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‘There Won’t Be Any Jobs For Them’: Powell Prods Congress, Warns On Post-Pandemic Economy
"As long as it takes", Jerome Powell said Wednesday, describing the Fed's commitment to deploying every tool at its disposal (and perhaps a few you didn't know it had) in the service of "limiting lasting damage" to the world's largest economy.
Powell's press conference was largely uneventful and came on the heels of a similarly predictable FOMC statement, which simply served to reiterate what market participants already know -- namely that allusions to "V-shaped" recoveries from some analysts a
One of the insights of why the $600/week was so important is that it showed how low the wage level was for so many Americans. Sure, maybe a wage level of $600/week more wasn’t how much under-wealthed many are. But, maybe it does show that the wage level for recipients could have been $300/week higher all this time and it would have been totally legit.
We’ve seen the charts and know what’s happened since the early 1980s with the share of national income going to labor.
I was a fiscal hawk for decades. My mind was blow when in the early 1980s things started to blow out. I have flipped entirely around. This is the time to send out the cash if ever in my lifetime there was a time to print and spend.
And if the schools are opened on a large scale … and the same effect that the Israeli’s saw on their school openings hits the US … at what point does it all collapse? (Not to worry… I don’t think American parents are going to send their children back to the schools during a full blown pandemic.)
Man of Lourdes: Unfortunately, I believe most will indeed send their kids to in-person school, where that option still exists. Because for most, work-at-home is not feasible, and daycares are operating at limited capacities. This is not their preference (parents), but they have no other realistic choices.
Nominating Jay Powell as Fed chair is the only smart thing Trump has done in his three-plus years in office.