Friday, June 10, 2011



There is LOW unemployment in Spain.

Most of the so-called Spanish unemployed have jobs in the 'black economy'.

This might explain why Spain does not have major riots.

In Spain the 'black economy' is said to be 19% of the official gross domestic product.

( / Europe: Hidden economy)

The Spanish jobless rate "is a fiction."

There are problems when a country has a large 'black economy'.

1. The goverment does not get social security contributions from the people in the 'black economy.

2. The 'black economy' is often linked to illegal immigration and sweatshops.


The small town of Prato, in Tuscany in Italy, has a population of 180,000 people.

There are 35,000 Chinese living in Prato.

Half of them are illegal immigrants.

Prato has Chinese marriage agencies and Chinese massage parlours.

The Chinese in Prato are in the garment industry.

The Chinese workers work long hours.

29 year-old Shi Songbin was an illegal Chinese immigrant found dead in Prato.

He died from an overdose of drugs.

The purpose of the drugs may have been to help him work long hours in a sweatshop.

( / Europe: Hidden economy)

Many Chinese emigrate to places like California.

"Migration involves incurring large debts to 'snakeheads,' who arrange for transport and entry and often brutally enforce payment.

"Because of their illegality and constant pressure from their creditors, Chinese immigrants often accept jobs that pay far less than the U.S. minimum wage and violate American labor standards, and they have no effective legal recourse."

(Immigration in a Changing Economy: California's Experience ...)

The Chinese make up the largest Asian population in the United States today.



Genie said...

In California we already speaka da Spanish. Next comes Manderin.

Anonymous said...

Michael said...

Government and their paid academics love to extol the evils of the 'black economy'.

In reality the black economy is everything from the concreter or plumber fix your house for cash to migrant workers working in shops or fields for under the award rate.

Government hates is and has to bring out these scary stories because it hates the fact it can't tax the black economy to raise funds for more warfare and welfare.

Anonymous said...

The Realist Report said...

California is extremely diverse. There are many illegal immigrants.

Very good movie that relates to illegal Chinese immigrants and Italy:

Anonymous said...

The Chinese is all over South America. They are buying land and starting business. Very soon the world will be working for the Chinese. In the USA there is a large number of Jews married to Asian women. It is a crash of civilizations. Asian culture has absolutely nothing to do with the West. They should stay where they come from.

CS said...

Minimum wage laws may create a large part of the black economy. In America more than 50% of black youths are unemployed, presumably because in most cases they are unable to justify a wage equal to the federal minimum.

If minimum wage laws were abolished and some kind of reverse income tax instituted to bring the incomes of those in full-time employment up to the minimum wage standard, mass unemployment in the West would probably disappear. Moreover, western companies would then be on something much closer to a level playing field with China, India, etc. at least in terms of wages.

brian said...

The Revolution Business

nobody said...

Bloody! John Friend beat me to the punch. I second recommending Gomorrah. It's really something. I rented it on DVD and watched the director's interview. They're usually crap but this was fascinating - the director is a very savvy guy with interesting things to say about the circular nature of people being depicted and in turn watching their own depiction. Very un-Hollywood thinking.

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