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PoliGAF 2012 Community Thread

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Hey GhaleonEB, EV, anyone into economics - I'd be interested in hearing your take on this:

JPMorgan's equity strategist Tom Lee -- known in the biz for being steadily bullish -- is out with a report saying that the whole bad jobs report, which freaked the heck out of the market, might actually be a result of bad seasonal adjustments.

The title of his note: Seasonal Adjustment Wrong? May Payroll Gains (NSA) Best Since 2000

Why does he think that the number was wrong?

First, on a non-seasonally adjusted basis the Establishment Survey (which is what's used for the official new jobs number) came in at +800K, one of the best numbers of the decade.

The alternative household survey, also not seasonally adjusted came in at +732K jobs and was THE best since 1999.

Finally he notes that the Citi Economic Surprise Index is following familiar seasonal patterns (tumbling in the spring and troughing in the summer) suggesting that season effects on data is dominant.

His bottom line: The US market is now getting very cheap, with some kind of bottom coming in the next two months. Any possible driver, such as ongoing housing improvement, some action in Europe, a strong tilt towards Romney in polling, and China stimulus could put stocks into overdrive.
It's so weird to me that you have all these great indicators of job growth and then the report comes out and it stinks. Can we maybe look forward to some good revisions next month?
 

Al-ibn Kermit

Junior Member
Can I just ask something.

Is this thread really better off in this forum? I always forget to come to this forum and I feel like there used to be so many great discussions in this thread, and now it's stifled because it's not in the main forum.

I recognize that the admins on this board almost rarely ever reverse themselves on pretty much anything, anyhow. But I was just wondering what peoples' opinions about it were.

I think it's better here, it's easier to find the thread than when it was in the normal OT section. There's still several pages of discussion a day so I don't think it slowed down or anything.
 
This week in bad timing:

Screen%20Shot%202012-06-01%20at%209.23.47%20PM.png
 
Hey GhaleonEB, EV, anyone into economics - I'd be interested in hearing your take on this:


It's so weird to me that you have all these great indicators of job growth and then the report comes out and it stinks. Can we maybe look forward to some good revisions next month?

Roughly the highest numbers in a decade? This sounds like great news.

Edit:

Honestly, if this is true and we'll see numbers get adjusted, it has such drastically different implications than the earlier numbers. I my mind, it swings from 50:50 shot Romney takes this to Obama has this on lock.
 
Roughly the highest numbers in a decade? This sounds like great news.

Edit:

Honestly, if this is true and we'll see numbers get adjusted, it has such drastically different implications than the earlier numbers. I my mind, it swings from 50:50 shot Romney takes this to Obama has this on lock.
The unemployment rate is calculated by a different measure, the household survey, which showed an increase of over 400,000 jobs - which was canceled out by the fact that 600,000 new people entered the work force.

If that's the reason why the UE rate ticked up, you could take that as good news, I suppose. Perhaps the numbers would even out next month.

I feel there's a kind of psychological barrier between 8% unemployment and 7.9% unemployment.
 
I don't know where you guys are getting that Romney is going to turn to austerity immediately. He has already promised to cut taxes lower than President Bush. Hey Kevitivity, how does it feel to know you are going to vote for a guy that is going to "stimulate" our economy on the supply side? And guess what, he won't even pay for it. This is why everyone laughs at you. Do you know that the Ryan plan won't balance your precious budget till 2040, lol? This is what is going to get passed when you elect Romney. The deficit won't be solved. Who are you going to beat with that stick in 4 years?

Also, I have to say you guys are cutting and running at the first sign of trouble. Everyone knew this was going to be close. Early summer has always sucked for job numbers. Romney is going to fold like the lawn chair he is at the debates anyway. If McCain can get 47% of the vote, then so can Obama and no way Romney can match his ground game.
 
The unemployment rate is calculated by a different measure, the household survey, which showed an increase of over 400,000 jobs - which was canceled out by the fact that 600,000 new people entered the work force.

If that's the reason why the UE rate ticked up, you could take that as good news, I suppose. Perhaps the numbers would even out next month.

I feel there's a kind of psychological barrier between 8% unemployment and 7.9% unemployment.

