“All fixed”
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France’s General de Gaulle once said that the only thing that would unite Europe would be China. At the time he was probably visionary in the knowledge that the Europeans would never unite. There was too much rivalry and there always has been. The British and the French have always been at odds and the French have always been jealously wary of the German’s capacity to work harder than they can and to show the full fruit of their industriousness. The Germans have always secretly known that they are the best and looked down upon the then agriculturally-oriented (and therefore worthless, in their eyes) countries like Italy, Spain and Portugal. He certainly got one other thing correct when he said that it would be the Chinese.
Europeans would only unite when the Chinese forced them to.
China has become not only demographically the leading country of the world, but they have become economically the country to invest in and commercially number one. That’s all cause for concern.
They have taken over from Japan as the Land of the Rising Sun. The sun set a long time ago on that Empire and we don’t even need to mention the failures of the US system that have resulted in its decline. The good thing about the Chinese is that they have no qualms about despising democracy and espousing dictatorship. The West just makes a show of brash support for the former and public outcry at the latter. Then, it does exactly as it chooses, flouting what itdictates to be democratic. The West dictates democracy while the Chinese plod on solemnly on their Long March towards success. China is already the number one trading nation of the world and has been since 2012.
The West will be left in the dark begging for the lights to come back on soon as they realize that China has not only become the world leader in yet something else, namely solar-panels, but also that the West has been pointing their own solar panels in the wrong direction now for years.
A new study that was carried out in the US has suddenly discovered that the solar panels that have been installed around the world and that all face South are in actual fact facing the wrong direction.
According to the study carried out by the Pecan Street Research Institute if the panels face West, they increase electricity production by 49% during peak demand.
What is surprising is that nobody has ever carried out a study on the best direction to gain increases in electricity generation. People simply presumed that it was South that would give the best energy-supply levels. The study showed the panels that faced South only generated a 54%-peak reduction (peak: 3pm to 7pm), while panels that faced Westwards were able to generate a 65%-peak reduction. The CEO of Pecan Street Research Brewster McCracken stated that “there was no other residential demand response tool generating 60% reductions.”
Europe and the West will be going back to lighting candles that they will probably end up buying also from the Chinese in the next few years. How is it conceivable to imagine that those that are paid to do research might not have actually carried out tests to see in which direction the solar panels should have been facing?
China is set to become the world’s leader in all renewable energy sources. Not only will they have the world economically-speaking but they will have the world in terms of controlling their energy supply.
Originally posted: Solar Panels: Back to the Dark Ages
Banks: The Right Thing to Do | Bitcoin Bonanza | The Super Rich Deprive Us of Fundamental Rights | Whining for Wine |Cost of Living Not High Enough in EU | Record Levels of Currency Reserves Will Hit Hard | Internet or Splinternet | World Ready to Jump into Bed with China
Indian Inflation: Out of Control? | Greenspan Maps a Territory | Gold Rush or Just a Streak? | Obama’s Obamacare: Double Jinx | Financial Markets: Negating the Laws of Gravity |Blatant Housing-Bubble: Stating the Obvious | Let’s Downgrade S&P, Moody’s and Fitch For Once | US Still Living on Borrowed Time | (In)Direct Slavery: We’re All Guilty |
Technical Analysis: Bear Expanding Triangle | Bull Expanding Triangle | Bull Falling Wedge | Bear Rising Wedge | High & Tight Flag
via Zero Hedge http://feedproxy.google.com/~r/zerohedge/feed/~3/zWPN0Fk9zBg/story01.htm Pivotfarm
David Einhorn begins his discussion on the market warning that “certain aspects of the market are very much in bubble,” with investors “dismissing valuation metrics.” “The market is confused,” between useful products and real profit streams, he suggests for a number of headline-grabbing higly speculative names. More broadly, Einhorn believes real damage has been done by Fed policy, and is “not convinced if or when they will ever taper.” Crucially, he adds, we may see another rollover/recession and “the Fed will pour more fuel on the fire.” The cognitive bias he exposes is that most people believe the Fed policy is supporting the economy (in some way), whereas (as we noted here) there are real costs and as Einhorn notes “Fed policy is a headwind to the economy,” as he quantifies the hundreds of billions in lost interest income relative to wealth gains. Owning gold makes sense, he adds, “in case they lose control.”
