Wednesday, February 9, 2011

Structural vs cyclical employment

We have more debate on that topic. The issue is:  Are the nature of jobs changing, or are we just  recovering from over investment. Thoma has a post on the subject. Government research has little to add except protect the status quo; if there were structural changes  govenrnment would be the last to know.
The question is poised thus: Do we want to wait 5 years until our old job come back, or so we want to go out and find better things to do today.  If you let Congress decide, we will be waiting ten years. If agents decide for themselves, we might struggle through and solve the problem sooner.

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