Economic Productivity and the bubbles
cracked by Financial Post analyst Jaqueline Thorpe

Nipawin - Saturday, February 9, 2002 - by: Mario deSantis


The financial wizards at the Financial Post or for that matter in any of the neoliberal financial media have gone berserk in their search for ever sophisticated business and accurate language.


We have explained in some previous articles that the American dollar is overvalued and that the current American stock market could be overvalued by some US$4.5 trillion in an economy of the order US$10 trillion per year. Today, we are at a time of recession with relative lower demand for goods and services, we are not experiencing an inflationary trend, and we are experiencing a relative higher unemployment rate. In accordance to this background I would like you, readers, to ponder the economic relevancy of the following BS financial statements of analyst Jacqueline Thorpe of the Financial Post:


  • The productivity of U.S. workers jumped unexpectedly in the fourth quarter of 2001, fuelling hopes that the efficiency gains wrought by the 1990s technology boom have survived the recession and will be permanent.

  • The U.S. Labor Department said yesterday productivity grew at an annual rate of 3.5% in the fourth quarter as companies cut jobs and hours faster than output declined.

  • Analysts said general nervousness about stock markets in the face of Enron and Argentina was the main cause of the Canadian dollar's weakness yesterday, rather than the productivity data.




By the way, if you didn't understand anything about the above BS financial statements you didn't miss anything as these statements are just bubbles cracked by Jacqueline Thorpe.




  The Biggest BUBBLE of the Free Market: The Myth of the Booming 90ies, by Mario deSantis, January 26, 2002
  Productivity jump in U.S. beats forecast. Up 3.5% in Q4: Gain offsets a 2.3% rise in hourly compensation, Jacqueline Thorpe, Financial Post, February 7, 2002
  "New Economy" Cycle Ends, But Myth Persists, by Dean Baker and Mark Weisbrot, November 27, 2001. "Wage growth [between 1991 and 2001] for a typical worker was a paltry 0.5 percent a year"