What a bunch of hooey!! Why not admit that Congress appears to have underestimated the profound effect of passing legislation to raise the minimum wage on the labor market. Or Congress appears to have grossly underestimated the chilling effect on the economy that changing the entire health care system would have! Or Congress appears to have grossly underestimated the effects that steeply increasing the national debt would have on money markets, consumer confidence, and banking behavior??
Or Congress appears oblivious to the costs of the threat of unnecessary Cap and Trade legislation hanging over the heads of business leaders and wonders why business refuses to expand!
There you go, getting all sensible again.....
I don’t think this president or this congress underestimated anything.
Obama doesn’t care about the economy. Nor is he out of touch. He and his minions care only about redistributing our nation’s wealth.
And, they are doing a bang up job of it, while destroying those who make this country wealthy by creating good jobs.
If he’s able to go about this willy nilly for too much longer, he will destroy the middle class.
BTW, the middle class is what makes this country great, and sets us apart. He’s out to destroy it, even if he doesn’t realize that’s exactly what he’s doing. Given his “experience”, I’m willing to give him the benefit of the doubt on that one. He’s not a pillar in the economic community...only in the organizing community.
Remember when he said, “We are four days away from fundamentally transforming this country”???
I agree with you, but would like to point to another factor which may be a more potent force against job creation, and that is the lack of credit in the Fall of 2008, which has persisted until the present.
We probably all agree that most job creation is done best by small business, well small businesses are dying for credit. Like home owners, the value of any assets held in a business have fallen drastically. If you have cash you can get a bank loan, but of course you don’t need it. If you have commercial real estate forget it. Plant and equipment are worth auction values at best. Even receivables are now discounted heavily. You have a business plan with a strong cash flow projection, file it because no one will lend you anything on paper projections.
What happened in 2008 was the severest small business credit crunch I have ever seen, and it hasn’t gotten better.
I had a small business with sales of $70mm a year and 160 union employees. Yes $70mm is a small business these days. We couldn’t get ~ $1mm from our bank in September 2008 and were forced by them into liquidation. Someone bought the business with cash for $2.5mm and now runs it with half the workers making half what we paid and no benefits.
We got no bail out, and frankly, although I would have taken it, we shouldn’t have. That’s how it works.
Until a small business starting or growing can get credit, the jobs numbers won’t come back. With the government borrowing and spending for benefits the country can’t afford, there is no cofidence or money to lend.
P.S. I still haven’t figured out why the financial world stopped back in 2008, but it sure killed a lot of us.