I was focusing more on the total number of jobs added than the UE rate. How do they get 69k from these other figures?

Edit:

From the BLS website it seems they're trying to determine the number of jobs added on top of what would be expected from typical seasonal growth?
 

GhaleonEB

Member
Hey GhaleonEB, EV, anyone into economics - I'd be interested in hearing your take on this:


It's so weird to me that you have all these great indicators of job growth and then the report comes out and it stinks. Can we maybe look forward to some good revisions next month?
I don't want to go all conspiracy, but something doesn't add up in this month's report. Literally all of the data feeding into this - ISM, UI claims, ADP, job openings, the works - pointed to 2x-3x the number. The estimates from Bloomberg's survey of economists ranged from 95,000 to 206,000 for the month. I can't recall a BLS survey undercutting literally everyone before.

I have no idea what's going with the numbers, but the BLS figures are totally disconnected from the data that historically has aligned with it. Not saying they're wrong. Just that I do not understand why they are what they are, when every other signal goes the other way.
 
Also, I have to say you guys are cutting and running at the first sign of trouble. Everyone knew this was going to be close. Early summer has always sucked for job numbers. Romney is going to fold like the lawn chair he is at the debates anyway. If McCain can get 47% of the vote, then so can Obama and no way Romney can match his ground game.
I still think Obama will win, though I'm parring back my hopes a bit. Obama could probably win by about 2-3 points and still have a comfortable margin in the EC. Barring something catastrophic it won't be more than 5 points either way, probably.

I guess I'm more concerned about the Senate at this point, but if Democrats hold all of the blue state seats (including WI and VA) it should be fine. The House might be out of reach at this point but we'll see. I have to imagine the presidential race would track pretty closely to the generic congressional ballot - CNN had Obama and Democrats both leading (Romney and Republicans, respectively) 49-46.
 

Diablos

Member
Bill Clinton on Bain Capital: Another Cory Booker Moment?
By Erik Hayden | @Erik_Hayden | June 1, 2012




bill-clinton-cnn.jpg





It only takes a few words, even out-of-context ones, for a well-disciplined campaign message to disintegrate. Just ask Newark Mayor Cory Booker. And now, it’s Bill Clinton’s turn. Last night, the ex-president may have just stuck “another fork” — as the Washington Post‘s Aaron Blake put it — in the Obama campaign’s carefully-honed attack against Mitt Romney’s experience at Bain Capital.

It may not matter that–sitting with guest host Harvey Weinstein on Piers Morgan Tonight–Clinton said that he believed Obama would win reelection “by 5 or 6 points” and argued that the president’s ideas “will be far better for the American economy” than those of the GOP nominee. Weeks ago on Meet the Press, Booker also praised the president, just before going off-message by calling his reelection campaign ads against Bain “nauseating.”

Clinton found himself in similar circumstances. “I think he had a good business career,” he said of Romney, when queried about Bain. He also called Mitt’s record “sterling”, adding “So I don’t think that we ought to get into the position where we say this is bad work. This is good work.” Since it isn’t likely that the ex-president will film a “hostage-style” apology video, as critics of Cory Booker’s subsequent YouTube clip deemed it, it’s fair to wonder about the extent the Obama campaign will be attacking Bain from now on — especially after U.S. stocks suffered their worst drop of the year Friday following weak economic data.

Mitt Romney, for one, was happy to welcome Clinton’s’ thoughts. “I think Bain Capital has a good and solid record. I was happy to see President Clinton made a similar statement … and called my record superb,” he said on Friday, according to Politico.

The Obama ads painted Mitt Romney, in the words once used by also-ran GOP candidate Rick Perry, as a pure “vulture capitalist.” One spot prominently featured a laid-off factory worker who said that Bain was “like a vampire.” At the time, Obama campaign officials had stressed that they were not going after the entire private equity industry. But, as many reporters have noted, it’s difficult to separate Bain’s actions from everyone else’s.

Steven Rattner, the former adviser known as Obama’s car czar, summed up the problem with the anti-Bain strategy when he spoke on MSNBC’s Morning Joe a few weeks ago. “Look, Mitt Romney made a mistake ever talking about the fact that he created 100,000 jobs,” Rattner said. But he also added: “I do think to pick out an example of somebody who lost their job, unfortunately, this is part of capitalism, this is part of life. And I don’t think there’s anything Bain Capital did that they need to be embarrassed about.”


