• 8 hours Silver Steadies Following Wild Week In Precious Metals Markets
  • 1 day $5 Million Gold Toilet Vanishes
  • 1 day Gold On The Rise After Fed Rate Cut
  • 1 day Oil Trader Loses $320 Million On Derivative Bets
  • 2 days S&P 500 Officially In An Earnings Recession
  • 2 days Miners Are Weathering The Trade War Storm
  • 2 days UK Credit Card Interest Rates Are Skyrocketing
  • 3 days From Frenzy To Flop, The Death Of This Year’s Most Hyped IPO
  • 3 days Are Smart TVs Spying On Us?
  • 3 days Is Fossil Fuel Divestment A Waste Of Time?
  • 4 days A Russian Billionaire’s Space Quest To Save Humanity
  • 4 days Markets Take Breather As Consolidation Continues
  • 4 days Economic Woes Weigh On Copper Prices
  • 4 days World's Largest IPO At Risk Following Drone Strikes
  • 5 days Gold Is Beating Buffett’s Berkshire Hathaway
  • 5 days What’s Behind The Silver Sell-Off?
  • 5 days The Retail Apocalypse Is Accelerating
  • 5 days The Top Tech Stocks Of The Year
  • 6 days America’s Workforce Elderly Workforce To Double By 2028
  • 6 days Toyota Tests Solar-Powered Prius
Zombie Foreclosures On The Rise In The U.S.

Zombie Foreclosures On The Rise In The U.S.

During the quarter there were…

Billionaires Are Pushing Art To New Limits

Billionaires Are Pushing Art To New Limits

Welcome to Art Basel: The…

The Problem With Modern Monetary Theory

The Problem With Modern Monetary Theory

Modern monetary theory has been…

  1. Home
  2. Markets
  3. Other

The Participation Rate Mystery - Solved!

The Participation Rate Mystery - Solved!

With Charles Hugh Smith & Gordon T Long

25 Minutes - 22 Slides

Charles Hugh Smith and Gordon T Long discuss the puzzle of the falling US Civilian Labor Participation Rate in which all the pundits express concern but few agree on what the root cause is.


Relentless Technology Adancement - Gaining The Right Perspective

Together they show that it is instructive to start with the larger picture going back to 1970 when massive historic computer technology advancements truly began to be adopted.

Technology Adoption Rate

Schumpeter's Creative Destruction was in full swing and accelerated as every industry was re-invented by labor saving technology. As this wave gained momentum real, family supporting full time jobs became scarcer while fewer equivalent paying new jobs were created when the ratio to population growth was properly factored in.


Rapid Entry of Women in The Workforce Distorts Comparisons

Examining the actual participation rate chart from 1970 there is clear evidence of the initial rapid entry of women into the workforce. This surge distorts effective comparisons to today's developments and the cause of the more recent accelerating problem.

Rapid Entry of Women in The Workforce Distorts Comparisons


Three Key Drivers of The Post 2008 Decline

During the post 2008 financial crisis period, there has been at least three key drivers of the further acceleration in the decline of the US labor participation rate. This is in addition to the ubiquitous adoption of productivity enhancing technology and the effective de-industrialization of America:

  • Childcare Costs & Forced Part Time Hours,
  • Labor Age Youth Unemployment and Growth of non-paying "Internships",
  • Rate of Job Obsolescence versus retraining opportunities.

Childcare Costs

... all of these drivers are discussed with insightful discussion on the subject with supporting graphics and illustrations. Listen below:

 

Back to homepage

Leave a comment

Leave a comment