October 16, 2009
Fed-Sponsored Inflation affects Goffstown
Most, but not all, Goffstown residents have jobs and are thankful for them. In fact, most families
have two wage earners because that’s what it takes to make a single “living wage.”
Many younger people probably don’t even remember when it was possible, and perhaps even desirable to
have just one wage earner in the family. Today there is no certainty that everyone, for a variety of
reasons, will be able to find a good paying job because the unemployment rate keeps climbing.
KEEP THAT JOB!
In the chart above, the gray area represents an estimate of people on unemployment insurance.
Remember that in 2009 (not on chart) the estimated number is already up to 9.8% (and climbing.) The
numbers in the blue area represent people whose unemployment benefits have run out (the government
assumption is that they are now employed – very convenient.) The pink area represents the way the
real unemployment numbers used to be reported by the government.
According to Richard Russell - dowtheoryletters.com, 10/13/09 (subscription only), “Years of
Fed-sponsored inflation has driven up the price of US labor until it has become totally uncompetitive
with foreign labor.” This is a big reason for job losses in the private sector for multi-national
Of course, town and state employees don’t have much to worry about: 1) with their higher total
compensation (wages plus benefits) compared to private sector employees; 2) an endless ability to
raise the Goffstown property tax rate to satisfy most town and school desires.
I just thought that you had the right to know.