Wednesday, August 25, 2010

Where Are the New Jobs?

"Corporate profits are soaring. Companies are sitting on billions of dollars of cash. And still, they've yet to amp up hiring or make major investments."

So writes The Washington Post about the recession's stubborn refusal to go away. The statisticians at the National Bureau of Economic Research declared the Great Recession over -- but tell that to people who can't find jobs. Today, businesses replace equipment and inventory, but they are reluctant to hire new workers. Investment that does occur aims at replacing the use of labor by adopting advanced technology. In a growing economy, that's a sign of progress. Freed-up workers are then available for new projects. But lately, those new projects aren't being launched.

The two wings of the establishment offer their usual remedies. Government-oriented types want more tax-financed "stimulus" spending, claiming last year's nearly trillion-dollar dose wasn't enough. That's dubious. As economist Mark Skousen writes, "(P)roduction and investment lead the economy into and out of a recession; retail demand is the most stable component of economic activity."

Business-oriented types want tax cuts. I'm sympathetic, but cuts should be accompanied by spending cuts, or the deficit will grow even uglier. There's no free lunch. Deficit spending must be covered by government borrowing, which takes capital that could be used for investment out of the private sector. READ MORE...


  1. Stay the f#uck out of the way you Muslim Usurper Turd---let the free market conclusively and authoritatively resolve and determine it's own fate----

    Take your regulations, taxes, and fixed boundaries aganist profit and stick it up your ass----and then you can tell your daughter when she asks (daddy, did you finally kick somebodies ass) that you spiked yours----

    The Human failure deprives one of life in the free market by slaughtering the vital and essential quality business needs to survive and thrive----

    Like animals shot in a hunt Obama like an enemy unit destroys through his actions---

    Like frost kills plants Obama through stealth and premeditation assassinates jobs----

  2. Under The Human Failure in The White House America is like standing on the train tracks and watching a locomotive bearing down on you---

    The Human Failure's persistent disturbing preoccupation to remake the United States not just into another banana republic but The Big Banana with indebtedness for everyone to carry for years, as personal financial well being and assets are being confiscated by the voracious appetite of the government---

    You can't teach ethics to a sociopath----
    Marxism attracts people with psychopathic deficiencies of moral character---look no further then the Turd in the White House---