George Soros says he worries about the future of globalization. Another silver lining.
Btw, in the interest of heresy for heresy’s sake, I actually agree with Soros on certain things, just as I agree with the Kochs on certain things (as opposed to, for example, Sheldon Adelson with whom I never agree). But that doesn’t mean that they’re still not ruling class bastards.
By Kenneth Rapoza
Only some of roughly 36 million jobs lost since the beginning of the lockdowns designed to protect hospitals from surging cases of COVID-19 patients are not coming back in a V-shaped or a U-shaped recover. The University of Chicago estimates that 42% of the recent layoffs will result in permanent job losses.
“We find three new hires for every 10 layoffs caused by the shock and estimate that 42% of recent layoffs will result in permanent job loss,” writes Jose Maria Barrero, Nick Bloom and Steven Davis from the Becker Friedman Institute at the University of Chicago in a working paper titled “COVID-19 As A Reallocation Shock” published on May 5.
Most of those workers are now surviving on a record level of unemployment insurance. That means that some workers, including part-timers, are actually making as much or more from unemployment than if they were collecting a paycheck. But that stimulus is not permanent, unless the Democrats get away with their universal basic income policy to give people around $2,000 a month — a nice subsidy to corporate payroll.
New initial claims came in at 2.98 million on Thursday, lower than the 3 million-plus in previous weeks, but not much less. Jobless claims also beat consensus estimates. Barclays expected 2.5 million.
Categories: Economics/Class Relations