“…there’s something happening here, what it is ain’t exactly clear, but it’s potentially really important.”
We write/post about the U.S, jobs picture both here and on our Facebook page quite a bit. One might wonder why we do that on sites focused primarily on short-term trading. At the risk of being incredibly obvious, it is because we recognize the shifting sands of opportunity and think that short-term trading can fill the gap for a substantial number of people.
In the article discussed here, Paul Krugman gives voice to something that will likely become a topic of discussion more and more frequently… namely the continued onslaught of robots. While we don’t agree with all of his conclusions, we do agree that the breadth and depth of automation will continue to permanently dislocate employment markets. One of Krugman’s primary conclusions is that “even the highly-paid, highly-skilled workers who have dominated the share of income growth in the U.S. over the past several years will be increasingly affected going forward by the rise of the machines…” This is why the employment problem is indeed different this time.
Don’t believe us? Have a look at the real jobs gap.
And, unfortunately, the problem is structural… not cyclical. And it’s growing.
So what is your backup plan?
Don’t have one? Get one.