Its jobs moron

Consti here coming to you from the Accounting offices of Bunker, Bunker, and Fienkelstien. After another round of lochs and bagels my accountant made a very valid comment; “There is no such thing as a jobless recovery.” It’s a myth worthy of Myth Busters. Its simple economics people, the American consumer comprises some 60% of the economy. If people don’t work they don’t make money. If people don’t make money they don’t spend it. If people don’t spend money the economy tanks. Simple.

Some $787 BILLION (with a B) dollars was set aside for the stimulus. Still less than half has been spent. Now there is talk because of the Christmas day bomber that some of that money will be spent on air port scanners. Instead of its original intention of not letting unemployment go above 8%. I believe that makes the stimulus bill nothing more than a slush fund. We had to pass that bill right away without reading it so as to prevent unemployment from reaching 8%. Guess what we are STILL at 10.2% a year later, and in December another 85,000 jobs were shed from the economy. I would say that is a failed, ham fisted attempt at fixing the problem. (i.e. throw money at it.)

The only reason unemployment isn’t at 10.4% is because of the people who have STOPED looking for work which are not counted in the figures. Add to that most jobs added are TEMPORARY and not full time employment.  Actual unemployment is still above 17% and rising. Yet if you listen to any of the pundandts the economy is turning around. How can this be? Try the magic of smoke and mirrors. (Remember kids perception is reality, if they can make you believe in this improvement then you will forget the actual impact.)

While “The One” is still complaining about Bush the nation suffers one of the worst unemployment landscapes since the great depression. Obama says that jobs are thought of “every day”. Yet healthcare has been front and center before vacations.  MIT economist Jonathan Gruber, one of the leading academic defenders of health care reform, is taking heat for failing to disclose consistently that he was under contract with the Department of Health and Human Services while he was touting the Democrats’ health proposals in the media. The fix is in people.

“Now Consti all you are doing is complaining! What’s the solution?” Very good question and one with a simple answer. Use the stimulus money for what it was intended! Now shovel ready projects are good and all two years down the road, but the American people need help NOW! I say we use that money to provide incentives for business to hire people. Let’s provide the carrot instead of the stick here and make $1,000 available (arbitrary number) per new hire to companies. Provided of course that they retain the employee for one full year.  Instead of shovel ready projects that go to union thugs like the SEIU. But that’s just a random thought from someone who’s not an economist. (Although I play one on T.V.)

It’s not “The economy stupid” as the quote goes. “Its jobs moron” would be more appropriate. Since the main engine of the economy is you, me, and them, the American people. Instead of trying to take over 1/6^th of the economy (vis-à-vis healthcare) the focus should be jobs, jobs, jobs, jobs. Now they are even talking about taxing your Cadillac Healthcare coverage. But do you seriously think those in congress will pay that tax? (Yes Charlie Wrangle I am pointing at you.) Do you seriously think the SEIU will allow that? After decades of negotiating sweetheart deals for medical coverage to union employees?

“But what about Green Jobs Consti? We were told that would solve the problem.” Every “green job” created with government money in Spain over the last eight years came at the cost of 2.2 regular jobs, and only one in 10 of the newly created green jobs became a permanent job, says a new study released this month. The study draws parallels with the green jobs programs of the Obama administration.

President Obama, in fact, has used Spain’s green initiative as a blueprint for how the United States should use federal funds to stimulate the economy. Obama’s economic stimulus package, which Congress passed in February, allocates billions of dollars to the green jobs industry. But the author of the study, Dr. Gabriel Calzada, an economics professor at Juan Carlos University in Madrid, said the United States should expect results similar to those in Spain:“Spain’s experience (cited by President Obama as a model) reveals with high confidence, by two different methods, that the U.S. should expect a loss of at least 2.2 jobs on average, or about 9 jobs lost for every 4 created, to which we have to add those jobs that non-subsidized investments with the same resources would have created,” wrote Calzada in his report: Study of the Effects on Employment of Public Aid to Renewable Energy Sources.

Taxing the rich to give to the poor is not Robin Hood. It’s straight out of the hood mentality. Compton represents y’all!

Consti

Tagged as: 2012 election, Current Events, Economy, obama administration, politics

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