“I’m not convinced when — or if they’ll ever taper,” he said. “I don’t know. We may go into the next crisis, the next depression/recession rollover, and the next move might be to pour more fuel on the fire. It wouldn’t surprise me in the slightest.”
Einhorn’s broad market thoughts begin at 5:30,
And his gold comments begin at 10:30,
via Zero Hedge http://feedproxy.google.com/~r/zerohedge/feed/~3/9Ep9fxC6idE/story01.htm Tyler Durden
David Einhorn begins his discussion on the market warning that “certain aspects of the market are very much in bubble,” with investors “dismissing valuation metrics.” “The market is confused,” between useful products and real profit streams, he suggests for a number of headline-grabbing higly speculative names. More broadly, Einhorn believes real damage has been done by Fed policy, and is “not convinced if or when they will ever taper.” Crucially, he adds, we may see another rollover/recession and “the Fed will pour more fuel on the fire.” The cognitive bias he exposes is that most people believe the Fed policy is supporting the economy (in some way), whereas (as we noted here) there are real costs and as Einhorn notes “Fed policy is a headwind to the economy,” as he quantifies the hundreds of billions in lost interest income relative to wealth gains. Owning gold makes sense, he adds, “in case they lose control.”
“I’m not convinced when — or if they’ll ever taper,” he said. “I don’t know. We may go into the next crisis, the next depression/recession rollover, and the next move might be to pour more fuel on the fire. It wouldn’t surprise me in the slightest.”
Einhorn’s broad market thoughts begin at 5:30,
And his gold comments begin at 10:30,
via Zero Hedge http://feedproxy.google.com/~r/zerohedge/feed/~3/9Ep9fxC6idE/story01.htm Tyler Durden
Last month I said “it
looks like the writing is on the wall” for medical marijuana
dispensaries in Washington now that the state is about to license
recreational pot shops. (The Washington State Liquor Control
Board started taking
applications on Monday.) I wondered, “How long will state and local
governments eager for marijuana tax revenue allow these untaxed,
unregulated outlets to compete with government-licensed stores
selling cannabis of similar quality at higher prices?” The answer
appears to be: not long. Four days after I wrote that post, an
interdepartmental committee recommended that
the state legislature fold medical marijuana into the recreational
system, shutting down dispensaries and banning home cultivation by
patients. Last week Alison Holcomb, the ACLU of Washington lawyer
who ran the campaign for I-502, Washington’s legalization
initiative, agreed that
“it makes little sense” to maintain two parallel distribution
networks but argued that home cultivation should be permitted for
medical use.
The committee, which included representatives from the liquor
control board as well as the state revenue and health departments,
called for a mandatory registry of patients who are authorized
(based on their doctors’ recommendations) to use marijuana as a
medicine. Those patients would have to buy marijuana at the same
shops as recreational consumers, paying the new triple excise tax
(25 percent at each of three levels) but avoiding standard state
and local sales taxes (which total 9.5 percent in Seattle) by
presenting their state-issued registration cards. They would no
longer be permitted to grow their medicine or have designated
providers do it for them, and they would be allowed to possess no
more than three ounces at a time, one-eighth the current limit.
The dispensaries, which operate as “collective gardens” under a
creative but court-sanctioned interpretation of Washington’s
medical marijuana law, would have to shut down “no sooner than
January 1, 2015.” The committee recommends various
other restrictions aimed at limiting access to semi-tax-free
medical marijuana, such as making registrations expire after a year
so patients will have to see their doctors again, issuing
regulations to discourage doctors from specializing in marijuana
recommendations, and defining “intractable pain,” one of the
“terminal
or debilitating medical condition[s]” for which marijuana may
be recommended, “to clearly indicate the condition must be severe
enough to significantly interfere with the patient’s activities of
daily living and ability to function.”
Last year the I-502 campaign
assured wary patients that the initiative “does not change
the Washington State Medical Use of Cannabis Act.” That was
literally true: The initiative itself did not change the law. But
now the marijuana regulators appointed by the initiative are
recommending changes to the law in light of the newly legal
recreational market.
The main thrust of the recommended rules is to restrict the
production and distribution of medical marijuana so as to maximize
tax revenue and satisfy
federal demands for a carefully regulated market.
