American Economics Thread

paiemon

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Consolidation. The rich keep getting their way.

That is why I support strongly a Universal Basic Income, just out of fairness.
I would say part of the reason the USA job market is such a mess right now, is because of said consolidation. When many industries such as Tech are dominated by a handful of high profile companies and they all conduct layoffs around the same time (no collusion here!) it creates an outsized downwards push to compensation and swings the balance of power significantly towards employers in terms of hiring.

I think at a minimum UBI should be employed as a form of just keeping the general public content by putting a floor to the standard of living, I mean what could go wrong when you have lots of frustrated, unemployed or underemployed people, some of whom have tech skills and access to firearms. Also, since the bureaucracy to administer the existing safety net can be haphazard they should be all for UBI since it will remove those layers and return the authority with the associated resources to administer them at the choosing of the individual. And while some may choose to abuse UBI, I think the positive impacts it would have on the majority outweigh the downsides. It reminds me of how the USA treated German prisoners during WW2, which was like a UBI scheme that revolved around food. If you were willing to work, you got to eat the same meals as US soldiers. If you weren't, you'd get something spartan like a loaf of bread and all the water you wanted.
 

PiSigma

"the engineer"
I wonder if the back to office mandates from companies are a misguided attempt at rescuing commercial real estate.
It absolutely is. Let me give you an example that I know well personally. I own some shares in this little company called Brookfield, okay they might be a giant property management company.

Anyway, their stocks were down during COVID and never really recovered for awhile. I also own some shares in some investment firms that in turn have their fingers in Brookfield and the company I work for.

Since I listen to a lot of investor calls, one of the things talked about during the investment firm call is they are going to pressure all the companies they own to get back in office. The reason is they have 7-8% of their portfolio in big property management firms who's stock is under performing. So they will tell the CEOs of other firms they own, such as mine, to make everyone go back to office.

My company being 10000+ strong takes a lot of real estate, so when one of the largest share holders tells my CEO he needs to end hybrid work, he does it right away. Screw the employee and what they want.

So now immediately there are thousands more people showing up to the office taking transit, buying coffee, buying lunch, going shopping at lunch.

This activity now means shops in buildings owned by Brookfield (which my company is also located in) is suddenly busy again and can pay rent. So Brookfield profits are higher and stocks recover a bit.

This is all because some a-hole billionaires in Elliot investments want more money.
 

Tootensky

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Millennials and Gen Z living in mom's basement as adults because of low paying jobs? Obviously they have more money for discretionary spending!

赢麻了。
I think that's a little unkind. I'm betting it's just the sign of the times - in the past, when two parents had 4 or 5 kids, they really wanted to unload them into the world as quickly as possible, just to have some more space to themselves. Now that there's usually just one, and it's being raised by a single parent anyway, there's just no push factors for young adults to "emancipate" themselves.
 

HereToSeePics

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US sending an Treasury delegation to China this week to discuss trade, "non-market economic practices and industrial overcapacity" and to lay the groundwork for another China trip for treasury secretary Janet Yellen.

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At this point, I'm not sure if anything constructive could be achieved from either side. With the 2024 elections coming up, any policy agreements would potentially be up in the air in less than a year. Or maybe Janet Yellen just wants more of those psychedelic mushrooms...
 

abenomics12345

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It absolutely is. Let me give you an example that I know well personally. I own some shares in this little company called Brookfield, okay they might be a giant property management company.

Anyway, their stocks were down during COVID and never really recovered for awhile. I also own some shares in some investment firms that in turn have their fingers in Brookfield and the company I work for.

Since I listen to a lot of investor calls, one of the things talked about during the investment firm call is they are going to pressure all the companies they own to get back in office. The reason is they have 7-8% of their portfolio in big property management firms who's stock is under performing. So they will tell the CEOs of other firms they own, such as mine, to make everyone go back to office.

My company being 10000+ strong takes a lot of real estate, so when one of the largest share holders tells my CEO he needs to end hybrid work, he does it right away. Screw the employee and what they want.

So now immediately there are thousands more people showing up to the office taking transit, buying coffee, buying lunch, going shopping at lunch.

This activity now means shops in buildings owned by Brookfield (which my company is also located in) is suddenly busy again and can pay rent. So Brookfield profits are higher and stocks recover a bit.

This is all because some a-hole billionaires in Elliot investments want more money.

Most companies were WFH or hybrid for majority of 2020/2021/2022. Brookfield employees were 100% back to office starting in summer of 2020. They were "leading by example" so to speak. (I don't mean to say this as a compliment by the way)
 
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