On 16-Aug-2010, bpuharic wrote:

NO one "gets" anything - productivity increased because of imported
materials and equipment (lowering costs - same output with less cost =
greater productivity). Automotion (a good thing) was the other half of
productivity. Your labors are no longer needed.

IOW you think people don't get wages. interesting view of the economy
you have

You don't "get" your pay, you earn your pay, or hopefully earned it (unless
your'e incompetent and protected by the mob) Once you're paid, veryone's
even, no one owes you anything. What you "get" from that point forward
depends on your viability as a useful laborer wage-earner.


and if labor is no longer needed...

why was there full employment for the 10 years before bush's
depression?

No depression, no recession -

1) a flood of money that bloated the financial marketplace as a result of
IRAs and 401k's etc., such accounts only becoming available to the average
schlub in the early 80's, That money supply made the cost of investment (and
borrowing) low so investments were made. and 2) the personal computer
industry, which employed millions and spawned complementary
industries/services. That's all that gave jobs to the otherwise
unemployable.

During the same period (1992 or 1993 and beyond) began the greatest escape
of productive output ever seen, and will never be seen again (too little to
leave). Automobiles, steel, machinery, tools and dies, refined alloys,
electronics, televisions, consumer goods - all off to Mexico and China due
to trade agreements promoted and put into place by Bush 1, Clinton and Bush
2.

When the paper investment market burst (I predicted it for 10 years; the
real estate orgy was obvious to anyone), the PC market reached maturity and
finally left the U.S. in combination with the simultaneous escape of firms
having to leave the U.S., unemployment skyrocketed. (fear by the consumer
kills retail - but so what? It's al foreign anyway - who gain's - Walmart
jerkimo's?) Where will future employment come from? Prisons, minimum wage
retail sales and scams like the financial markets, insurance and
medical/legal fraud. Prisons and retail will employ many but not
reestablish a middle class; the remainder is too small of a group. The
current condition is the new "service economy" you've heard discussed but
not described, hundreds of millions of poor people and a hundred thousand
high income people. There is no recession, "it" won't "get better." (Unless
you get to another country where opportunities exist, to simulate the former
U.S.)