The Economy in Context: April 2020

And again, when you have 15 people, and the 15 within a couple of days is going to be down to close to zero, that’s a pretty good job we’ve done.
Donald Trump, on February 26th, 2020

This is a bit late, but there was a bit of a need to let the latest jobs report cool off before commenting on it, and it’s still difficult to talk about anything other than the -701,000 net jobs created (lost) last month, an unfortunate result of the coronavirus pandemic.

Meanwhile, the labor force participation rate plummeted by 0.7 percentage points to 62.7%, which puts it back below where it was at the start of the current Administration, and the revisions of January and February resulted in a change of 57,000 fewer jobs created in those months.

And, to make matters worse, our government is going to spend $2 trillion more that we do not have in order to try to stabilize the economy, which will be as effective as a roll of paper towels in a hurricane, and the Federal Reserve has dropped the federal funds rate to 0.25%, abandoning all pretense of a mythical bustling growth economy.

Now that the number of deaths caused by coronavirus has topped 20,000 in the United States, and, again, the coronavirus and the extreme measures put in place to contain the pandemic is clearly the cause of this economic contraction, let’s not forget that, on February 27th, Trump said about the coronavirus pandemic, “It’s going to disappear. One day, it’s like a miracle, it will disappear.”

The cause of this economic fiasco is the fault of the incompetence of this administration.

Liberty is For The Win!

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