The left is convinced that the stimulus is all that is between us and disaster.
In February, when the debate over the economic stimulus package was at its height, a handful of “centrist” Senate Republicans said they’d block a vote on recovery efforts unless the majority agreed to slash over $100 billion from the bill.
The group, which didn’t have any specific policy goals in mind and simply liked the idea of a small bill, specifically targeted $40 billion in proposed aid to states. Helping rescue states, Sen. Collins & Co. said, does not stimulate the economy, and as such doesn’t belong in the legislation. Democratic leaders reluctantly went along — they weren’t given a choice since Republicans refused to give the bill an up-or-down vote — and the $40 billion in state aid was eliminated.
At the time, it seemed like a very bad idea. That’s because it was a very bad idea.
In the past, government hiring had managed to somewhat offset losses in the private sector, but government jobs declined by 53,000, with the biggest number of cuts on the local and state levels. Even the Postal Service, which is included in the public-sector job statistics, dropped 5,300 jobs.
“The major surprise came from the public sector, where every level of government cut back,” Naroff said. “The budget crises at the state and local levels have caused an awful lot of belt-tightening.”
As Atrios reminded the Senate this morning, “Thanks for compromising.”
This, of course, is leftist dogma. Replace private jobs with public jobs. Well, the only trouble is that the money to pay for those public jobs has to be taken from what is left of the private sector. This begins a vicious cycle until the private sector economy collapses, leaving the public to be funded by printing money.
In fact, employment is worse than the statistics suggest.
Note that the last time non-farm payrolls dropped was in 1982. People are retiring or claiming disability and giving up on finding work. The left simply does not understand what makes an economy work. There is no college president to raise the money to pay their salaries.
Reich went on to say that the stimulus is saving or creating 200,000 to 250,000 jobs. He did not explain this. I am guessing that this is based on a formula where if the government spends X you get Y jobs.
That formula does not apply. What matters is investments from the private (or at least non-federal government) sector. That’s down. Way down. Demonizing insurance companies, which earn their money mainly through investments and not premiums, undermines confidence as well.
They just don’t understand, and don’t want to hear from anyone who disagrees.
This is what Obama has accomplished. And it is far from over. In February, here is what Obama said.
“In recent days, there have been misguided criticisms of this plan that echo the failed theories that helped lead us into this crisis — the notion that tax cuts alone will solve all our problems; that we can meet our enormous tests with half-steps and piecemeal measures; that we can ignore fundamental challenges such as energy independence and the high cost of health care and still expect our economy and our country to thrive.
“I reject these theories, and so did the American people when they went to the polls in November and voted resoundingly for change. They know that we have tried it those ways for too long. And because we have, our health-care costs still rise faster than inflation. Our dependence on foreign oil still threatens our economy and our security. Our children still study in schools that put them at a disadvantage. We’ve seen the tragic consequences when our bridges crumble and our levees fail.
“Every day, our economy gets sicker — and the time for a remedy that puts Americans back to work, jump-starts our economy and invests in lasting growth is now.”
The stimulus has failed and has probably made things worse.
Those of us who said do nothing were right. Instead of allowing this recession to play itself out, Obama has pushed to drag it out.
We are in real trouble and they are still pushing the remedies that make it worse. The sooner we get these people away from the levers of power, the better chance we have to recover. Fundamentally, the left still thinks, deep down, that Marxism works. They have never run a business, even a small one. They have never met a payroll. I’m still reading Steven Hayward’s Age of Reagan and it is interesting to see that the attitude toward Goldwater in 1964 was the same as the attitude toward Reagan in 1984 (amiable dunce) and is still the attitude. They think they are smarter. Remember Buckley’s comment that he would rather be ruled by the first 100 names in the Cambridge telephone book than by the Harvard faculty. Well, that is who is in charge now.
…Replace private jobs with public jobs. Well, the only trouble is that the money to pay for those public jobs has to be taken from what is left of the private sector.
