Job numbers dropped sharply this month, according to the latest Purchasing Managers’ Index (PMI), as companies struggle with higher borrowing costs and weakening demand.
The influential survey of companies, conducted by credit rating agency S&P Global, found that employment in the services sector dipped for the first time since the pandemic.
It also revealed a steep decline in business activity, as the PMI fell to 46.8 in September, down from 48.6 in August. This was a greater fall than economists expected.
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But Greg, wont this general slowing of business activity allow for more free time for people to accommodate their leisure pursuits and/or more cultural interactions
Small business borrowing money to exist is hogwash. I ran a small business for 20 years and knew if I ever needed to borrow money to make payroll or cover inventory purchase it was OVER. I retired in 2000 due to the fact that through the ravages of inflation I could not grow my business organically, ie thru profits. The reason I could retire at 48 yrs old is I never over leveraged.
Don't listen to anyone that denies there has been no inflation since the 1970s. The real world such as automotive has seen prices of vehicles double every 10 years. Using the "rule of 72's' reveals there has been a 7.2%/yr compounded rate of inflation in vehicle prices since the 1960s! On a side note I came across some old sports pages from 1969. I saw advertisements for new Chevy pickups at $2,200!
If you care for more reality try the real world of pro football. Bob Lilly, arguably one of pro balls greatest defensive linemen was paid $24,000 a year to play for the Dallas Cowbilly's in 1971. Just last week, Nick Bosa, a defensive lineman for the 49ers signed five-year, $170 million contract extension!! My lack of mathematics rules me out from determining the rate of yearly inflation in this case. But do any of you realize the immensity of the jump from $24,000/yr to $34 MILLION a year over a 52 year span?
On the same vein perhaps you have heard of Lambeau Field in Green Bay Wisc. This stadium was built in the 1950s for less than a million dollars! In the late 1990s they added some improvements. The sky boxes around the top of the stadium plus some additional improvements such as a Packer museum set them back over $500 million! Lets see, the improvements to the original stadium cost over 500 times its initial total cost !!!