Friday, February 3, 2012

Employment Soars

New jobs increased  by 243,000 in January and the unemployment rate dropped to 8.3 percent, according to the Bureau of Labor Statistics.

Keynesian forecasters were, again, blown out of the water. Their forecasts expected an increase of only somewhere between 140,000 by 103,000. new jobs.

Not only did payrolls exceed forecast but, get this, between the November and December BLS revisions increased the number of new jobs by 160,000 more than indicated in the first releases.

The total number of unemployed fell below 13 million for the first time since February 2009, while the total amount of employed Americans rose to 141.6 million.

The economy is clearly in a Bernanke manipulated recovery. Something Keynesian economists such as Paul Krugman didn't see despite Bernanke printing new money 24/7. Bottom line: The Keynesian model, used by Krugman, is seriously flawed and has little value in detecting changes in trends in the economy.

Only Krugman, because of his Keynesian backing, would say something this stupid in December (when the economy was already turning)
....under depression conditions — which is what we have now — inflation is very much a positive thing.
BTW: Krugman is just as clueless about price inflation, as the year progresses, price inflation is going to become a very serious problem.



  1. My favorite clueless Keynesian? Ezra Klein. He starts a blogpost off like this today: "The strangest thing about January’s jobs report is that it’s pretty much all good."

    Not so strange if you read Wenzel, Ezra.

  2. So what, there are less people employed.

  3. What about the $1.2 million folks who 'disappeared' from the workforce in January?

  4. This is the FEDs/elites gift to the current US administration for a job well done.

  5. What about the $1.2 million folks who 'disappeared' from the workforce in January? - dont worry , he'll remove that post too.