##################


With surrogates like this who needs the GOP fighting against Obama? Jesus Christ!
Wow, thanks for nothing Bill.

Romney + Bain = nightmare for the common folk. Respect for Clinton -1.

His smooth talking southern shit wouldn't have done a damn thing for him if he were the President of the US today.

In some ways I kind of blame Clinton for at least part of the reason why the GOP is so far right. Think about it. He practically embraced all of their policies and left them with no ground to stand on, so of course they'd have to shift even more to the right to remain politically viable. The "third way" looks great in the short term, but look at what we have today: a complete clusterfuck.
 
I hope my state, Minnesota, can flip a couple house seats.

In MN-08 Rick Nolan was endorsed over 2010 loser to Bachmann in MN-06 Taryl Clark who will still run in the primary. I think Nolan is the stronger pick since he represented the district in the past. Dude seems like a serious progressive too. Chip Cravaack, the Republican representative I don't think stands a chance given the tradition of the Iron Range but then I thought the same in 2010 I'm sure.

Next best pick-up is MN-02 where redistricting has made this a toss up as Obama got 50% in the new boundaries I read somewhere. Mike Obermueller plans to bring back the Ober to Minnesota representation after Jim Oberstar lost to Cravaack in 2010. His opponent is the Republican representative John Kline who is slime.

I'd place Batshit Crazy as the next most likely to flip in MN-06. She has a lot of money but redistricting went against her as well. And if no 3rd party pulls 8-10% as some dipwad did for like all her wins this could be tight. Jim Graves is her opponent. He's rich after launching successful hospitality enterprises and seems to have a pretty focused message.

That would leave Erik Paulsen in MN-03 as the safest Republican. Having briefly lived in this district I can attest that the people there are out for themselves, out of touch and lacking any sense of decency. Brian Barnes is the challenger. His website seems timid in his stances. I'd be shocked if this one flips.

So 2 seats seem possible for the Dems to pick up. I think Bachmann will have her hardest fight yet. But if she falls maybe Paulsen will too. The Republican Senate candidate is a Ron Paul supporter who will not win nor does Romney appeal to the masses here so maybe Republican turnout will be down.
 

Suikoguy

I whinny my fervor lowly, for his length is not as great as those of the Hylian war stallions
Yeah, if those job numbers get revised upwards...
 

Kosmo

Banned
Wow, thanks for nothing Bill.

Romney + Bain = nightmare for the common folk. Respect for Clinton -1.

His smooth talking southern shit wouldn't have done a damn thing for him if he were the President of the US today.

In some ways I kind of blame Clinton for at least part of the reason why the GOP is so far right. Think about it. He practically embraced all of their policies and left them with no ground to stand on, so of course they'd have to shift even more to the right to remain politically viable. The "third way" looks great in the short term, but look at what we have today: a complete clusterfuck.

Clinton hates Obama. He will do nothing to support him this year.
 

codhand

Member
Someone show me Romney's path to 270, please? Clinton looks anorexic, private equity whore he is now, been eating greenbacks instead of burgers, thinking he's a sage, and not some former scoundrel.


I hope my state, Minnesota, can flip a couple house seats.

Me too, I was born in Bachmann's district, a point that shames me each waking day.
 

eznark

Banned
JUNE SURPRISE

mwahahaha.

Music to my fucking ears. Eat shit, Walker.

Until an actual news agency picks it up, Id hold off on the celebration. That fishing expedition has been going on the over two years, it'd be pretty convenient to charge him now, no?
 

FyreWulff

Member
Why do people want the death of Unions? Realize you agree with Walmart.

It's possible to not want the corrupt and/or broken unions without agreeing with Wal Mart. Sorry.

The ones that actually care about the workers and do more than just collect dues are few and far between these days. Especially bullshit like certain unions trying to get rid of the secret ballot and forcing them in with carding only.

Workers need to demand organizations that will actually stand up for worker's rights everywhere, all the time, and not just optimizing dues money payouts.
 
