Lack of Wage Pressure
May. 21st, 2017 07:25 pm![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
walkitoutUnemployment is very low, and yet by all measures, there isn't any wage pressure to speak of. That means the measurements are wrong. I've been explaining it like this: boomers (who are at the end of their career, have tons of experience, and are thus expensive) are finally retiring. Millenials (who are at the beginning of their careers, have education but little experience and who are desperate for employment and are thus cheap) are being hired to replace them. The net effect is negative or nothing in terms of wage growth. But not in a bad way. Finally, someone officially is saying the same thing! Yay!
http://www.frbsf.org/economic-research/publications/economic-letter/2016/march/slow-wage-growth-and-the-labor-market/
With statistics!
They are so much smarter than me, so even if you think I am full of shit, maybe you will show them the respect they deserve.
This could go on for a long while. As it happens, it will have several effects. While we will lose the benefit of decades of experience on the part of retirees, we will gain in education (as the replacement Millenials are being hired with the ridiculous expectations created during the bust) -- and innovation energy. And all of this will happen with no net cost to corporations or the economy. This should continue to fuel what is turning out to be The Longest Boom Evah. Great reference in the article to the "Silver Tsunami".
http://www.frbsf.org/economic-research/publications/economic-letter/2016/march/slow-wage-growth-and-the-labor-market/
With statistics!
They are so much smarter than me, so even if you think I am full of shit, maybe you will show them the respect they deserve.
This could go on for a long while. As it happens, it will have several effects. While we will lose the benefit of decades of experience on the part of retirees, we will gain in education (as the replacement Millenials are being hired with the ridiculous expectations created during the bust) -- and innovation energy. And all of this will happen with no net cost to corporations or the economy. This should continue to fuel what is turning out to be The Longest Boom Evah. Great reference in the article to the "Silver Tsunami".