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Friday, September 4, 2026

Supporting the Good Justice Can Do for The Economy and Society (The Allegory of the Clan)

A strong justice system provides important benefits to both society and the economy. Such a system must continually evaluate and improve itself, reorienting policies around shared social contracts and essential values while protecting individual human rights, civil rights, and property rights. When justice and law enforcement function effectively, they create greater stability, improve business relationships, encourage innovation, strengthen social interactions, and contribute to a greater sense of peace and security.

(Illustrative Only)

We must always support
what is good. 

These benefits provide an important contrast to our philosophical thought experiment, the Allegory of the Clan, which illustrates what can happen when a justice system fails to correct itself and justice is no longer its primary objective. Partisanship, racial or religious targeting, corruption, and the misuse of public resources for ideological purposes represent conditions that undermine both justice and social trust. The purpose of the allegory is therefore not simply to identify what can go wrong, but to help us recognize the principles and practices that must be corrected when they occur and avoided.

To understand opportunities for improvement, however, we first need an anchor point: an understanding of what a functioning justice system contributes to society. From an economic perspective, this can be viewed at the transactional level. When individuals and organizations understand what is appropriate, what is prohibited, and what consequences follow from their actions, the system creates greater consistency and accountability. These expectations influence how businesses operate, how businesses interact with one another, and how individuals interact with businesses. At its core, economics is about interactions, and those interactions function more effectively when people can rely on consistent rules and fair enforcement. 

Those who divide weaken us from the inside while those who draw us together and identify to solve problems strengthen the future and fosters the preservation of rights for the next generation. We solve problems by learning. It doesn't matter their race or religion in a merit based system that is in alignment with our generational striving. The current generation always owes the next generation upward next rung momentum. Those who are not trying to do that are not qualified to lead. Pick the best and brightest over the most connected. 

The founders of the society recognized the importance of establishing institutions capable of maintaining justice and protecting individual rights. We should always praise what is good and the vast majority of people doing good. Our responsibility today is not simply to inherit those institutions, but to serve as their stewards in preserving and advancing. This includes supporting effective justice and law enforcement while encouraging young people to view these fields as opportunities for public service. A strong justice system is therefore more than a mechanism for addressing wrongdoing; it is an essential foundation for economic activity, social stability, innovation, and individual freedom. ....and yes we don't always pay them well and we should think about that and societal resource allocation issues (and teachers). 

*The Allegory of the Clan is a hypothetical, philosophical, thought experiment so take with a grain of salt. You may come to any conclusion you wish. No right or wrong answer. It is ok to come up with alternative ideas. It is meant only to get you to think. 

Upholding Prosperity: The Economic Benefits of the Rule of Law

  • The rule of law supports economic stability and growth.
  • Strong legal systems protect property rights and contracts.
  • Legal certainty encourages business investment and entrepreneurship.
  • Fair competition promotes innovation and productivity.
  • Effective institutions can reduce corruption and improve public spending.
  • Equal access to justice supports broader economic participation.
  • Overall, the rule of law provides an important foundation for sustainable prosperity.

Dettman, D. (2024). Upholding prosperity: The economic benefits of the rule of law. American Bar Association. https://www.americanbar.org/advocacy/global-programs/news/2024/upholding-prosperity-economic-benefits-rule-law/

Employment Situation August 2026-Surprising

It’s exciting, although maybe not quite as exciting as we originally thought. It’s becoming a little more exciting because payroll employment is doing better than expected. That’s a different metric pointing in a different direction than some of the other indicators. The other indicators were suggesting that things were stable but slow, while this one is saying, “You know, not bad.”

It also looks like the service industry and manufacturing are showing increases, which is interesting. I guess new orders could be part of that story, based on another public release showing that manufacturing new orders are up. Government education also added 42,000 jobs. So, we’ll see where this turns. It is just fun to watch. 

Employment Situation – August 2026

  • Total nonfarm payroll employment increased by 162,000 in August, while the unemployment rate remained unchanged at 4.1%.
  • Food services and drinking places added 59,000 jobs, while local government education added 42,000 jobs.
  • Manufacturing employment increased by 16,000 jobs and has risen by 58,000 since December 2025.
  • Information employment declined by 23,000 jobs, with losses in computing infrastructure, data processing, web hosting, publishing, and broadcasting.
  • Average hourly earnings increased 0.3% in August to $37.75, representing a 3.1% increase over the year.

U.S. Bureau of Labor Statistics. (2026, September 4). The employment situation—August 2026. U.S. Department of Labor. https://www.bls.gov/news.release/empsit.nr0.htm

Thursday, September 3, 2026

Unemployment Insurance Claims Week Ending August 29 Show a Relatively Stable Labor Market

Unemployment claims rose slightly, by about 2,000, but remain at a relatively low level, suggesting some stability in the labor market.

