Keynesian Central Banking: The Cure That Kills Economies

Profits don’t grow to the sky and are subject to economic constraints.  Squeezing labor costs to further increase margins creates not only political conflict but tips the economy into a nasty feedback loop of weak demand, lower capital spending, and more cowbell buybacks.  The end result is punk economic and top-line growth further forcing firms to increase margins by additional cost-cutting.  Wash, rinse, repeat.

Hours Needed To Buy S&P

 

 

 

 

 

 

 

 

 

 

https://global-macro-monitor.com/2019/06/05/how-many-hours-of-work-does-it-take-to-buy-the-sp500/

David Stockman's Contra Corner is the only place where mainstream delusions and cant about the Warfare State, the Bailout State, Bubble Finance and Beltway Banditry are ripped, refuted and rebuked. Subscribe now to receive David Stockman’s latest posts by email each day as well as his model portfolio, Lee Adler’s Daily Data Dive and David’s personally curated insights and analysis from leading contrarian thinkers.