Don’t Believe the Government Numbers
As usual, Washington is misleading the public about the economy. President Obama is hoping to use false numbers about employment to confuse voters about his destructive policies. The Bureau of Labor and Statistics is making the audacious claim that the national unemployment rate is only 8.3%. This bogus number is calculated by changing the labor participation rate; in other words, government economists don’t include people who gave up searching for jobs. This number also doesn’t include part time employees that desire to work full time.
And to make things worse, many of the jobs included in the calculation won’t be around in the future. The Bureau of Labor and Statistics has infamously counted census workers before and there is no doubt that many short term stimulus employees are included in the current calculation. Once these stimulus projects are finished or the money dries up, there will certainly be another spike in unemployment.
Instead of listening to the needs of consumers through the free market, Obama is centrally planning where to create jobs. Even if the market called for a new business in a viable sector, Obama is destroying efficient jobs to fund his unsustainable and unproductive projects. Washington is attempting to calculate the consumer preferences for the entire nation.
There is another big flaw in Obama’s jobs plan: it is funded by borrowed money. Obama is simply increasing the money supply and borrowing money from central banks to fund his programs. The jobs being created are not a result of capital being freed up for businesses to use because consumers have saved. Any artificial growth that does occur from Obama is a result of temporarily low interest rates and easy monetary policy.
As seen in nearly every borrowing-based expansion over the past century, excess spending results in a credit crunch. When the Federal Reserve inevitably raises interest rates, it will be much more difficult for the Treasury to fund Washington’s centrally planned jobs. Even consumers and businesses will alter their spending habits which will result in the dismantling of Obama’s fake stimulus jobs.
In order to fix the economy, we need to abandon Obama’s strategy of spending America into prosperity. Long term jobs are a result of the private sector and not the government. Washington should allow for the public to save and for businesses to expand without burdensome regulations. Washington also needs to stop squandering capital through taxation.
2012 is certain to be an important year for America. The Tea Party Express plans to change the politicians in Washington and create a better economy for America.