The Seattle Post-Intelligencer
reports that “officials in state and local
governments as well as law enforcement from the feds on down have
made it clear that the current, mostly unregulated, ‘system’ in
which medical pot is distributed is ‘untenable’ and has to be shut
down or significantly changed.” In a November 13 letter to
the liquor control board, Holcomb basically agrees:
Patients who choose to purchase, rather than produce, their
medicine will have greater assurance of quality and safety than is
available to them under the current unregulated patchwork of
commercial collective gardens. Given these conditions, it makes
little sense to create a parallel system of production and
distribution and incur duplicative administrative and enforcement
expenses. Nor would it be good policy to continue allowing
collective gardens to engage in unregulated commercial
activity.
But Holcomb says “the ACLU-WA strongly opposes elimination of
patients’ right to produce their own cannabis, a right they have
enjoyed since the passage of Initiative 692 in 1998.” Although “the
availability of I-502 retail stores will accommodate the needs of
most patients,” she writes, some have bred special strains tailored
to their individual needs that may not be available in the stores.
Holcomb also objects to the committee’s recommendation that the
state legislature eliminate the affirmative defense for patients
who possess more than the presumptive limit on marijuana but can
show the amount is medically appropriate, which she calls “an
essential protection for fairness.”
The
objections from Americans for Safe Access are much broader:
Patient advocates have become increasingly concerned by an
apparent unwillingness to accommodate two parallel markets and a
desire to roll the state’s 15-year-old medical marijuana program
into the emerging recreational marijuana program by making the
medical-use law much more restrictive, the requirements
unnecessarily onerous, and the costs far too prohibitive for
patients….“Patients in Washington will not sit idly by to see the state
dismantle its 15-year old medical marijuana program and attempt to
roll them into a nascent recreational market,” said ASA Executive
Director Steph Sherer. “The very real needs of medical marijuana
patients cannot be adequately met by the recreational marijuana
program and must be addressed by preserving and strengthening the
law that currently exists,” continued Sherer. “We’re urging
Governor Inslee and the state legislature not to abandon the tens
of thousands of patients in Washington and continue to treat
medical marijuana as a public health issue.”
The recommendations to the legislature regarding medical
marijuana have not been finalized yet. Like Holcomb, state Sen.
Jeanne Kohl-Welles (D-Seattle), who has been working on this issue
for nearly two decades and plans to introduce a medical marijuana
bill during the legislative session that begins in January, wants
to preserve the right of home cultivation for patients but sees no
need for dispensaries. “I don’t think we need to have two systems,”
she
told the Post-Intelligencer last month, “but we have
to preserve the ability for legitimate, qualifying patients to have
access to a safe, secure, reliable source for their medicine.”
Just not at the businesses that have been serving them until
now. While Colorado’s medical marijuana dispensaries are
becoming recreational pot shops—in fact, they have a lock on
the business for three months under state law and longer under
local ordinances—it looks like Washington’s dispensaries will be
shut down to make room for new cannabusinesses. There may be some
overlap between the people running the existing dispensaries and
the people who end up running the state-licensed stores. The
Associated Press
notes that dispensary owners such as
Yevgeniy Frid of A
Greener Today in Seattle and
Angel Swanson of The
Cannabis Emporium in Tacoma hope to win recreational licenses.
But even if applicants such as Frid and Swanson did not have to
compete with newcomers, there would not be enough licenses to go
around. The liquor control board, for example,
plans to grant 21 licenses in Seattle, a city with something
like
274 dispensaries.
Both Colorado and Washington are imposing arbitrary limits on
their marijuana markets, restricting the number of outlets in the
name of public health and safety (and with an eye toward appeasing
the feds). Their marijuana licenses, like liquor licenses or taxi
medallions, are valuable only because they are artificially scarce.
But the two states are distributing these valuable privileges in
different ways: The incumbents in Colorado will dominate the new
recreational market, while the incumbents in Washington will mainly
be squeezed out.
from Hit & Run http://reason.com/blog/2013/11/21/with-pot-legal-the-days-of-washingtons-m
via IFTTT
Last month I said “it
looks like the writing is on the wall” for medical marijuana
dispensaries in Washington now that the state is about to license
recreational pot shops. (The Washington State Liquor Control
Board started taking
applications on Monday.) I wondered, “How long will state and local
governments eager for marijuana tax revenue allow these untaxed,
unregulated outlets to compete with government-licensed stores
selling cannabis of similar quality at higher prices?” The answer
appears to be: not long. Four days after I wrote that post, an
interdepartmental committee recommended that
the state legislature fold medical marijuana into the recreational
system, shutting down dispensaries and banning home cultivation by
patients. Last week Alison Holcomb, the ACLU of Washington lawyer
who ran the campaign for I-502, Washington’s legalization
initiative, agreed that
“it makes little sense” to maintain two parallel distribution
networks but argued that home cultivation should be permitted for
medical use.
The committee, which included representatives from the liquor
control board as well as the state revenue and health departments,
called for a mandatory registry of patients who are authorized
(based on their doctors’ recommendations) to use marijuana as a
medicine. Those patients would have to buy marijuana at the same
shops as recreational consumers, paying the new triple excise tax
(25 percent at each of three levels) but avoiding standard state
and local sales taxes (which total 9.5 percent in Seattle) by
presenting their state-issued registration cards. They would no
longer be permitted to grow their medicine or have designated
providers do it for them, and they would be allowed to possess no
more than three ounces at a time, one-eighth the current limit.
The dispensaries, which operate as “collective gardens” under a
creative but court-sanctioned interpretation of Washington’s
medical marijuana law, would have to shut down “no sooner than
January 1, 2015.” The committee recommends various
other restrictions aimed at limiting access to semi-tax-free
medical marijuana, such as making registrations expire after a year
so patients will have to see their doctors again, issuing
regulations to discourage doctors from specializing in marijuana
recommendations, and defining “intractable pain,” one of the
“terminal
or debilitating medical condition[s]” for which marijuana may
be recommended, “to clearly indicate the condition must be severe
enough to significantly interfere with the patient’s activities of
daily living and ability to function.”
Last year the I-502 campaign
assured wary patients that the initiative “does not change
the Washington State Medical Use of Cannabis Act.” That was
literally true: The initiative itself did not change the law. But
now the marijuana regulators appointed by the initiative are
recommending changes to the law in light of the newly legal
recreational market.
The main thrust of the recommended rules is to restrict the
production and distribution of medical marijuana so as to maximize
tax revenue and satisfy
federal demands for a carefully regulated market.
The Seattle Post-Intelligencer
reports that “officials in state and local
governments as well as law enforcement from the feds on down have
made it clear that the current, mostly unregulated, ‘system’ in
which medical pot is distributed is ‘untenable’ and has to be shut
down or significantly changed.” In a November 13 letter to
the liquor control board, Holcomb basically agrees:
Patients who choose to purchase, rather than produce, their
medicine will have greater assurance of quality and safety than is
available to them under the current unregulated patchwork of
commercial collective gardens. Given these conditions, it makes
little sense to create a parallel system of production and
distribution and incur duplicative administrative and enforcement
expenses. Nor would it be good policy to continue allowing
collective gardens to engage in unregulated commercial
activity.
But Holcomb says “the ACLU-WA strongly opposes elimination of
patients’ right to produce their own cannabis, a right they have
enjoyed since the passage of Initiative 692 in 1998.” Although “the
availability of I-502 retail stores will accommodate the needs of
most patients,” she writes, some have bred special strains tailored
to their individual needs that may not be available in the stores.
Holcomb also objects to the committee’s recommendation that the
state legislature eliminate the affirmative defense for patients
who possess more than the presumptive limit on marijuana but can
show the amount is medically appropriate, which she calls “an
essential protection for fairness.”
The
objections from Americans for Safe Access are much broader:
Patient advocates have become increasingly concerned by an
apparent unwillingness to accommodate two parallel markets and a
desire to roll the state’s 15-year-old medical marijuana program
into the emerging recreational marijuana program by making the
medical-use law much more restrictive, the requirements
unnecessarily onerous, and the costs far too prohibitive for
patients….“Patients in Washington will not sit idly by to see the state
dismantle its 15-year old medical marijuana program and attempt to
roll them into a nascent recreational market,” said ASA Executive
Director Steph Sherer. “The very real needs of medical marijuana
patients cannot be adequately met by the recreational marijuana
program and must be addressed by preserving and strengthening the
law that currently exists,” continued Sherer. “We’re urging
Governor Inslee and the state legislature not to abandon the tens
of thousands of patients in Washington and continue to treat
medical marijuana as a public health issue.”
