Sunday, May 01, 2011

McJobs:Would you like to super size that recession?

The Great Recession continues with little hope is sight for a robust economic turnaround. The recession is over, and has been for some time, if you take the classic definition of a a recession: two consecutive quarters of negative GDP growth. But is it really over? It is time to for us to ponder the terms nominal and real within the context of the term recession. Usually we use these terms when we look at prices, and leaave it at the fact that real prices are nominal prices adjusted for inflation, usually converted for  comparison purposes to a base year in constant dollars. If the price level in 1996 constant dollars = 100, and the current price level id 145, we could say that the price level has risen 45% in the last 15 years and 3% annualized.

Mc Donald's, with its 14,000 US locations, held a National Hiring Day. One million people showed up. Lets repeat that. 1,000,000 people tried to get a job at McDonald's, a job that teenagers shun. About 50,000 were hired. That leaves 950,000 to go, at a company that has 1.7 million people on its payroll worldwide. looks like there is some work to do.

To be continued/updated...

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