4 July 2019

1) Estimates for National Employment Report forecast 140,000 new jobs, but private employers added just 102,000. This compares to 41,000 new jobs for the pervious month. This report comes ahead of the U.S. Labor Departments’s more comprehensive non-farm payrolls which includes both public and private sector employment.

2) Renown former Chrysler CEO Lee Iacocca, the man who put the Mustang in Ford’s lineup, has died at 94. Mr. Iacocca is also noted for creating the minivan and Chrysler K-cars in his 32 year career in Detroit. He’s best noted for his turn around of Chrysler corporation when in 1979 the company was floundering with $5 billion dollar debt turning out gas guzzler cars that people didn’t want. To save the company, he secured $1.5 billion dollar loan guarantees from the Federal Government which kept the company afloat until new fuel efficient cars could be produced.

3) The U.S. trade deficient surges to a five month high in May as imports of goods increased with businesses building up stock supplies to avoid tariffs. The trade deficit increased 8.4% to $55.5 billion dollars. The widening trade deficit adds to weak housing, manufacturing, business investment and slow consumer spending which may spell a lowering of the American economy. The trade deficit may be further aggravated with the suspension of Boeing’s 737 MAX deliveries.

4) Stock market closings for- 3 JUL 19: Stocks surged up on news of new U.S.- China talks.

Dow              26,966.00    up     179.32
Nasdaq            8,170.23    up       61.14
S&P 500           2,995.82    up       22.81

10 Year Yield:    down   at    1.95%

Oil:     up   at    $57.40


Image Credit: DiscoveryJobNetwork.org

By: Economic & Finance Report

Certain studies have indicated there seems to be disparities between hourly wage jobs and workers who work on the clock hourly. Certain contributions can be urban development in metropolis cities, need for more experienced workers in certain job fields, and growth in urban environments.

In a study by Urban Institute and reported by Yahoo Finance. Affordable housing is hard to come by to hourly wage workers, and gentrification in major metropolis urban areas such as NYC, San Francisco, Los Angeles, Boston, are making it harder for hourly workers to make any sort of living, the Urban Institute provides.

Housing development in major cities tend to be way more in rentals, then in smaller cities or rural areas but conflicting accounts tend to point any one direction? As in regards to the root of the problem. Noone has figured it out yet, whether it’s local politicians to the the developers themselves… Answers have not been provided to address the problem as whole. So this “everybody for themselves mentality” is dictated for survival to many who work hourly wages. -SB

Credit: Urban Institute Study: https://www.urban.org/features/too-far-jobs-spatial-mismatch-and-hourly-workers

Credit: Yahoo Finance News: https://finance.yahoo.com/news/nyc-san-francisco-housing-crisis-impacting-job-market-190940308.html

Monthly Job Numbers: Once a Month, American Millennials and Generation Z; Are Treated to News of the Number of New Jobs Created:


How Good is This News?

James Lyman BSAE, BSEE, MSSM

Economic & Finance Report

Each month, like clock work, the government announces the number of new jobs created for that month, an indicator if the economy is surging up or falling behind. When the numbers are over about 200,000 the party in power crows about how well they are handling the economy, but when below . . . the opposition nags about how the 0in powers0 are destroying America. But just how good is good? Is the addition of more than 200,000 jobs really that good for those seeking employment? Is it really good news for the youth as they enter the job market? Curiosity aroused, I decided to do a little investigating.

Ideally, you want the number of new jobs created to at least equal the number of new workers entering the job market. Now it should be an easy manner to find the number of new workers entering America’s labor force each year. But it wasn’t! You’d think this is a statistic commonly wanted and therefore readily available. Instead, my search got everything else but that! So, being an engineer, I started looking for a method to estimate the numbers by using enrollments in grade schools. Discounting the number of home schooled children, the number of workers that eventually enter the job market would be the number passing through the ‘black box’ of K-12 at any time. The eighth grade seemed like the best bet, since after that students start dropping out of school before getting their highschool diploma, so by knowing the number of students passing through the eighth grade, I would know how many new workers would eventually be entering the work force. Granted, there would be a delayed of four or more years for those going to college, but the number coming out of the college pipeline would be constant so the net numbers would be about the same as the number of eighth graders.

Off to the internet to find out how many eighth graders there are in America, another number you would think would be easily found. Well, it wasn’t, but after some perseverance, I found two sources that gave 3.7 million eight graders in our schools. So that means, to break even, we need to be creating about 3.7 million new jobs each year. Easy enough, right? I gleefully take my calculator out and enter the 3.7 million, then with a few keystrokes, divide by 12 to get the number of new jobs needed per month, which was just a shade over 308,000. But wait a minute! These political fools in Washington are jumping up and down with glee whenever the monthly new job count is over 200,000 . . . a very long way from the 308,000 jobs needed just to keep our noses above water, by a factor of 50%! So what’s the dance-for-joy all about?