The recommendations to the legislature regarding medical
marijuana have not been finalized yet. Like Holcomb, state Sen.
Jeanne Kohl-Welles (D-Seattle), who has been working on this issue
for nearly two decades and plans to introduce a medical marijuana
bill during the legislative session that begins in January, wants
to preserve the right of home cultivation for patients but sees no
need for dispensaries. “I don’t think we need to have two systems,”
she
told the Post-Intelligencer last month, “but we have
to preserve the ability for legitimate, qualifying patients to have
access to a safe, secure, reliable source for their medicine.”
Just not at the businesses that have been serving them until
now. While Colorado’s medical marijuana dispensaries are
becoming recreational pot shops—in fact, they have a lock on
the business for three months under state law and longer under
local ordinances—it looks like Washington’s dispensaries will be
shut down to make room for new cannabusinesses. There may be some
overlap between the people running the existing dispensaries and
the people who end up running the state-licensed stores. The
Associated Press
notes that dispensary owners such as
Yevgeniy Frid of A
Greener Today in Seattle and
Angel Swanson of The
Cannabis Emporium in Tacoma hope to win recreational licenses.
But even if applicants such as Frid and Swanson did not have to
compete with newcomers, there would not be enough licenses to go
around. The liquor control board, for example,
plans to grant 21 licenses in Seattle, a city with something
like
274 dispensaries.
Both Colorado and Washington are imposing arbitrary limits on
their marijuana markets, restricting the number of outlets in the
name of public health and safety (and with an eye toward appeasing
the feds). Their marijuana licenses, like liquor licenses or taxi
medallions, are valuable only because they are artificially scarce.
But the two states are distributing these valuable privileges in
different ways: The incumbents in Colorado will dominate the new
recreational market, while the incumbents in Washington will mainly
be squeezed out.
from Hit & Run http://reason.com/blog/2013/11/21/with-pot-legal-the-days-of-washingtons-m
via IFTTT
Whether in refusing
to call a coup a “coup,” or
declining to call a genocide a “genocide” (despite
multiple promises to the contrary) the willingness of the
American government to torture the English language and evade basic
truths in order to lessen some short-term diplomatic hassle is
indicative of a deeper and more consequential moral rot, one that
enables questionable foreign policy while invariably screwing over
the little guy.
Or, if the White House’s largely Democratic critics are to be
believed, the little orphan. Or more accurately still, the
great-grandchildren of genocide-orphans. I wish I was kidding.
Here’s
Foreign Policy:
In 1926, Vartoohi Galezian — a 15-year-old refugee from the
genocide in Armenia — arrived at the White House to pay a visit to
President Calvin Coolidge. She had come to view the rug she and
1,400 other orphans living in Ghazir — then part of mandate Syria,
now in Lebanon — had woven as a gift to the United States in
thanks for the humanitarian assistance provided to the refugees of
the ethnic cleansing of Armenians during World War I. In June 1995,
the Ghazir rug, a huge, beautiful work exemplary of the Middle
East’s legendary weaving traditions, was shown once more to
Galezian and her family, but it’s now been more than 17 years since
the White House has displayed what has come to be known as the
Armenian orphan rug. Now it is unclear when the rug will ever be
shown again.The rug is now caught in a tug-of-war with historians and
Armenian advocates on one side pulling for the rug to be displayed
and the White House on the other, which seems reticent to release
the rug for an exhibit. […]“We regret that it was not
possible to loan it out for this event,” Laura Lucas Magnuson,
assistant press secretary for the National Security Council,
told Foreign Policy. “Displaying the rug for
only half a day in connection with a private book launch event, as
proposed, would have been an inappropriate use of U.S. government
property, would have required the White House to undertake the risk
of transporting the rug for limited public exposure, and was not
viewed as commensurate with the rug’s historical significance.”