Why do people want the death of Unions?
Because they believe the propaganda that unions exist only to protect bad workers, for some reason.

This certain class of people who are obsessed with the idea that someone is getting a free ride and that unions exist solely to make those free rides happen obtain this mindset via projection. They are the ones who are lazy and are looking for a free ride and they think that's how everyone is. They realize that "there oughta be a law" and disregard how it would affect honest and hard-working people.

Unions also commit the crime of bankrupting companies with their outrageous wage and benefit demands of a decent middle-class life and actually being able to save money.
 

Stinkles

Clothed, sober, cooperative
To hate unions you must believe that corporations will naturally act to benefit their employees and ignore the fact that corporations do not behave that way.

Or hear about how you should hate unions from limbaugh and just believe it.
 

codhand

Member
It's possible to not want the corrupt and/or broken unions without agreeing with Wal Mart. Sorry.

The ones that actually care about the workers and do more than just collect dues are few and far between these days. Especially bullshit like certain unions trying to get rid of the secret ballot and forcing them in with carding only.

Workers need to demand organizations that will actually stand up for worker's rights everywhere, all the time, and not just optimizing dues money payouts.

I agree with your post 100%. But does Scott Walker simply "not want corrupt or broken unions"? Do the Koch brothers who Walker likes to answer his cell phone for simply "not want corrupt or broken unions"? Of course not, they want the death of them, plain and simple. This isn't about fixing something, it's about a libertarian ideology executing on its most cruel intents.
 

FyreWulff

Member
I agree with your post 100%. But does Scott Walker simply "not want corrupt or broken unions"? Do the Koch brothers who Walker likes to answer his cell phone for simply "not want corrupt or broken unions"? Of course not, they want the death of them, plain and simple. This isn't about fixing something, it's about a libertarian ideology executing on its most cruel intents.

Well, of course those guys don't want them at all, it saves them money in the short term. All it really boils down to for those guys is "we republicans, dems like unions, so we don't like unions, harpadarp". Instead of fixing them in a way that benefits both sides (like say, capping work hours or overtime hours so the employer isn't paying twice what they should for the same labor and the workers aren't zombies by the time they get home), they just try to nuke them.
 

codhand

Member
"we republicans, dems like unions, so we don't like unions, harpadarp".

That is hilarious. Lol

I love that you talk in specifics though on how to fix unions, which at this point, I mean, they basically are dead, our generation will witness it happen. I work with a lot of union construction workers, and I know what most of them make, it's nothing to be upset or thrilled about. The benefits are what's nice.
 
the constitution only binds government entities. no rights are being violated when a private employer fires his employees for being in a union. i don't think libertarians are necessarily saying that laws should be passed banning all unions, but only that the laws protecting unions should be repealed and employers should be allowed to fire employees for any reason.

it is an insipid, ideological, impractical, and ahistorical approach, but it is a logical, coherent, and internally consistent idea.

their opposition to public sector unions is just to save money and be ideological. i wonder if there is any case law on whether the government is infringing on the freedom to associate when it passes laws forbidding its employees from organizing. i gotta take a class on labor law before i graduate.
 
That is hilarious. Lol

I love that you talk in specifics though on how to fix unions, which at this point, I mean, they basically are dead, our generation will witness it happen. I work with a lot of union construction workers, and I know what most of them make, it's nothing to be upset or thrilled about. The benefits are what's nice.

That is what is important though. Employer based insurance is already going down every year and unfortunately in the current US system that is awful.
 
Small correction: "No Unions" is not the libertarian philosophy, it's just the inevitable end result of the actual philosophy "Free Market Unions". They want no government involvement with unions. That means no laws against any union busting tactic capital can get away with, and that would be the end of unions.

Sort of the same thing with discrimination. Libertarians don't discriminate because that's not "liberty"-- except for their version of liberty also completely allows for it and thus lets it flourish as much as "the market will allow", which they claim it won't anywhere, but it obviously will to an outrageous degree.
 
their opposition to public sector unions is just to save money and be ideological.