I suppose this might work a little bit if the public sector jobs entailed some sort of economically productive activity. But we have such a culture of non-work in the public sector. Many jobs are sinecures and many others are looking for such.
Sir–
in the foxhole of a bad economy we are all Keynsians. Bush began a stimulous, Obama went with it–probably not enough–and the job issue is yet another matter. White collar jobs now go to India; blue collar jobs to China. It was our corporations, keen on profits, that arranged this and that means we will not have the jobs that we once did have. Have you a plan to get back what now goes overseas? Let us know, please.
No, we are not all Keynesians. Speak for yourself, of course.
Should we take this answer of yours, which of course lacks any actual content, to mean that you have no plan?
Are you spamming the wrong thread ? I have no idea what that comment means.
Perhaps rereading the comments will refresh your memory.
Sorry, my memory is fine. Your comment looks just like the tons of spam I keep having to delete every day.
“…in the foxhole of a bad economy we are all Keynesians.”
Speak for yourself, Freddie boy!
(*SMILE*)
“Bush began…”
Yeah… yeah… yeah… BUSH.
(*SNORT*)
Fred. Some of us opposed Bush’s turns Left.
Fred. Some of us opposed the RINO Congress’ turns Left.
This isn’t a sporting blog. We’re discussing POLICY, not “my team is better than your team” nonsense.
“It was our corporations, keen on profits…”
Yadda… yadda… yadda… BIG BAD BUSINESS.
(*SMIRK*)
Fred. Perhaps you failed to notice, but this was going on when Democrats controlled Congress under Reagan and during the first two years of the Clinton presidency when Dems retained control and it went on during the last six years of the Clinton presidency.
By and large “Free Trade” has been the bread and butter for movers and shakers of BOTH Parties and the largess has been spread from business to BOTH Parties in spades.
Who’s looking out for the American “working man” – blue collar as well as white collar – very few.
Hey… you don’t hear President Obama addressing the nation prior to Christmas 2009 BEGGING Americans to “Buy American” and BEGGING stores to “Stock American,” do you…???
Hell… do you even note any real UNION push for “Buy American/Stock America?” Do you….???
Fred. The insiders make MONEY selling out the country and the average American to China. They’ve been doing it since the ’80’s.
Take the partisan blinders off.
Ralph Nader and Pat Buchanan have more in common when it comes to “solidarity with American workers” than Obama, McCain, Bush, or Clinton do.
BILL
“…in the foxhole of a bad economy we are all Keynesians.”
Speak for yourself, Freddie boy!
“Bush began…”
Yeah… yeah… yeah… BUSH.
Fred. Some of us opposed Bush’s turns Left.
Fred. Some of us opposed the RINO Congress’ turns Left.
This isn’t a sporting blog. We’re discussing POLICY, not “my team is better than your team” nonsense.
“It was our corporations, keen on profits…”
Yadda… yadda… yadda… BIG BAD BUSINESS.
Fred. Perhaps you failed to notice, but this was going on when Democrats controlled Congress under Reagan and during the first two years of the Clinton presidency when Dems retained control and it went on during the last six years of the Clinton presidency.
By and large “Free Trade” has been the bread and butter for movers and shakers of BOTH Parties and the largess has been spread from business to BOTH Parties in spades.
Who’s looking out for the American “working man” – blue collar as well as white collar – very few.
Hey… you don’t hear President Obama addressing the nation prior to Christmas 2009 BEGGING Americans to “Buy American” and BEGGING stores to “Stock American,” do you…???
Hell… do you even note any real UNION push for “Buy American/Stock America?” Do you….???
Fred. The insiders make MONEY selling out the country and the average American to China. They’ve been doing it since the ’80’s.
Take the partisan blinders off.
Ralph Nader and Pat Buchanan have more in common when it comes to “solidarity with American workers” than Obama, McCain, Bush, or Clinton do.
BILL