Claims are also lower than they were a year ago, which is a positive sign. Still, the latest increase is something to watch. Weekly numbers naturally move up and down, so one small change does not necessarily signal a larger shift.

The key is to look for a trend over time. Understanding that trend requires looking at a range of economic data and how different factors affect the labor market. As more data comes in, those connections become clearer and provide a better picture of where the job market may be headed.

Unemployment Insurance Claims
  • Initial unemployment claims rose to 206,000, up 2,000 from the previous week.The four-week average increased to 207,250, indicating a relatively stable labor market.
  • Insured unemployment increased to 1.779 million, while the insured unemployment rate remained at 1.2%.
  • Claims were lower than a year ago, suggesting continued labor-market stability.
  • Continued claims totaled about 1.795 million, down 23,293 from the previous week.
  • California reported the highest initial claims at 35,672.
  • Overall, unemployment claims remain relatively contained, though recent increases should be monitored.
U.S. Department of Labor, Employment and Training Administration. (2026, September 3). Unemployment insurance weekly claims [News release]. U.S. Department of Labor. https://www.dol.gov/ui/data.pdf

US Trade in Goods and Services July 2026

 The latest U.S. international trade report for July 2026 presents some mixed signals. The trade deficit increased during the month, which is not necessarily good news, but there are some interesting details behind the numbers that deserve a closer look.

A significant portion of the increase was connected to technology-related imports, including computers and semiconductors. This raises an interesting question: Could some of these imports represent investment in new technology, equipment, and upgrades? It is too early to say, but it is certainly something worth considering as we look at the broader economic picture. Maybe not but time will tell.

Exports, meanwhile, decreased. The reasons are not immediately clear and could involve geopolitical issues, changing global demand, or other economic factors. More review would be needed to determine what is driving the decline.

The United States also continues to purchase substantial amounts of goods from overseas. Many of these products could potentially be manufactured domestically, raising questions about how to do this. (Its not that we have to produce all the products we consume but we should be strategic about the type of industries we foster. There may be a place for structured industry development and organic industry development.)

(Illustrative Only)
Reviewing
the trade balances
can lead to 
greater market knowledge. 
Solutions to 
market problems.
Still, there is a silver lining. The overall trade deficit for the year-to-date period was 29.6% lower than during the same period in 2025. So while the July numbers are not particularly encouraging, the longer-term picture shows some improvement. At the same time, the increase in technology-related imports may indicate that investment and upgrading are taking place behind the scenes. Maybe not?

For now, the numbers leave us with more questions than answers—but that is exactly why it will be important to watch the trends over the coming months.

U.S. International Trade in Goods and Services, July 2026

  • The U.S. trade deficit increased to $88.6 billion in July.
  • Exports decreased by $6.6 billion to $310.7 billion.
  • Imports increased by $10.8 billion to $399.3 billion.
  • The goods deficit rose to $119.6 billion, while the services surplus reached $31.0 billion.
  • Year-to-date, the trade deficit was 29.6% lower than the same period in 2025.

U.S. Bureau of Economic Analysis. (2026, September 3). U.S. international trade in goods and services, July 2026. BEA report

Art, Boats, and the Occasional Creative Detour: Art as a Reflection of Human Experience

I haven’t completed an art piece in the last few weeks. I’ve been a little distracted—working on my boat, fixing things, running around taking care of other projects, and, somehow, finding time to learn how to make a couple of new craft items. Apparently, there are only so many hours in a day, and I’ve been trying to use all of them!

Photography example. 
You may purchase below.
I’ll be getting back to another art piece soon. I sell my artwork from time to time, so if you’re interested in purchasing something, there is some information below. For me, though, art is mostly about having fun and expressing an idea.

Art is also much more important than simply making something that looks nice. It is deeply connected to human nature. Even if we removed all of our modern technology, people would still create art. Our ability to imagine something that isn't directly in front of us—and then try to recreate it—is a distinctly powerful human ability.

Art helps us record history, express emotions, communicate ideas, and see the world differently. It can even contribute to innovation by encouraging people to think about possibilities that don't yet exist. So, when someone says art is a useless endeavor, I would have to disagree. Humans have been creating things for a very long time, and apparently we haven't gotten tired of it yet.

Photography example. 
You may purchase below.
It will be interesting to see how artificial intelligence changes the creative process. AI can now help generate images, connect ideas, and make the final product more consistent or coherent. That may be useful, but it also raises an interesting question: if the technology does more of the creative thinking, does the process become less of a deeply human experience?