I think it's more than just ideological. It's class warfare. Reducing the bargaining power of public sector employees also reduces the bargaining power of private sector employees. Reduced worker bargaining power always translates to a greater share of a business's revenue for management and investors. Republicans' and Libertarian's aims almost invariably reduce to attacks on employee bargaining power. That is where the class war is waged.
 

Stinkles

Clothed, sober, cooperative
Small correction: "No Unions" is not the libertarian philosophy, it's just the inevitable end result of the actual philosophy "Free Market Unions". They want no government involvement with unions. That means no laws against any union busting tactic capital can get away with, and that would be the end of unions.

Sort of the same thing with discrimination. Libertarians don't discriminate because that's not "liberty"-- except for their version of liberty also completely allows for it and thus lets it flourish as much as "the market will allow", which they claim it won't anywhere, but it obviously will to an outrageous degree.

You know I sometimes think there are some slight flaws in the (otherwise logically and morally watertight) Libertarian philosophy.
 

codhand

Member
employers should be allowed to fire employees for any reason.

it is an insipid, ideological, impractical, and ahistorical approach, but it is a logical, coherent, and internally consistent idea.

their opposition to public sector unions is just to save money and be ideological. i wonder if there is any case law on whether the government is infringing on the freedom to associate when it passes laws forbidding its employees from organizing.

I agree with this post, but, two points, one is that the "reason" you mention for firing someone ends up being to save money, like laying off teachers, custodians, police, firefighters, and other social services, not because they showed up late, or were insubordinate.

And as for passing a law that forbids unions, why? The intimidation and other shady practices used by most major companies are enough to prevent most unions from ever forming, so a law at this point--much like with Walker's actions--is just a redundant beating of an already dead horse.

We've all met people who loathe any mention of a union, and will never be convinced that a union could ever benefit anyone; 55% of Wisconsin stand with Walker it would seem, the greatest trick the devil ever pulled.
 
Unions are good for the education of American children. Unions are one of the few groups who have fought to have class sizes remain at thirty or less children. Then again, a lot of educators in the south have no unionization rights :(

Sure, there's the argument which says they just want more teachers but research backs up lower class sizes. Barely any studies, like the one Mitt likes to cite, support the notion that class size does not matter.
 

Vahagn

Member
Democrats need to begin an intelligent strategy of painting Republicans as engaging in class warfare. It needs to be well thought out and delivered because these "Bain Attacks" for example, are backfiring.

We inherently believe in excessive greed at the top, and that Republicans watch out for that class of people more than any other, but democratic politicians haven't been able to message the idea effectively. Obama has done a decent job around the edges because the public approves tax increases on the rich...which is a big deal and a shift in thinking at goes along with occupy/99% messages.
 
Democrats need to begin an intelligent strategy of painting Republicans as engaging in class warfare. It needs to be well thought out and delivered because these "Bain Attacks" for example, are backfiring.

We inherently believe in excessive greed at the top, and that Republicans watch out for that class of people more than any other, but democratic politicians haven't been able to message the idea effectively. Obama has done a decent job around the edges because the public approves tax increases on the rich...which is a big deal and a shift in thinking at goes along with occupy/99% messages.

My question again on same note, how frequently can Reid bring up the same bill for debate vote in the Senate?
 
Why are idiots blaming Clinton for what he said? I saw the whole thing, and what he said was precisely true. He said Romney had a sterling record at Bain, which is completely true. He became a multi-millionaire at Bain and made truckloads of money for himself and his buddies. Yeah, he shafted the little guys and sharked businesses but he made tons of profit for his company. He may have the moral fiber of an apricot, but that is definition of a good businessman. The perfect CEO for his shareholders. Don't chew on Clinton for this.
 
Why do people want the death of Unions? Realize you agree with Walmart.

I was forced to listen to Walton and Johnson (sp?) at work the other day, and they started a tirade about how much more competitive China is in terms of labor, and it's all because they don't have those pesky unions.

I was shaking my head in disbelief.
 
I was forced to listen to Walton and Johnson (sp?) at work the other day, and they started a tirade about how much more competitive China is in terms of labor, and it's all because they don't have those pesky unions.

I was shaking my head in disbelief.

This is why businessmen make terrible office holders. Adam Smith thought so too.
 
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