The four reasons we're facing a jobless recovery, outlined the other day by Martin Hutchinson of Money Morning, are on target in my opinion. Here's the link. Developing his analysis further, I think what's really going on is this... ** When they “put America to work” with government jobs, they are paying them by extracting wealth from the more productive private sector and diverting it to a quarter of a million morons raking leaves in National Parks (basically an assumption of and the redirecting of State welfare payments, no more or less).
** Or the money is borrowed, which will “crowd out” private investment.
** The trouble is, once the spending peters out, the economy starts going south. (government jobs have no multiplier effect). Then they will say “we need another stimulus”! But by that time, they will have to pay 11% to sell treasuries.
** And as this interest rate works its way through the economy, the economic contraction accelerates as does inflation! They will get into a vicious spiral downward.
** Another aspect: should there be even a hint of a recovery, taxes will be slapped on, The present administration is salivating to raise taxes to finance more government programs and bureaucracy, which is paving the way to turning the US into an Argentina, complete with capital flight to Asia.
** The real way out is to give tax breaks and subsidies to entrepreneurs to start businesses and decrease the size of government. This generates demand for goods and services and employment, which is self-sustaining, actually increasing the size of the economy. But that would be “giving tax breaks to the rich”, something the Marxist-Socialist-Progressives CANNOT DO IDEOLOGICALLY! They would rather send every welfare-freeloader a couple of hundred bucks to piss away at the liquor store, and think that will revive the economy!
** Therefore, the country’s economy will NEVER recover until the Marxist-Socialist-Progressive Obamaites are removed. But judging from the ACORN voting irregularities and the coming census and gerrymandering that’s coming, they may NEVER be removed. This could very well be the end of the prosperous and free America we have known over our lifetimes.