic climate improving. The only problem here is that as happened in 2007 and 2008, the recognition, awareness and action has fallen behind the speed and accelerating manner of the downturn. The Bush administration, Congress, and the American public support, have all been lacking in providing the vigorous action needed, compared to the speed with which the crisis hit in the October 2008 to January 2009 period. The transition between administrations added to this effect. The total lack of any Republican support for the Obama administration's effort continues this effect. Now the Geithner plan with few specifics for a public private partnership for tackling the bad debt, and the lack of action on a bad bank solution with government takeover of certain banks as needed, continues this pattern. The constricted credit meanwhile continues to hit business with an additional hit from dropping sales, leading to layoffs across all industries, which simply worsens the housing crisis and growing foreclosures. So all across the spectrum government action is at worst very late as in the slow response to foreclosures, where the $50 billion proposed now should have come in early 2008, and the banks halting foreclosures and modification efforts proposed now should have come in early 2008 as proposed by Bair and Feldstein. And at best government is just catching up to the credit crisis as with the Fed and FDIC efforts to contain and stabilize it, with inconsistent results and the collapse of some financial institutions like Lehman Brothers. The lack of consensus in Congress and the inexperience of the new administration, means more valuable time will be lost in crafting an effective response in the manner of the bad bank solution. What all this means is that the overall response in 2009 as in 2008 will also lag behind, and the opportunity for a decisive solution is slipping away even as the cost of that solution is climbing, putting it further and further beyond reach. See the link to Hiroko Tabuchi's article titled In Japan's stagnant decade, Cautuonary Tale for America, February 12, 2009, NYT. Tabuchi touches on just this point, that the American experience in 2007-2009 is just like that in Japan where the response lagged the problem in strength and effectiveness till 2003, after years of wasted effort....

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Christie's London based head of wine, David Elswood, says what he has seen in the last year from Chinese buyers is people paying virtually any price for wine. He calls this uncontrolled spending. Value of wine auctions reached $120 million in 2010, double the $64 million in 2009. Auction houses Sotheby's and Christie's say their auctions of wine in Hong Kong will raise more than sales in London and New York combined. Sales broke auction records at an Oct 29 auction, when three bottles of Chateau Lafite's 1869 vintage each sold for a record $230,000. The number of billionaires in China jumped by 60% in 2010 and this is inflating the bubble in wine. Chinese collectors now hold one in 4 bottles of vintage wine globally, according to Crown Wine Cellars. This company stores HK$1 billion of wine in a network of converted ammunition bunkers in Hong Kong.

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Professor Patterson of Harvard University has some serious observations on what has happened and what could be the way forward in America as it faces the lack of opportunities for a better life for minority communities trapped in cities with a deteriorating quality of life.  Between 1985 and 2000 a higher percentage of black children, about two thirds of black children, grew up in high poverty segregated areas than in the period between 1955 and 1970, according to a Pew Trust study of 2009. This affects everything from social mobility, life chances, potential for downward mobility. Particularly so because by 2016 the gap between black and white incomes has worsened, says professor Patterson. With this segregation has become worse in America at the level of neighborhoods where people actually meet, he says, citing a 2015 paper by Daniel Lichter of Cornell University.  In some ways segregation says Dr. Patterson is worse than in the 1960's. This could be because of downward social and economic mobility. Events such as the mortgage financial crisis of 2009 with bad decisions by the banking industry disproportionately hurt the black and minority communities. The trade imbalance and shift of manufacturing overseas hurt manufacturing jobs for white and black communities. Weakness in education and health services also hurt poorer communities of all races and color. In some ways the work of presidents Harry Truman and Lyndon Johnson in the 50's and 60's may have created more hope and a sense that "a rising tide lifts all boats" in economic opportunities that may have been lost in the work of presidents after Clinton with loss of jobs in manufacturing for ordinary black and white Americans alike. The bad decisions by the banking industry and selling of bad mortgages, worsening health care options with overpricing in the medical field, all compounding the effect on  ordinary Americans. In a separate interview in the Harvard Gazette professor Patterson says de-ghettoization, moving to the suburbs is one way to better opportuntiies in the suburbs. For this to happen more moderate income housing is needed in the suburbs. A cultural change in attitudes comes with a shift to neighborhoods where communities can interact and meet. For this to happen strict zoning laws that prevent moderate income housing in suburbs such as in California and many other states needs to change. As professor Orlando Patterson says here in the Harvard Gazette and in the WSJ more Americans with liberal views need to put their money where their voices are. A stronger economy, education for changes in cultural attitudes in classrooms, cultural literacy, more manufacturing in America to create better middle class wages and jobs for Americans of all communities giving industry a role, and more of the affluent putting their money where their voices are for better integrated living in the suburbs not just for a few, are ways to bring better life for Americans.   ...

