Filed under: Capitalism, Democrat Corruption, Economy, Liberalism | Tags: 13 Million Unemployed, How to Create a Job 101, The Concept of Employment
It is interesting to contemplate the policies that seem to flow from President Obama’s understanding of the concept of employment. Right now, the number one concern of the American people is jobs and employment.
Last week President Obama said that “EPA regulations create jobs,”astounding businessmen across the country. He also said that unemployment benefits create jobs, and that temporarily allowing working people to keep a portion of the FICA contribution on their paycheck — which adds up to maybe $1.000 a year (on which they have to pay taxes) will also create jobs.
This convoluted FICA relief, he refers to as the Payroll tax. It is not, however, a tax. Democrats from FDR on down have insisted that it is a contribution that goes into the Social Security Trust Fund (a bookkeeping entry which immediately goes out again as some senior’s Social Security check). Social Security is already operating in the red, as current contributions don’t cover all the social security checks that have to go out. So, I assume, we’re borrowing from China to make up the balance. And that’s why it is so impossible to get a straight answer from government.
The government does not create jobs. Yes, a lot of people are employed by the government, but you and I pay their paychecks and their benefits. Jobs out in the private sector mean that something new is created that somebody else is willing to pay for, and the economy grows. A farmer grows a head of lettuce, a trucker takes it to market, a cook buys it to create a salad, and someone hungry buys a meal.
Over at PJ Media, Zombie has a different take on the president’s economics “The Leaf-Blower Paradox and the Fundamental Fallacy of Obamanomics” which is a delightful essay on how Obamanomics works. To translate briefly, there’s no hope! We simply have to add Obama to the rolls of the unemployed.
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