Huh. So what was this not-appropriate-enough exhibit? A
Dec. 16 event at the nearby Smithsonian to mark the release of
A BOOK ABOUT THE RUG IN THE QUESTION. Swear to God. It is called
President Calvin
Coolidge and the Armenian Orphan Rug, by Dr. Hagop Martin
Deranian, who the L.A. Times
describes as “a 91-year-old Massachusetts dentist.” And yes,
the same administration that is blocking this utterly sensical
request is one that originally came to power by making pious
promises like this:
More from the L.A. Times after the jump:
Rep. Adam
Schiff (D-Burbank), who helped gather the signatures of 30
other lawmakers on a letter to the White House, called the White
House decision “as inexplicable as it is hurtful to the Armenian
community.”“It is difficult to express in words how deeply troubling it is
that a historical and cultural treasure accepted by President
Coolidge on behalf of the people of the United States may be being
kept behind closed doors because of Turkish desire to keep
discussion of certain historical facts out of the public
discussion,” Rep. Frank Pallone Jr. (D-N.J), co-chairman
of the Congressional Caucus on Armenian Issues, wrote the White
House in a separate letter.Rep. Brad Sherman (D-Sherman Oaks) also wrote the
White House urging that the rug be put on permanent display at the
Smithsonian: “We must acknowledge and learn from the tragic crimes
against humanity that orphaned the weavers of this rug to ensure
that they are never repeated.”
The White House’s
first public statement in response to this criticism was as
dismissive as it was terse:
The Ghazir rug is a reminder of the close relationship between
the peoples of Armenia and the United States. We regret that it is
not possible to loan it out at this time.
I am sure the historically significant artifact is safely being
studied by Top Men.
from Hit & Run http://reason.com/blog/2013/11/21/white-house-refuses-to-display-88-year-o
via IFTTT
We wish we could say we didn’t warn Boeing’s machinists about the key trend taking place in the US economy under the Obama “recovery” but unfortunately we did. Three years ago, to be specific, when we wrote: “Charting America’s Transformation To A Part-Time Worker Society” and followed it up with “A “Quality Assessment” Of US Jobs Reveals The Ugliest Picture Yet” in which we explained that while the propaganda machine was fixated on numeric, quantitative, job additions every month, what has subversively going on, was the constant deterioration in the quality of jobs – and specifically the declining wages – available to those Americans who had not rotated outside of the labor force permanently (currently at a record 91.5 million). We say “alas” because it once again took several years before our cautions to be felt by the broader population, in this case the Boeing machinist union struggling to extract a wage increase from its employer: Boeing Airlines, whose stock keeps hitting new record highs with every passing day.
The machinists’ lament is well-known to virtually everyone who relies on labor instead of capital to exist: pay us more. Bloomberg reports:
“We need to focus on how many jobs there are that give an adult a chance to earn a decent living,” said Gordon Lafer, an associate professor at the University of Oregon’s Labor Education and Research Center in Eugene. “Too much of the discussion has been about the number of jobs, and that’s obviously important, but there’s also a crisis in the quality of jobs.”
That’s ironic: when we said it first three years ago, the mainstream media mocked it. Curious how things change when that hope you once believed in becomes a “zero balance” nightmare at the ATM machine, eh?
Blame it on the Fed, blame it on globalization, blame it on corporations who have a virtually unlimited labor, cheap and global pool to pick from, but the bottom line is US workers have zero leverage.
Where unions and their allies see reason for alarm, employers see a way to retain jobs against the lure of lower wages overseas. There were about 12 million U.S. factory jobs in October, buoyed by recent gains while still down 39 percent from 1979’s peak.
“We certainly have seen manufacturers become much more competitive,” said Chad Moutray, chief economist at the Washington-based National Association of Manufacturers. Falling labor costs have helped “keep U.S. manufacturers much more competitive and you’re seeing more investment in the U.S. as a result.”
The good news for workers: each day of pain for them means a day of joy for the shareholders – typically those in US society who already are the wealthiest.
Manufacturers’ after-tax profits rose to a record $289.1 billion last year, more than three times 2009’s tally, the Commerce Department reported. The Standard & Poor’s 500 Industrials Index has more than tripled since its 2009 low, and topped the broader index by 59 percentage points over that span.