Granted, you also have us 0baby-boomers0 leaving the job market by retiring or simply by dropping dead, and here too it was just as difficult getting any definite numbers of how many people are retiring and leaving the job market. One number that I found repeatedly was each day, there are 10,000 people reaching the age of 65. That’s about 300,000 people per month, which should just balance out the number of new workers coming into the work force . . . EXCEPT!! More and more of those reaching retirement age are not retiring! They find they cannot afford to retire because they don’t have the monetary resources saved. The average . . . AVERAGE American worker needs three quarters of a million dollars ($750,000) in retirement savings to maintain their standard of living, so workers are delaying retirement for several more years- or not retiring at all. Those who do retire, find after a few years, they cannot afford to retire and therefore must return to the work force. In actually, retirement is a thing of the past. Something my parents and grandparents did, but not my generation, and certainly not any of the Millennials.

But even when they do retire and stay retire, their job isn’t necessary vacant for a new worker to step into. Often as not, when someone retires, their company tries to replace them with technology, either directly or by using it to combine job task with other workers, and with the explosive exponential growth of technology, American business have been very successful at doing that. And the ‘drop dead’ factor? Well, according to the Census Bureau, there are 8.6 births with 4.6 deaths per minute, while also we have 2 immigrants arriving every minute. This means there’s a total of 6 new potential workers arriving every minute of the day, week in and year out. Do the math and that’s 3,153,600 workers per year or 262,800 per month, more than the 200,000 new jobs the government people are so pleased to crow about, prancing about in front of television cameras saying just how good everything is going. One source spelled it out- on average, 205,300 jobs are needed just to keep even with population growth, nothing to say about those millions now needing a job, and especially about the 20 to 25% recent unemployed and underemployed college graduates, nor the millions of workers who have been unemployed for more than six months, who the government just discards saying they just don’t want a job. In reality, the real unemployment rate is between two and three times the government’s quoted rate.

The bottom line . . . some might be tempted to call the official job numbers fake. Some might even go so far as to say they’re down right fraudulent! While politicians, bankers and economists look at the job creation numbers and unemployment rate saying how great things are, they are careful not to see the millions of ‘mad as hell’ Americans, which for them there is still little to no opportunity of either getting a job or a pay increase. Just trying to get some straight forward numbers and statistics has showed me how those governing us are more interested in the ‘smoke and mirrors’ of creating images instead of really working the problems.

And just where does that leave the Millennials and Z-Generation? Right back at square one!

A dismal future fading more and more into oblivion.


By: Economic & Finance Report

The U.S. unemployment rate has fallen to 3.9%, the lowest it has been in over a decade. The economy is doing tremendously well and analyst/economists are stating wage inflation are on the horizon, while the actual wage inflation is rising slightly.

American job employers are sitting on a lot of jobs though, not able to find qualified workers as shown in the past. The Job & Labor Report released last Tuesday, May 8, 2018; by the Bureau of Labor Statistics (US Dept of Labor), indicated that 6.6 million jobs were added in the last day of March 2018. Jobs increased from the beginning of March 2018, where it was around 4.6 million jobs to the end of March, which became 6.6 million jobs.

Economists have indicated with the inflation rising, the Federal Reserve may be more determined to raise interest rates because the job market and the economy is healthy. With an accelerating economy and the labor markets doing good, one can expect the The Fed to be monitoring the situations accordingly. -SB

Bureau of Statistics: U.S. Department of Labor (https://www.bls.gov/news.release/jolts.nr0.htm)


The Changing World For Millennials: The New Axiom Of Modern America

NTEs (Non Thinking Entities) lead to UDSs (Useless Dumb S_ _ts).

By: James Lyman BSAE, BSEE, MSSM

Economic & Finance Report

Today, half the science major graduates and half the engineering graduates never work in the field of their studies. It’s not that they can’t find jobs, for they certainly do . . . and they are much sought after by American business. This is because studies of the sciences and engineering give people more than just technical knowledge- it gives them the intellectual skills of analysis, organization and problem solving that companies realize they must have if they are to survive and prosper in the twenty-first century. Consequently, more and more there is the ‘invisible’ sign to the right, hung out by companies looking for new people to build their business on. Unknowingly, unwittingly companies are seeking out people with the intellectual skills that come from university studies in the sciences and engineering. By the same token, they are avoiding those from the traditional liberal arts curriculums.

When I was first starting out, getting a college degree, any college degree was your ticket to the good life. You could expect to get a good well paying job. That changed rather quickly, actually in something like just a decade. As manufacturing in America declined, as computers became more prevalent in the economy, jobs for college graduates began to shrink. Companies started becoming more selective, and those with the least rigorous degrees began finding jobs difficult to find, and paying little more than minimum. This is a result from the decline in the creation of new jobs as the turn of the century approached, until by the start of the twentieth-first century, creation of new jobs reached zero where it remains to this day. Before the 2008 economy crash, the unemployment-underemployment for new college graduates was about 9%.

