Could this be what Obama meant when he said "“to fundamentally transform America?"
The jobless rate in the 17-nation euro zone reached 11 percent in March and April, the highest since the start of the data in 1995, Eurostat, the European statistical agency said in Luxembourg. The previous record had been 10.9 percent in February, Eurostat said, after it revised March’s figure upward from the 10.9 percent initially estimated.
“We have an economy that’s freezing up, it’s clearly not creating jobs,” Peter Dixon, global equities economist at Commerzbank in London, said. “But right now policy makers’ main concern is to ensure that the peripheral countries’ governments and banks can stay afloat. Given that, the real economic data is taking a back seat.”
But before long, he said, unemployment “is going to be a major problem for those countries,” as it rises to the top of the political agenda and further complicates the financial problems.
US and European regulators are essentially forcing banks to buy up their own government's debt—a move that could end up making the debt crisis even worse, a Citigroup analysis says.
Regulators are allowing banks to escape counting their country's debt against capital requirements and loosening other rules to create a steady market for government bonds, the study says.
While that helps governments issue more and more debt, the strategy could ultimately explode if the governments are unable to make the bond payments, leaving the banks with billions of toxic debt, says Citigroup strategist Hans Lorenzen.
"Captive bank demand can buy time and can help keep domestic yields low," Lorenzen wrote in an analysis for clients. "However, the distortions that build up over time can sow the seeds of an even bigger crisis, if the time bought isn't used very prudently."
"Specifically," Lorenzen adds, "having banks loaded up with domestic sovereign debt will only increase the domestic fallout if the sovereign ultimately reneges on its obligations."
The banks, though, are caught in a "great repression" trap from which they cannot escape.
WTF? As Europe's jobless rate goes up, the US jobless rate has gone down......thank you Obama. We are not Europe, and Obama is not a socialist....but you knew that. I guess maybe you think if you call him a socialist it will be true. Your wishful thinking and $2.50, might get you a cup of coffee.
archer wrote: WTF? As Europe's jobless rate goes up, the US jobless rate has gone down......thank you Obama. We are not Europe, and Obama is not a socialist....but you knew that. I guess maybe you think if you call him a socialist it will be true. Your wishful thinking and $2.50, might get you a cup of coffee.
Maybe Europe's rate is measured more accurately than ours. Like the big lie, if you are no longer looking for a job, you don't count as unemployed.
Thomas Sowell: There are no solutions, just trade-offs.
archer wrote: WTF? As Europe's jobless rate goes up, the US jobless rate has gone down......thank you Obama. We are not Europe, and Obama is not a socialist....but you knew that. I guess maybe you think if you call him a socialist it will be true. Your wishful thinking and $2.50, might get you a cup of coffee.
Maybe Europe's rate is measured more accurately than ours. Like the big lie, if you are no longer looking for a job, you don't count as unemployed.
archer wrote: WTF? As Europe's jobless rate goes up, the US jobless rate has gone down......thank you Obama. We are not Europe, and Obama is not a socialist....but you knew that. I guess maybe you think if you call him a socialist it will be true. Your wishful thinking and $2.50, might get you a cup of coffee.
You must have missed today news... it went UP... and BLS also adjusted the number for the last two months. Keep up with the plan.
archer wrote: WTF? As Europe's jobless rate goes up, the US jobless rate has gone down......thank you Obama. We are not Europe, and Obama is not a socialist....but you knew that. I guess maybe you think if you call him a socialist it will be true. Your wishful thinking and $2.50, might get you a cup of coffee.
Maybe Europe's rate is measured more accurately than ours. Like the big lie, if you are no longer looking for a job, you don't count as unemployed.
Spin skippy spin.
Good to know you are jumping with joy about 8.2% unemployment, I am sure your neighbors disagree. For the good old days of "W" when the unemployment rate was below 8%.
Thomas Sowell: There are no solutions, just trade-offs.
FredHayek wrote:
Good to know you are jumping with joy about 8.2% unemployment, I am sure your neighbors disagree. For the good old days of "W" when the unemployment rate was below 8%.
There you go again, putting words in my mouth I never said. Does that make you feel like a smart guy? That you can somehow devine what I'm thinking? No....it makes you a liar. 8% is never good. But we have been improving, even with the sometimes bad news like today. Yours is the same flawed logic of the anti-global warming crowd. Oh look.....it's cold today, see.....there is no global warming.
FredHayek wrote:
Good to know you are jumping with joy about 8.2% unemployment, I am sure your neighbors disagree. For the good old days of "W" when the unemployment rate was below 8%.
There you go again, putting words in my mouth I never said. Does that make you feel like a smart guy? That you can somehow devine what I'm thinking? No....it makes you a liar. 8% is never good. But we have been improving, even with the sometimes bad news like today. Yours is the same flawed logic of the anti-global warming crowd. Oh look.....it's cold today, see.....there is no global warming.
But even your buddy Barack has admitted we aren't improving enough and now we are losing ground.
And talking about deceptive numbers, under "W", 62% of us had jobs, now we are down to 58%. Can we really afford four more years of Obama stagflation? Carter II, the sequel.
Thomas Sowell: There are no solutions, just trade-offs.
But even your buddy Barack has admitted we aren't improving enough and now we are losing ground.
