Why the Great Labor Arbitrage is Coming to an End…
Needless to say, with Chinese wages and costs rising rapidly and the arbitrage gap nearly closed, there is not a snowball’s chance in the hot place that the black line in the chart above will take another 40% dump lower. Not in a million years.
And that means, in turn, that the yawning gap in the above chart between goods deflation and services inflation will not recur. As it happens, the underlying services inflation is still in the +5% Y/Y range and will dominate the topline price level going forward far more heavily than it did during the aberrant era of 40% durables deflation.
Accordingly, the "lowflation" excuse for money printing is now deader than a doornail.
The fact is inflation isn’t and won’t be contained even at the Fed’s specious 2.00% target. And the last two decades have proved beyond a shadow of a doubt that aggressive money printing does not spur domestic investment and productivity, and therefore overall economic growth either.
https://internationalman.com/articles/david-stockman-on-why-the-great-labor-arbitrage-is-coming-to-an-end/
Rebel News is heading to Brazil to expose the UN’s climate hypocrisy!
As 50,000+ bureaucrats, lobbyists and politicians jet into Belém to tell you to “cut back,” we’re sending Sheila Gunn Reid and Kian Simone to show the luxury, the VIP perks — and Canada’s role — that the UN doesn’t want you to see.
https://www.rebelnews.com/rebel_news_is_heading_to_brazil_to_expose_the_uns_climate_hypocrisy
Canada Has Gone Woke and It's About to Go Broke...
Not just Climate Alarmism and Gender Nonsense anymore.In a nation once defined by hard work, innovation, and shared prosperity, Canada is sleepwalking into fiscal and social ruin under the banner of performative “reconciliation.” We’ve seen the warning signs globally: companies like Bud Light hemorrhaging $1.4 billion in sales after its ill-fated Dylan Mulvaney campaign alienated core customers; Jaguar’s cringeworthy 2024 rebrand pushing electric cars and “inclusivity” that bombed so hard it was scrapped amid plummeting stock; Harley-Davidson retreating from DEI mandates after backlash from riders who just wanted motorcycles, not lectures. These weren’t isolated fumbles, they were self-inflicted wounds from chasing social justice optics at the expense of reality. Now, Canada is the latest casualty, with “woke” poli...
https://sheldonyakiwchuk.substack.com/p/canada-has-gone-woke-and-its-about