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GM stock was trading on the New York Stock Exchange at $29.97 on April 18, 2011. It has dropped from the $33 a share IPO in November 2010. To breakeven the U.S. government would have to sell its stake in GM at $53 a share. The government is planning to sell its stake in GM this summer according to informed sources. At the current price this would mean the government would take a loss of $11 billion. The IPO in November reduced the government's stake from 61% to 26.5%. Higher gas prices have reduced sales of trucks and SUV's and the sales incentives in January and February 2011 are expected to reduce earnings.

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Compared to the situation in North Africa in 2016 with emigration to Europe and the migrant crisis happening without any preparation to prevent it in 2015-2016, Germany and France are acting in coordination with Russia and Turkey, Saudis, UAE, to provide stability to the region. Angela Merkel will host leaders Macron, U.S. Secretary of State  Pompeo, and representatives of foreign powers in Berlin to work out a deal for disengagement of foreign powers. Turkey and the United Nations support a government of National Accord in Tripoli which controls the west of Libya, and a Libyan-American Mr. Haftar has a militia that controls the south and east with the help of Egypt, UAE, and Russia. Earlier the U.S. under president Trump had distanced itself from the region, but Mr. Trump and his advisors now see the need to engage in the region to ensure stability, and support the Europeans in the effort to prevent the large scale emigration that threatens European unity. Europe following the 2015 Merkel migrant crisis is acting with the policy of heading off both wars, terrorism and economic dislocation that fuels emigration right at the points of origin, before it even starts. This shows that the French after action in Ivory Coast and Mali and the Germans with aid to Africa are remaining involved in development and stability programs in Africa, lessons learned from 2015. The goal of the Berlin meetings is to arrange high level agreement for foreign powers to withdraw from destabilizing the Arab regions in North Africa particularly Libya by supplying weapons and support to quarreling factions. ...

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Petrobras set a record for emerging market debt issues by exceeding the $7.5 billion bond sales by Venezuela in 2007 and earlier sales of $7 billion by Qatar and Russia, according to Dealogic. It made a $11 billion bond sale to investors in May 2013 with bonds maturing in 10 years priced for yield of 4.522%. Petrobras plans to spend $237 over five years for new deep water offshore fields in the Atlantic which require advanced technology and large investment. Petrobras bonds traded at about $1.10 on the dollar in May 2013, after reaching a high of $1.15 in 2012, according to MarketAxess BondTicker. Petrobras is one of the biggest emerging market bond issuers, and investors were becoming cautious because of the large issuance and government involvement in Petrobras. Yet with 10 year Treasurys yielding 1.922% investors looking for high yields placed $40 billion in orders in New York on May 13, 2013.

