3.07.2004

Stephen King: US recovery is creating jobs, just not in the US The Independent (3/08)
The markets hoped they'd get an elephant but, in fact, they got a mouse. A mouse that sent the dollar lower against sterling and the euro. A mouse that led to a rally in US bonds. And a mouse that stood up to the world and roared out its message loud and clear: "The US is still facing a jobless recovery."

---SNIP---

Companies may be hiring more workers but there is no reason why companies should specifically be hiring US workers.

---SNIP---

If companies are doing well precisely because of their ability to outsource and offshore, it makes no sense whatsoever to expect a recovery in corporate profits to feed through to a recovery in workers' incomes. In this Brave New World, profit strength - and labour market strength in China and India - may be driven by exactly the same processes that are giving rise to labour market weakness in the US.

0 Comments:

Post a Comment

<< Home