“What’s being referred to as a recovery in manufacturing is to a large extent a recovery in profitability,” said Dean Baker, co-director of the Center for Economic and Policy Research, a Washington-based group funded by unions and private foundations. “That’s good for the companies and good for the shareholders but it’s not necessarily good for the workers.”
To some, labor’s epic lack of leverage has to do with lack of unionization to take on greedy coroprations.
Some of the states where factory jobs are growing the fastest are among the least unionized. In 2012, 4.6 percent of South Carolina workers were represented by unions, as did 6.8 percent of Texans, according to the U.S. Bureau of Labor Statistics. New York, the most-unionized, was at 24.9 percent.
Assembly workers at Boeing’s nonunion plant in North Charleston, South Carolina, earn an average of $17 an hour, compared with $27.65 for the more-experienced Machinists-represented workforce at the company’s wide-body jet plant in Everett, Washington, said Bryan Corliss, a union spokesman.
Higher wages also no longer go hand-in-hand with union jobs, as they once did.
But the reality is that in a world drowning in overcapacity, and in which globalization, technological innovation and improvements in productivity mean that Boeing can open a plant anywhere else in the US, or in the world and still pay less than it does currently, even if it means a lot of unhappy, and unemployed labor workers. For example:
General Electric Co. says it has added about 2,500 production jobs since 2010 at its home-appliance plant in Louisville, Kentucky. Under an accord with the union local, new hires make $14 an hour assembling refrigerators and washing machines, compared with a starting wage of about $22 for those who began before 2005. While CEO Jeffrey Immelt has said GE could have sent work on new products to China, it instead invested $1 billion in its appliance business in the U.S. after the agreement was reached.
The company is also moving work to lower-wage states. In Fort Edward, New York, GE plans to dismiss about 175 employees earning an average of $29.03 an hour and shift production of electrical capacitors to Clearwater, Florida. Workers there can earn about $12 an hour, according to the United Electrical, Radio and Machine Workers of America, which represents the New York employees.
In summary: here is the corporate speak:
“GE’s business units continuously review their operations and sometimes have to make tough decisions to keep up with market trends, address customer demands or reduce cost,” Duchamp said in an e-mail. “The intention of the proposed move is to address the increasing cost pressures and leverage the resources” available at the Florida site.
And here is the worker speak:
“This is really a symbol of what’s going on in this whole country,” said Machinist Thomas Campbell, 40. “We’re losing middle-class jobs.”
What is sad is that both are correct, and while Bernanke and his wealth effect policies do everything to make the rich, and the corporations, even richer, they continue to rob what little standard of living America’s workers have, and in the process continue to destroy what little is left of the middle class. Once again, as we warned, so long ago.
Tim Geithner was only kidding about “welcome to the recovery” – what he meant was “welcome to the new feudal system.”
via Zero Hedge http://feedproxy.google.com/~r/zerohedge/feed/~3/xnTNsXO9BnY/story01.htm Tyler Durden
Supported by economic weakness overnight in Asia and a weak Philly Fed print (bad news is good news) along with hope from more QE out of the BoJ, JPY weakness floated all boats today as homebuilders and financials surged lifting stocks tick for tick with carry. Yellen's nomination provided yet another lift. Treasuries rallied (though the long-end remains +10bps on the week). Precious metals were monkey-hammered early then dead for the rest of the day (-4% on the week) as oil prices surged higher ( +1.6% on the week). The USD Index glitched lower on no neg rates chatter early from Europe but the quietness in the index hid major dispersion as AUD was craushed (now 1.6% lower on the week). Credit markets rallied (but remain well off stocks) and VIX was compressed as low volumes meant a slow lift higher (and Trannies best day in almost 5 weeks). Shorts suffered the most until POMO ended – tripling market performance.
The Dow closed above 16,000 for the first time ever…
The S&P managed to get back perfectly to yesterday's highs…
The early going was dominated by a smash higher in the most shorted names… again…
As homebuilders and financials soared…
Credit rallied but has a long way to go to catch up with stocks…
Commodities were dispersed with PMs weak and energy/growth strong…
As FX markets saw a small down day in the USD Index but major buying relative to JPY, CAD, and AUD…
Treasuries rallied modestly after Yellen's nomination…
With USDJPY crossing back over 101, stocks were simply all about the JPY carry trade once again as the promise of Kuroda wins the day…
Charts: Bloomberg
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