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As the final Republican tax bill is debated in Congress on December 19, 2017, Senator Bob Casey cited the following points from the Joint Committee on Taxation Report on the floor of the Senate.  1. Americans building their hopes that their pay checks in February 2018 will be increasing are in for a big disappointment said Senator Ron Wyden of Oregon, a senior member of the Finance Committee. The Joint Committee on Taxation estimate is that for the 57 million families making less than 100,000 dollars a year the tax cuts in the Republican legislation will either not reduce their taxes or reduce the taxes by about $100 a year. 2. The bill does little for the big tasks facing America of rebuilding failing infrastructure. Senator Casey cited 4500 bridges needing repair or replacement in Pennsylvania alone. It also does little for health care access for middle class families and is likely to lead to 10% increase in health care premiums. Affordability of college and other hurdles of middle class and working class families remain unaddressed.   3. The $9 billion in the estate tax cuts would finance the Children's Health Insurance program which has expired.  4. The $36 billion in tax cuts for corporations comes at a time when corporate profits are at the highest they have been in 15 years, according to Vanguard founder Bogle. He also points out that wages as a percentage of GDP are the lowest in 15 years. The tax cuts in the Republican bill are not likely to correct this imbalance.  5. The share of GDP of people making more than one million dollars in 1980 was 11%, this is up now in 2017 to 20%. This has led to questions about the wisdom of these tax cuts which disproportionately benefit a very small percentage of Americans who do not need these tax cuts, and come with significant sacrifices for the middle class in terms of what is available in public services, and the cost to their children as infrastructure and access to health and education is made more distant because of a growing U.S. debt from this tax cut. The big problem then with this bill is that it further damages intergenerational mobility in the U.S., undermining the foundation of a democratic society. Damage has already happened in the past three decades as Federal Reserve chairman Janet Yellen pointed out at a conference on Economic Opportunity and Inequality on Oct. 17, 2014, saying-"The past several decades have seen the most sustained rise in inequality since the 19th century after more than 40 years of narrowing inequality following the Great Depression." This is why there is substantial agreement in the media from the Wall Street Journal's Greg Ip to Krugman in the New York Times that the bill fails to correct a harmful trend, and goes further in the wrong direction for a democratic society.       ...

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Details of the $825 billion stimulus plan. Renewable energy does well under the plan including production tax credit for renewables, with $32 billion for a "smart" electrical grid for which GE makes components and lobbied for. Renewable energy producers win an extension of production tax credits now convertible into cash for companies whose losses leave them unable to use the credits. Transportation infrastructure green projects did not do so well, with $32 billion for transportation projects and only $10 billion for mass transit projects.The Natural Resources Defense Council had compiled a list of more than 80 environmentally friendly infrastructure and transportation projects worth about $405 billion. Only a small number of these projects made it. What is in the stimulus to create jobs and stimulate capital investment? Businesses get bonus depreciation, which speeds up depreciation deductions for companies that invest in plant and equipment. The stimulus doubles the amount small businesses can immediately write off for capital investments and purchasing new eqipment, and gives incentives for businesses to invest in renewable energy. States get help with $90 billion going to increase the federal share of Medicaid payments, and an additional $79 billion to help states avoid cutbacks in education and other services. And there is a "Make Work Pay" tax credit for $500 per worer and $1000 per couple. Experts say the effects of the stimulus will be felt in the latter part of 2009 and into 2010. Which is one reason the view of economists that there would be a second half recovery does not reflect conditions on the ground. Goldman has revised its view to 2010 and even that may be optimistic. One example of what has happened in the stimulus in this respect is that the earlier optimistic view of largeinvestments in science and technology, broadband networks, and transportation projects for fast rail and transit have all been trimmed down. Part of the reason may be that the bill for the nation's banking system revival may be larger than realized as an additional amount of $15-20 billion is being negotiated for Bank of America and more money will go to Citigroup. $6 billion is shown for highspeed internet access for rural and underserved areas. Science facilities get $10 billion. Repair of public infrastructure (read roads and bridges) gets $31 billion. School modernization gets $21 billion. And modernization of health information technology systems gets $20 billion which its hoped will provide equivalent or higher returns to pay for some of the universal health care costs, and preventative care gets $4 billion. There is a tax credit for R&D work on energy innovations and renewable energy production of $20 billion, and $32 billion for a "smart electricity grid." These are the proactive parts of the stimulus that create something new and make improvements. They add up to $144 billion. So much money goes to shore up the existing services and supplement incomes, and to relieve stresses on the banking system, and other ways to shore up the system, that the proactive expenditures are only a small fraction or 17% of the $825 billion stimulus. And all the time the federal deficit and debt increases with these huge outlays just to shore up the system. The Heritage Foundation Data Analysis Director Mr. Beach told Congressmen at a discussion chaired by Congressman Cantor (R), on January 16, 2009, that the federal debt would reach 92% of the nation's GDP in 2009 from 58 billion or 70% in 2008, with the $825 billion for stimulus. The federal deficit would go up to $1.31 trillion or 9.2% of GDP up from $541 billion in 2008. See the research paper on the Heritage website. ...

