by Jeffrey Carter
Wow. The unemployment report came out this morning; without government jobs, there would be no jobs at all. This is a pitiful report. “Storms sideline workers” is the WSJ headline. How many storms did they have in Seattle? California? Oklahoma? Two hurricanes in the South for sure. One area of the country.
It hasn’t even started snowing yet.
Boeing is on strike, but that’s one company. Several industries are still experiencing layoffs, even though left-wing pundits say we have a “soft landing.” I think we know what is soft in the White House.
What we have is a mini-Stagflation. It’s not like Jimmy Carter’s late 1970s stagflation but I can hear a faint echo.
If it wasn’t for government spending, this economy would be sputtering to a halt. The growth of government jobs has been a primary driver of employment.
- That is unsustainable
- It’s a terrible economic policy since it increases government spending.
The effect of government spending on gross domestic product (GDP) is zero, or very close to zero. GDP defines our standard of living and how much our economy is growing.
The above is a point of much dispute among academic economics professors. I will let you guess which side believes the government is an engine of growth.
Here is the problem with that argument. Where’d you get that dollar to spend?
- Taxes
- Debt (which is a tax on the future earnings of citizens)
- Fees
The government can “create money” but there is an opportunity cost to money creation. The government cannot create the virtuous flywheel that runs and consistently creates economic growth. Only private industry can do that.
Harris doesn’t believe in private industry. Biden doesn’t know what he believes anymore. Trump does believe in private industry and from the looks of the cabinet he will have private industry people in spots where they can cut the size and scope of government, unleashing American ingenuity and innovation.
Polymarket odds tightened yesterday. It all comes down to Pennsylvania. Get out and vote for Trump. Even if you don’t like him, the people around him so far are pretty pretty good. The fact that he is privately financing his transition also shows he means business this time.
My guess is if he gets elected, in the first year of his presidency, the spending on government jobs will crater. There will be a lot of bureaucrats in Washington DC looking for work.
See that upward turn after obama’s jobs numbers reach their lowest point?
obama sold the country on his “stimulus act,” which was really just his giveaway of our tax money to his dem donor class (Solyndra, for example).
His “proof” that his “stimulus act” was working was that upward blip.
But …. the truth was he was simply hiring, firing, rehiring and re-firing the same small number of US Census workers over and over again.
joe/kamala’s jobs numbers are proof obama is a main puppet master, running things behind the scenes.
It’s his idea to just bloat gov’t with new hires as a way to make the numbers look better.
Truth is our economy is near crisis in deep debt all thru and thru.
Only the corrupt and lying leftist Ministry of Propaganda keeps this race as close as it appears to be. They also refuse to report on the credible reports of attempts (and success) at election fraud.