Re:BlackRock Plans to Cut About 400 Jobs in Coming Weeks
by jjn2009 on Wednesday March 30, 2016 @06:26PM
(#11393526)
>So 400 jobs lost at blackrocks - means 400 new opening for green jobs in Australia.
This is not necessarily true. People can and will hold onto their cash negating any growth of the market in the face of job losses, its not a zero sum game. In fact job layoffs can increase panic and increase hoarding of capital.
> If you have 10 million dollars in the bank - you will be burning money just due to inflation.
1-2% deflation can be better in certain market climates than investments which create jobs, or you put it in a safe investment such as bonds which is in some sense hoarding, you don't take on significant risk to create anything you just park your cash somewhere that it will not suffer losses from inflation. Both of these circumstances do not grow jobs or the market.
This is not necessarily true. People can and will hold onto their cash negating any growth of the market in the face of job losses, its not a zero sum game. In fact job layoffs can increase panic and increase hoarding of capital.
> If you have 10 million dollars in the bank - you will be burning money just due to inflation.
1-2% deflation can be better in certain market climates than investments which create jobs, or you put it in a safe investment such as bonds which is in some sense hoarding, you don't take on significant risk to create anything you just park your cash somewhere that it will not suffer losses from inflation. Both of these circumstances do not grow jobs or the market.