Since then, it jumped to and remains at about 20 to 25%. New college graduates now hold low paying jobs once held by highschool dropouts, while at the same time are also struggling to pay off student loans.

For the last several centuries, technology has doubled every fifteen years (computers, medical and genetics as little as three to five years), consequently technology has grown immensely and continues at an unbelievable rate. Lets consider the rate of growth for technology in 1855 when many of the technologies that make up our modern world were coming into being. If technology had grown at that 1855 rate, a constant even rate year after year (linear growth), then it be almost the year 30,000 AD to reach the level of technology we have today. Looking the other way, it’s about 6,000 years back to the stone age. That’s how huge the technology gap is for most Americans. Today, so many American’s are closer to the stone age than to today’s technology and the world they are living in. That’s how far so many Americans are behind. With the liberal arts degrees little different from a century ago, it’s easy to see why companies feel they need the engineering and science graduates if they are to survive in the twenty-first century. They know they must have people trained for this century, not the century when the Declaration of Independence was signed.

This is why, unknowingly, not really realizing it, so many American companies have hung that invisible sign of ‘NTE’s need not apply’ on their front door. While BA college graduates still can go in, still fill out job applications, still leave off resumes, and still strive to gain a decent job to make a living at, they have already been rejected the same as if that NTE sign was very large and acutely visible for all the world to see.

And there is absolutely no indication that it will ever improve!

One of the great tragedies I see being acted out today, is so many of today’s young people are preparing themselves for the world of their parents . . . a world that has already faded away and died. A world that no longer exists, leaving them with little to nothing.

Consequently, the ideal career path for a millennial or Z-generation person is to take as stiff a degree program in science or engineering that they can possible choke down, then get an MBA (Masters of Business Administration) from as good a school as they can get in. That’s the ticket to success in American business, the ticket that the youth of America needs to build a good solid, well paying career that can end in a retirement. This is what more and more young people are doing, thereby leaving less opportunity for those who don’t.

Getting a job that can end in the pot of gold at the end of the rainbow!


By: Economic & Finance Report

President Donald Trump approved two major oil pipelines today, one being the Keystone XL pipeline and the other being the Dakota oil pipelines. Both pipelines were blocked under President Barack Obama’s administration. Both pipelines were cleared to help produce jobs in the midwest region going into Canada, but many environmentalists believe the projects hamper the environment and don’t create as much jobs as Republicans have indicated it would create.

The pipelines have created major debate between environmentalists and job creators about the issue, and the debate has been lingering on for the past couple of years. President Obama disavowed the approval of the pipeline in 2015 because he believed that climate change policies would be affected dramatically. Trump believed different on the issue stating that not approving the pipeline permits would affect the economy and job creation.

Both sides held compelling arguments and as President Trump won the general presidential election; his argument saw the light of day. -SB


Economic & Finance Report

Full Video Episode of EFR.TV Episode 7 Millennial Outlook 2017… Host Businessman Bassey interviews young Millennials about their future outlook for 2017, and other aspects of their economic and financial lives… 2017 is here… Stay Blessed & God Bless-SB



job pic

By: Economic & Finance Report

The jobless claims reports coming in around 255k-256k has sparked analyst reactions that obviously they did not foresee. Jobless claims continue to fall, as stronger working economy continues to rise. These indications point to a strengthing job market. 

Jobless claims hit a 42 year low last week and improvements seem to be scalable as we approach the holiday season, starting next month. As the job market improves so do the economy and common trend that consistently is proactive amongst each other.  The fewer claims that are presented the better the global markets and economy are strengthened, helping everyday working people.



By: Economic & Finance Report

Job opportunities continue to flourish in Indiana. Indiana added 219,000 jobs in the private sector in July 2015. This placed the state in 12th as far as private sector job employment.

Indiana ranks #2 in adding the most manufacturing jobs to its state.  According to the Chicago Tribune, Indiana has added over 91,000 jobs in the manufacturing industry alone, for its state constituency. It has the 4th most manufacturing private sector jobs in The United States.

The state is above the national average as far as labor force participation. The national average is around 62.6%, Indiana is at 63.5%. This has allowed Indiana to have  fruitful unemployment numbers below the national average, at 4.7%, national average (5%).  Indiana must be doing something economically right.-SB


federal reserve [icfederal reserve pic 2

By: Economic & Finance Report

US Federal Reserve Chair Janet Yellen recently concluded two days of Senate testimony. Now what did her testimony indicate to the US markets????

It seems that Yellen’s testimony struck a more dovish or upward  uptempo type of tone, that sent the US stock indexs and US markets inclining upward.  Her testimony indicated that the US economy is on the right track and the economy continued to improve across the economical spectrum.

The unemployment rate has dropped to 5.7% in the United States from when she last testified last July 2014. The labor markets have also improved averaging  some 250,000-280,000 jobs per month to the economy.

Ms. Yellen spoke on the Federal Reserve Monetary Policy and that The FOMC  has decided to change the target range for the federal reserve rates , to help boost short term rates.