03 Feb Take your pablum, little baby!
Image created by me using Canva.
Well, this guy- Bill Simon- is just coming out and telling you to take your medicine, little baby. Wow.
I’ve used the analogy of sit down, take your pablum, and hush. It’s becoming clearer and clearer now. How can you deny it or not see it?!
“The United States economy has but one solution to escape the tightening grip of a wage-price spiral: more layoffs. Unemployment must rise, potentially by another two to three percentage points, for there to be hope the cycle can be broken, according to a former Walmart executive, or the alternative is out-of-control inflation that will hurt every single American.
‘It’s crazy right now,’ said Bill Simon, former CEO of the retailer’s core U.S. operations from 2010 to 2014, speaking on Fox & Friends Weekend. ‘We’re stuck in this loop of wage inflation, product inflation, cost inflation and…that cycle keeps going.’
Simon described the recent wave of layoffs, which started in the tech industry before slowly expanding outward, as little more than the unfortunate by-product of the Fed hiking interest rates—’necessary medicine’ for an overheating economy, according to Simon.” -Fortune, Ibid.
I see. Necessary medicine.
Also sounds to me like a corporate justification for what The Fed wants to do anyway:
Buckle up, America: The Fed plans to sharply boost unemployment
BY IRINA IVANOVA
SEPTEMBER 30, 2022 / 11:51 AM / MONEYWATCH”
This information is not hidden!
“Where do you think the job market is headed for 2023?
That is definitely the million-dollar question. I believe right now, we are in a transitional period. It’s like part of 2022 is still with us yet we are also watching these storm clouds grow darker and more ominous. I most assuredly believe that The Great Resignation for white collar knowledge workers is over and has been for several months now. What comes next? One of my biggest concerns is that we could see something like The Great Recession / Global Financial Crisis 2.0. I hope I am wrong on that, but I’ve seen too many shadows of ’07 and ’08 to ignore it. The Fed has been quite clear in saying that it wants to see unemployment go up and wages stagnate, so . . . connect the dots. I don’t believe the thesis is buried.”
-my interview with Daily Silicon Valley, 1/27/23 https://dailysiliconvalley.com/interview/pips-layoffs-and-quiet-firing-whats-happening-these-days/
It is NOT a buried thesis. It’s not difficult to predict where this is headed even though some people try.
“Wall Street no longer fears the Fed
‘We have to get this inflation under control. Another year of high single-digit, low double-digit inflation and we’re going to be in a world of hurt,’ he said, ‘because inflation hurts 100% of the population—a recession might hurt 2% to 3% that have lost their job.’
The stark comments clash greatly with the renewed bullish animal spirits on Wall Street, which already appears to have moved on from last year’s number-one topic in the belief that the Fed has successfully stuffed the inflation genie back into its bottle. More and more market participants believe growing deflationary headwinds will force Fed Chair Jay Powell to pivot to an easing bias in the course of 2023, which should boost equity valuations.” -Fortune, Ibid.
Why should Wall Street fear The Fed? How ridiculous. There’s so much crony capitalism between all of these people there is no reason at all for them to be afraid. What a laugh.
“The ex–Walmart executive (Bill Simon) cited his own former employer as a prime example of inflation building up in the pipeline, after the brick-and-mortar retailer raised its minimum wage by 17% to $14 an hour.
What Walmart pays its staff is of national relevance, since the company with a nearly $400 billion market cap employs 1.7 million people across the U.S., more than any other company in the country.” -Fortune, Ibid.
And there ya go. Somehow, some way, it will be the fault of average, working class people. It’ll never be the fault of the fat cats and the power brokers. No! It must be the fault of John & Jane Q. Public. You wanted to job hop. You wanted pay raises. You wanted to WFH. You were all flush with 2020 stimmy cash in Gran’s basement. YOU DID THIS!
And now, because you did this, you must take your icky medicine and experience layoffs and an economic crash, but just remember: you caused this mess, peon!