Jobs and Regulation
The U.S. economy remains in the grip of a growth recession, and there is no relief in sight. Slow growth means continued high unemployment as workers bear the brunt of the burden of President Obama’s failed economic policies. Continued slow growth also means trillions of dollars will be added to projected deficits and more contentious battles over spending and taxes. But, corporations appear to have adjusted to a plodding economy by cutting costs enough to be on their way to reporting record profits, driving stock prices to within reach of their highs hit before the Great Recession.
Economic activity in the fourth quarter was flat, as overall GDP contracted at a teeny tiny 0.1% annual rate. Two one-time events – a 22% annual rate of decline in defense spending and a reduction in inventories subtracted about 2.5 percentage points from the growth rate. But, these were offset by the recovery in residential investment and consumer spending on durable goods which was boosted in part by an aging auto fleet feeding new car sales. Accelerated bonus payments of $45 billion (at annual rates) and dividend payouts of – get this — $317 billion artificially inflated personal income and the savings rate during the quarter as individuals scramble to protect as much income as possible from the Obama tax increase.
“Budget deficit twice as high, 3.7 million more Americans unnecessarily searching for work as a result of Obama’s poor economic choices,” says GOP economic leader
Washington, D.C.— In a jobs report unaffected by Hurricane Sandy, the Bureau of Labor Statistics reported today that the U.S. economy added 171,000 nonfarm payroll jobs during October with a gain of 184,000 jobs in the private sector. The unemployment rate increased to 7.9%.
Here is the most important take away on economic policy from last week’s debate:
- President Barack Obama plans to raise revenue by imposing $1 trillion in new taxes on the U.S. economy that will destroy nearly 1 million jobs;
- Governor Mitt Romney plans to raise revenues by pursuing policies that will create more taxpayers through increased private sector employment.
Governor Mitt Romney’s campaign for President made a potentially fatal error on September 13th by moving to the left of President Barack Obama on the emotional issue of trade with China. On that day, the Romney campaign released a major press release attacking Obama for not labeling China a “currency manipulator.” Claiming China is cheating, Romney is promising the American people he will seek to force the Chinese to allow the dollar to fall in value relative to the Chinese yuan.
Last January, I warned Romney’s support for a weak dollar policy relative to China would prove to be the economic Achilles Heel of his campaign. And, unless he changes course, that appears to be exactly what is happening.
America’s economic wellbeing is at the mercy of the most thin-skinned hotheads on earth.
The tragic and outrageous assassination of American officials in Libya and the vicious attacks on U.S. embassies in (as of this writing) Egypt, Tunisia, and Yemen dramatize the enormous risk of depending on petroleum from a region where a film clip can trigger riots, bloodshed, and fatalities. If this week’s turmoil proves as communicable as the rapidly tarnishing Arab Spring, Islamic militants could hammer the Great Satan by sabotaging OPEC oil fields or simply encouraging their co-religionists to leave their petroleum-sector jobs and instead rail against Western “infidels.” The mere potential of such a scenario introduces yet another element of uncertainty into a U.S. economy suffocating beneath question marks.
By Charles S. Johnson
August 4th, 2012
The “8 percent unemployment” rate in recent months, unfortunate though it is, paints a too- optimistic picture of our economy.
Real unemployment is a frightening 15 percent, if we count the officially unemployed plus two other categories—people who have stopped seeking work but still want a job, and those who are working only part-time (and thus probably aren’t meeting their financial needs) because that is all they can find.
The U.S. Labor Department compiles two separate job reports. The economy gained 163,000 jobs in July, which helps to explain why the uptick in official unemployment was only marginal. But the Labor Department also found that 195,000 fewer people are considered employed than a month ago.
To learn how many jobs the economy gained or lost, the government surveys businesses. To learn how many people are working, it surveys households. From households, it obtains both the widely reported “unemployment rate” that’s based on active job-seekers who aren’t working and a less-publicized “U-6” unemployment rate.
Brady says, ‘President Obama shouldn’t drive economy off tax cliff’
Washington D.C.-- Responding to today’s employment report from the Bureau of Labor Statistics (BLS), Rep. Kevin Brady (R-TX), Vice Chairman of the Joint Economic Committee, issued the following statement:
“Today’s employment report, despite a better than expected gain of 172,000 private payroll jobs, yet again, confirms the failure of President Obama’s economic policies.” Brady added, “Using the White House’s own metrics of talking about private payroll job gains from the cycle low, President Obama’s recovery remains in last place among post-World War II recoveries.”
This video origiranlly aired on Fox News Channel July 28, 2012
Watch Engage America Thought Leader Deroy Murdock discuss the Joint Economic Committee's recent red-tape graphic, the EPA's wacky fantasy-fuel regulations, and two self-contradicting OSHA and USDA rules.
Why is America’s economy hogtied? For one answer, consider the excellent chart released Tuesday by the Republican staff of the Congressional Joint Economic Committee (JEC). With devastating clarity, it illustrates the miles and miles of red tape that bind the hands of entrepreneurs and CEOs like those of hijacked jet passengers. Regulation is a major and mounting cost that consumes scare resources — namely growth capital, management time, and basic patience.
‘We’ll invest $15 billion a year over the next decade in renewable energy, creating five million new green jobs that pay well, can’t be outsourced, and help end our dependence on foreign oil,” candidate Barack Obama pledged in a radio address on November 1, 2008.
Three years and eight months later, as unemployment has exceeded 8 percent for 41 straight months, Obama seems incapable of keeping this promise. With the worst employment figures since at least 1948, when the Bureau of Labor Statistics started measuring them, Obama has made a dog’s breakfast of jobs — green and otherwise.
Get The Facts
"Flood of food imported to U.S., but only 2 percent inspected"
"Theory, Evidence and Examples of FDA Harm"
"Don’t Forget about the FDA"
"Americans say no one has a good jobs plan"
"Obama's Spin on Jobs Bill"
"The Great African American Depression"
"Keeping Teachers Off Of The Unemployment Line"
"Cherry Picking On Regulation"
"Regulations cost up to $1Trillion "
ENGAGING WITH OTHERS
July 23, 2012
Bill, on Huffington Post
July 23, 2012
Bill, on Huffington Post
July 11, 2012
Bill, on Slate
June 26, 2012
Scott, on SF Gate
June 17, 2012
Florian, on Huffington Post