Saturday, July 15, 2017

Less productive workers

Private nonfarm business sector multifactor productivity decreased at a 0.2-percent annual rate in 2016, the U.S. Bureau of Labor Statistics reported today. (See chart 1, table A.) This 2016 decline reflected a 1.7-percent increase in output and a 1.9-percent increase in the combined inputs of capital and labor. Capital services grew by 2.4 percent and labor input–which is the combined effect of hours worked and labor composition–grew by 1.6 percent. This was the first decline in multifactor productivity growth since 2009. (See table 1.)
Productivity decreasing?

 So, all of the big hiring at the minimum wage level is a bit unproductive, meaning they will all be laid off if the stock market corrects. This also means our imported entitlement slaves are not working as Obama planned, and they are unlikely to bridge the trillions of total entitlement gap.

What are the Kanosians going to do with all the laid off workers? Send them to Mexico?

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