Filed under: Capitalism, Democrat Corruption, Economy | Tags: Creating Jobs, Nancy Pelosi, President Obama
Nancy Pelosi made this claim again today, that unemployment benefits are the best way of creating jobs. President Obama said essentially the same thing — that unemployment benefits will be spent right away. Since the unemployed are hard-up, they will spend their benefits immediately, and then that money will s-l-o-w-l-y circulate through the economy creating “multiplier effects” which Christina Romer pegged at somewhere over 1.5% — to which some other economist said — obviously, all you have to do is dump $1 trillion into the economy, and you will get $1.5 trillion back. You don’t even have to do anything else, just keep dumping money into the economy and — oh wait!!! That’s what we have been doing.
Consumer demand is a consequence, not a cause, of economic growth.
I have an idea. If we can just get President Obama to stop destroying jobs, I’d bet things would pick up right away. The moratorium in the Gulf of Mexico cost something over 32,000 jobs, some rigs have left the Gulf, and although the moratorium is over, new drilling permits are not being issued — even for shallow water wells which have had no safety problems at all. When Congress banned incandescent lightbulbs, to please GE, the incandescent factories closed permanently, and twisty bulbs now come from China.
The administration has subsidized several electric battery factories, but there is a glut of batteries, and no market. When you hike the minimum wage, you raise the unemployment rate. Mandating health insurance shuts down small businesses. Raising the cost of energy kills jobs, and requiring the use of renewable energy raises the cost of energy. Denying permits to the coal industry (Obama said he would bankrupt Coal) kills jobs. Defunding the Yucca Mountain nuclear waste repository kills jobs. And bashing business, particularly small business as represented by America’s Chambers of Commerce doesn’t help. I could go on, but you get the idea.
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