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The title may not reflect the content of this report on Admiral Giroir who heads the U.S. coronavirus testing effort. He is a pediatrician who worked for hospitals in Texas before heading a vaccine project at Texas A&M University.  Internal politics led to his resigning from the effort to build a vaccine development capability with pharmaceutical companies at Texas A&M. Most of the rest of this report shows a physician who is determined to pursue big projects such as the one he is tackling today. President Trump appointed him to lead FDA, and to be the Assistant Secretary of the Department of Health and Human Services. With the missteps of Secretary Azar testing suffered in the early months of the crisis as reported in the WSJ. Adm. Giroir has taken a leading role since  this period. He also heads the U.S. Public Health Service Commissioned Corps of 6200 staff playing a vital role. On March 13 he was asked to lead the effort in testing.  He comes to this role with experience in the field of vaccines realizing that "the challenges are not just biological but engineering." New technology would be needed to make massive amounts of vaccine. His idea is that transformational efforts are needed. His idea for a billion dose per month facility in Texas did not work, yet he worked on it for about 5 years from 2010 to 2015 at Texas A&M University, at one point being the vice chancellor. He was selected by Texas Governor Perry as chairman of the task force in Texas in 2014 to oversee the effort to fight the Ebola virus. He now is in a position to bring all his experience and aspirations to tackle the coronavirus, cutting through much of the red tape and bureaucracy, and pulling together the effort combining science of pharmaceutical companies with the technology of manufacturing billions of vaccine doses in a record time. Today he sees capacity for testing reaching 40-50 million tests a month by September 2020.   ...

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JP Morgan Chase CEO Jamie Dimon's confidence in Ina Drew was based on her hands on abilities, especially demonstrated during the 2008 financial crisis. Current and former bankers in this account by the Times Silver-Greenberg and Schwartz, say things changed in the years that followed. In 2010 Ina Drew was ill with Lyme's disease. The conflicts between the risk taking propensities of traders at the London trading desk under Mr. Macris, and the more risk conscious New York trading desk under Ms. Duersten, had already led to shouting matches under Ina Drew. After her illness and her absence from the office for long periods this spilled out into the open. In early 2011 Ms. Duersten left Chase after 16 years. Her replacement who would be new to Chase could not restrain the risk taking propensities of Mr. Macris and the London trading desk, the way Duersten and Ina Drew had done earlier. Macris and a trader reporting to him, Mr Iksil (referred to as the "London Whale" for his massive trading positions and bets), were free to operate without any restraint in this environment. Ina Drew returned in 2011, but she was not the same hands on person after the illness. She moved to the corporate offices on the 48th floor, instead of being on the floor above the New York trading desk. In 2008 she had held daily meetings with traders required to defend their trading positions. This did not happen in 2011. Jamie Dimon learned about the London Whale in the Wall Street Journal, April 6, 2012. Dimon's efforts in pushing back against stricter regulation, stress tests, and other issues were to lead to the CEO of the 2008 crisis becoming a much more distracted person in 2011. He was taken unawares by the breakdown in the relationship between the London and New York offices of the Chief Investment Office, the changed situation of Ms. Drew, and that risk management controls at the bank were not in place. Risk management overly depended on one person and the trust of the CEO in that person, and was not institutionalized. At the same time it should be noted that Jamie Dimon became CEO of Chase after the acquisition of Bank One in 2005, and Ina Drew was hired in that year, only three years before the crisis of 2008. The merger of other banks into JP Morgan Chase created a bank with $360 billion investment portfolio- even Ina Drew had never previously handled a portfolio of this size and the complex risks brought in with the Washington Mutual portfolio....

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International arrivals to the US that were still down by about 35% in June last year over the pre pandemic levels of 2019, are going to be only about 20% below prepandemic 2019 levels this summer 2023. The cost of gasoline for people in the US is about $3.57 a gallon compared to $4.60 last summer. Justin Lahart in WSJ says Americans with steady checks and low unemployment are willing to spend on trips this summer. Among Americans about 40% still avoided travel by airplane, train or subway in 2022. This is now down to 18% or less in 2023.

Traditional vacations are up as old style remote work vacations are receding. Marriott, Hilton and other hotels, and airlines report strong demand. Older people who spend more are also joining the trend this summer leading to higher spending. This may even help the US avoid a recession, says Lahart.