I'm certainly not claiming to be an expert on the subject. I'm simply looking at it from what I understand about the brain, creativity, and my own experience with art. For me, part of the value of creating art is the thinking that happens along the way. If AI does all of that for us, we may get a great picture—but we might miss some of the fun of getting there. Or the human development if fosters.

Some of my pieces

Art Gallery (Painting and Photos)

$70 Purchase Painting Pay Pal

$60 for photos (Rights to Use or Printing)

Art Gallery eBay (Paintings)

How Art Shapes Culture and Reflects Human Experience

  • Art reflects the values, beliefs, traditions, and experiences of different cultures.
  • Art preserves history and communicates ideas across generations.
  • Artists can influence society by addressing social issues and encouraging discussion.
  • Art provides a powerful way to express emotions and connect people.
  • Technology has expanded artistic expression through digital media and other new tools.

Fitzpatrick, L. (2023, March 15). How art shapes culture and reflects human experience. In R. May (Ed.), Humanities 101. Howard Community College Pressbooks. https://pressbooks.howardcc.edu/humanities101/chapter/how-art-shapes-culture-and-reflects-human-experience/

Federal Reserve Beige Book August 2026-Moderate Economic Increase

The U.S. economy continued to grow at a moderate pace in August, according to the Federal Reserve’s latest Beige Book. Economic activity was supported by spending related to data centers and defense, while employment showed slight improvement and demand remained strong for workers with specialized technical skills.

The continued need for skilled and technology workers highlights the importance of human capital, education, and training and development. At the same time, the rapid expansion of data centers has raised questions about where these facilities should be located and their potential environmental impact. Read the news and you will understand the debate. 

Geopolitical developments could also affect supply chains. Defense industry growth is up. Businesses continue to face concerns related to inflation, energy costs, and government policies. Overall, the Beige Book provides a useful snapshot of current market conditions and helps illustrate the economic forces shaping businesses and workers across the country.

Federal Reserve Beige Book – August 2026
  • Economic activity increased modestly, with 10 of 12 Federal Reserve Districts reporting growth.
  • Consumer spending rose slightly, but consumers remained price-sensitive. Tourism continued to strengthen.
  • Manufacturing activity improved, particularly in defense and data-center industries, while residential construction declined.
  • Employment increased only slightly, with continued demand for skilled and technical workers.
  • Price pressures remained elevated due to energy, transportation, raw materials, tariffs, and other business costs.
  • Overall, the economy continued to expand at a modest pace, although businesses remained concerned about inflation, energy costs, and policy uncertainty.

Board of Governors of the Federal Reserve System. (2026, September 2). Beige Book—August 2026: National summary. https://www.federalreserve.gov/monetarypolicy/beigebook202608-summary.htm

US Manufacturing in July 2026: Modest Growth but Could be Improved

New orders for manufacturing increased, which is a good sign. Shipments are also increasing, although these are not large increases. Unfilled orders increased a little bit, and inventories increased a little bit as well. So, overall, the manufacturing sector is still expanding, but it is expanding modestly.

The economy is still growing. It is not growing as quickly as we might like under ideal conditions, but there is still positive activity. We should also think about how we can enhance manufacturing by bringing together small and medium-sized businesses and anchoring them with perhaps a few large businesses to encourage broader economic activity.

While this report does not necessarily directly cover that, many times it is the small and large businesses that experience growth. Having a strong base of micro-manufacturers, small manufacturers, and custom manufacturers can, in some cases, help create larger companies down the road. So, while we are seeing moderate growth in manufacturing, there may be opportunities to improve and expand that growth.

U.S. Manufacturing Activity: July 2026
  • New orders for manufactured goods increased 0.9% in July to $663.6 billion, following a 0.2% decline in June. This suggests a modest rebound in manufacturing demand.
  • Manufacturers’ shipments increased 0.8% to $658.8 billion, marking the ninth increase in the past ten months and indicating relatively consistent manufacturing activity.
  • Unfilled orders increased 0.6% to $1.60 trillion and have risen in 24 of the past 25 months, providing manufacturers with a substantial backlog of future production commitments.
  • Manufacturing inventories increased 0.4% to $966.9 billion, extending the inventory growth streak to ten consecutive months. The inventories-to-shipments ratio remained at 1.47.
  • Overall, the July data point to a manufacturing sector that is expanding modestly, with rising orders, shipments, inventories, and a large backlog. The combination suggests continued production activity, although the slightly lower unfilled-orders-to-shipments ratio indicates some improvement in manufacturers’ ability to work through their backlog.
U.S. Census Bureau. (2026, September 2). Monthly full report on manufacturers’ shipments, inventories, & orders. U.S. Department of Commerce. https://www.census.gov/manufacturing/m3/current/index.html