The Fed's destructive monetary policy resulted in too much construction of retail, which is driving productivity declines, and rising labor costs . . .
QE Sponsored Stagnation: Productivity Declines Again As Unit Labor Costs Rise 4.1% | MishTalk
. . . first thing we do, we kill all the Central Bankers.
"QE Sponsored Stagnation and Cannibalization
Loosey-goosey monetary policy and low interest rates led to a proliferation of retail businesses, mall construction, fast food places that would not have been built in the absence of over-stimulation.
Those stores are now competing against each other. Frequently stores cannibalize their own sales.
Pick Your Poison
To achieve 2006 productivity, Study Says 20% of Mall Space Should Close.
If 20% of mall space closed, guess what that would do to employment. And if we stay on the same course, guess what happens to profits.
Meanwhile, the push for higher minimum wages is on."
It is not clear this is the worst possible outcome, but it is pretty close. What this means is we need to reduce the total number of the physical stores, which would result in a reduction in total number of jobs, and an increase in productivity. Many of the positive elements in the Obama economy, are fictitious. When this finally goes, and it will likely take a recession to clear out all of this deadwood, it will be bad. This will likely drive another round of workforce participation rate reductions, a significant boost in unemployment, and increasing wage weakness. Apparently, all at the time the progressives will be forcing an increase in the minimum wage, which will just accelerate these outcomes.
Progressives really want to help the poor, but all of their instincts drive them to policies which only hurt the poor more.