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What were the stories in the Economist magazine that were the most read stories of 2019? Not on president Trump. On Malaysia, China under Jinping, and exodus from San Francisco and Silicon Valley. The most read article was on the newly elected president of Brazil, Jair Bolsonaro. The mismanagement of the economy particularly extravagant state spending on the Olympics and soccer stadiums for the World Cup at the expense of basic sanitation services, bus and transport services, health services, led to the result of a majority of Brazilians rejecting the Workers Party and its leader former president Lula. Unfortunately most of the media including the Economist did not draw attention to this gap. During a period in which income from mining with export of iron ore, and soyabeans to China, enabled Brazil to live beyond its means, there was no effort to draw attention to glaring gaps in development of public services such as sanitation, bus services and transport, lack of building infrastructure other than to support mining. Glaring gaps in education and health services made the situation worse. The second most read piece in the Economist  was on March 10th- Malaysia's PM is about to steal an election. Here the Economist magazine joined the Wall Street Journal which originally broke the story on the 1MDB fund and irregularities in Malaysia where a development fund was misused by the government. Najib actually lost that election and the WSJ covered the story of the developments that followed in which Malaysia's new governemnt led by a returning former prime minister in his nineties Mahathir Mohammed, ousted his own protege Mr. Najib.  The third most read piece in the Economist magazine was - How the West got China Wrong.  Unfortunately the Economist magazine and most of the media covered China in the two decade long boom years without covering the other emerging story as well in which Mr. Lighthizer (now president Trump's top trade adviser) and others questioned the huge unsustainable trade surpluses in U.S. trade with China. With the economy facing huge downside risks and rising trade tensions with the U.S. Chinese president Jinping's move to remove the limit on terms in office in the Constitution was considered a shift from the notion that China was likely to turn into a democracy. Mr. Jinping had already completed his first term in office and the anti-corruption campaign, managing the economic boom for a soft landing, was carried out with the central leadership of the party, after the destabilization evident in the early part of Xi Jinping's first term. Much of China's path was predictable and rational behaviour in its national interest, what was not clearly defined or defended was the way the U.S. could sustain the trade deficits that had reached a billion dollars a day. Leading to Mr. Trump seizing on this as an election issue to form a bloc of voters separate from the two main parties, the Republicans and the Democrats. The fifth most read piece was on Oct 11, 2018- the next recession. It pointed out that with low interest rates central banks in the U.S. and Europe and America could not cope effectively with a recession. The sixth most read piece was on June 29, 2018- Bullshit jobs and the yoke of managerial feudalism. It cited Prof. David Graeber of the London School of Economics, who wrote a short essay that went viral on the prevalence of work that had no social or economic reason to exist, work he called "bullshit jobs". Graeber said people want to feel they are transforming the world around them in a way that is leading to a positive difference. No. 7, 8, 9, were on Bitcoin, Netflix and programming language Python. No. 10 most read was on Aug. 30, 2018- Why startups are leaving Silicon Valley. It showed that in 2017 more people left the county of San Francisco than entered. The main reason the cost of living was burdensome and out of control. As Amazon shifts attention to India and Brazil, and Apple pulls back from India, social media companies coming under fire for disinformation, this period of Tech is making way for a shift in a new direction. A direction that focuses on people's lives, wages, spending on much needed infrastructure and services. ...

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Patrick Chovanec of Tsinghua University, says the loan target for 2011, though smaller than 2010, will still be over one and a half times the money lent in 2008. Stephen Green, head of research for Standard Chartered, says if anyone is printing money, it appears to be China's central bank, not the US. During a meeting of the Central Economic Work Conference in Beijing goals are being set for the next 12 months. One expert predicts the governmet may set official targets of 4% inflation (it is running at about 4.7% at this time) and 6.5 trillion yuan of lending in new loans in 2011, compared to 7.5 trillion in 2010. Questions remain whether China can manage a soft landing after the huge surge in lending and the continued asset bubble.

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The participation of Islamist men who did a lot of the hard fighting against Gaddafi with secular leaders in the new government of Libya. Islamist leaders complain the west does not understand them and their aspirations for freedom above all else. One Islamist leader says westerners think we want to lock up our women in boxes. See the amazing account of Belhaj in an interview with Nordland of the New York Times, Sept. 1, 2011. Belhaj is an Islamist who led the rebel fighters into Tripoli and was appointed head of the administration in Tripoli. He tells Nordland he is grateful to NATO for its help and holds no rancor for the past.

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A report published by Capital Economics of Toronto, based on Labor Department data, shows the U.S. is not adding the kinds of jobs with the pay, benefits and hours of the 8.75 million jobs that disappeared during the recession. Labor Department data support this analysis. The number of food preparation and serving workers are expected to grow by 394,000 by 2018, but the pay is only $16,430 for these jobs. The good well paying jobs are continuing to be lost. Large employers such as Lowe's home improvement chain is eliminating 1700 managers, and adding 10,000 weekend sales positions and new assistant store manager positions. This use of parttime workers also reduces income levels of workers. The impact of this is to limit the consumer spending. As local government is shrinking from budget cuts, better paying jobs are being lost in state and local government, and workers are earning less in the new jobs that do similiar work.

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This letter in the New York Times questions the wisdom of the NYT report that Mr. Rosenstein suggested in 2017 Justice Department meetings the need for invoking the 25th Amendment for the removal of the U.S. president Trump. It says this would lead to departure of Mr. Rosenstein as Deputy Attorney General and leaves the Mueller investigation into Russian interference in U.S. elections without support from the Justice Department. Mr. Rosenstein says today he does not see a need for the invoking of the 25th Amendment

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This is an high exceptional report in the NYT by Rosenthal, Fitzsimmons and Laforgia on the crumbling infrastructure in the U.S., taking the New York subway system as one of the most glaring examples of this failure of public administration since World War II. The woes of the system amount to a kind of defunding of the subway system for update, maintenance and technological improvement to meet the doubled ridership since 1950. Read this to understand why this is happening throughout the U.S. for clues to the possible causes, and what needs to be done. As this is now in the hands of ordinary citizens who suffer daily from the inefficiencies, delays, and rundown conditions on the subways compared to other subway systems in Europe, Japan and China. One report in the media in Nov. 2017 says Japan's Shinkansen railways apologized to customers for a train leaving 24 seconds early. Small details get accounted for in other countries, whereas they are ignored here in one of the largest cities in the world. A former New York transit system president from the 1970's calls it "heartbreaking" making him mad when he thinks about what is happening in the way New York subways are run. Financial deals have saddled the New York subway system with added $5 billion in interest on debt in return for  short term cash infusion. The result is that about 17% of the budget goes to paying interest on debt. In 1997 this was about 6%. So that needed maintenance and capital projects suffer. The New York subway system has only a 65% on time record,  the worst of any subway system in the world. And technology dates back to the 1930's with a signals system from that period,  says this New York Times report. Maintenance needs have suffered under the Cuomo administration says this report.  The system has suffered an enormous stagnation, leaving it in a shape that has not changed for decades. There are fewer miles of track than in 1950 after the war, while the ridership of 5.7 million today has doubled. The budget for maintenance has barely budged from 25 years ago. This report says the politicians who ran the city and the state of New York bear much of the responsibility for the crumbling infrastructure of the subways in New York.   ...

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The longer the recession, the lower the wages on the next job and the quality of work in the next job, says Columbia University labor economist, Till von Wachter. It may take years for the wages of these workers to catch up to what they were before the recession. From 2007 to 2009, more than half the full time workers who lost jobs they had held for more than 3 years, and then found full time work by early 2010 reported wage declines, according to the Labor Department. About 36% reported the new job paid at least 20% less than the earlier job.

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The warm and hugely enthusiastic welcome given to India's newly elected prime minister Modi in New York in September 2014

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Kurzabeit is a big part of the social safety net in Germany. It means short time work. When companies face a loss of orders or production or some crisis workers still get paid 60 to 67% of their wages. This avoids layoffs and benefits both employees and the company, as the company can quickly ramp up its production to full capacity with employees working full time. Workers make up for the work lost once the crisis has passed. 

This has enabled Germany to keep the unemployment rate low as in the 2008-2009 financial crisis.

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Vox.com shows 10.9 million unique visitors in October 2014, according to comScore. Vox Media closed a 46.5 million round of financing with General Atlantic, a New York investment firm, in Nov. 2014. which values it at $380 million.