News Story of the Day: the money-printing continues to keep fueling the labor market. The United States unemployment rate dipped to 4.7 percent in February as the economy added roughly 235,000 jobs. Job growth in the country increased more than expected last month, and this is perhaps giving the Federal Reserve more ammunition to pull the trigger on a rate hike at next week’s Federal Open Market Committee (FOMC) meeting.
Chart of the Day: if you think housing prices are skyrocketing in your neighborhood then you are right. All over the world, the housing market is surging, and this chart, courtesy of The Economist, takes a look at some of the nations with the largest property values since 1980:
Illustration of the Day: actor Shia LaBeouf says Trump will not divide the United States. After his initial livestream was a failure, he decided to host another livestream that was pointed at a flag. Ostensibly, a group had analyzed the video, monitored flight patterns and weather and discovered the flag. Here is the image:
Quote of the Day: are we in an economic bubble? Definitely, and Robert Wenzel of Economic Policy Journal succinctly explains why.
Further, from an Austrian School business cycle theory perspective, a crash in assets classes is a result of former money expansion in the capital goods sector. So whenever a central bank starts to expand the money supply, it is the start of the bubble being blown up and it doesn’t end until money growth slows to a point where the bubble can’t be kept afloat, There is no specific time period that can be placed on how long or how large the bubble will get, all we know for sure is that the bubble starts when a central bank prints the first new dollar not backed up by savings.
There is no other measure of when the general capital goods market is in a bubble.
So given that the Federal Reserve has been printing aggressively since the 2008 financial crisis, we are in a bubble. And it started when the then chairman of the Federal Reserve opened the floodgates for newly printed money in the fall of 2008, but this information tells us nothing about when the bubble will burst.
Tweet of the Day: one hot topic in the race to lead the Conservative Party of Canada is supply management, an issue that generated buzz by Maxime Bernier. Supply management is horrendous across the country and needs to be abolished immediately to spur competition and growth. Here is a sublime tweet courtesy of Bernier:
— Maxime Bernier 🇨🇦 (@MaximeBernier) March 9, 2017
Video of the Day: remember when everyone absolutely hated former President George W. Bush, particularly the left? For eight years, he was ridiculed, teased and vilified (rightly so) by the left. Well, today, he is loved by those same people. Why? Because he criticized President Donald Trump? The left hates Trump so much that they’re willing to give W. a pass for all of his war crimes, spying and deceit all because he said something mean about the 45th president. Here is a video that looks at the left’s resurrection of President Bush: