Where Are The Jobs? Why Are So Few Hiring?

I’ve seen alot of squawking on the Internet about how corporations and businesses are sitting on $8 trillion in assets but won’t hire new workers. As the husband of a woman who owns a small business, I have yet to see any of that $8 trillion in my wife’s bookkeeping.

But, even if that $8 trillion really existed, the question of so few hirings would have nothing to do with that money and have everything to do with government constantly intervening in economic matters, usually at the expense of the economy in general.

John Stossel has this to say about why there are so few new hires right now:

The problem today is that the economy is not being left alone.

Instead, it is haunted by uncertainty on a hundred fronts. When rules are unintelligible and unpredictable, when new workers are potential threats because of Labor Department regulations, businesses have little confidence to hire.

President Obama’s vaunted legislative record not only left entrepreneurs with the burden of bigger government, it also makes it impossible for them to accurately estimate the new burden.

In at least three big areas — health insurance, financial regulation, and taxes — no one can know what will happen.

New intrusive rules for health insurance are yet to be written, and those rules will affect hiring, since most health insurance is provided by employers.

Thanks to the new 2,300 page Dodd-Frank finance regulatory act, The Wall Street Journal reports, there will be “no fewer than 243 new formal rule-makings by 11 different federal agencies.”

These as-yet unknown rules will govern lending to business and other key financial activity.

The George W. Bush tax cuts might be allowed to expire. But maybe not. Social Security and Medicare are dangerously shaky. Will Congress raise the payroll tax? A “distinguished” deficit commission is meeting. What will it do? Recommend a value-added tax?

Who knows? But few employers will commit to a big investment with those clouds hanging over our heads.

It wouldn’t matter if the assets totaled more than $8 quadrillion or $8 quintillion. With uncertainty like this coming out of the Obama White House and the Pelosi-Reid Congress, hiring on the scale we need to boost the economy is not going to happen anytime soon.

You can access the complete column on-line here:

Big Government Policies Aren’t Creating New Jobs
John Stossel
August 24, 2010


As The Nation’s Workforce Suffers, Government’s Thrives

There are basically two camps in the debate about how to stimulate an economy. On the one hand you have the capitalists who hold that economies are driven by the private sector and that it is most important for the people to have money to spend. On the other hand you have the socialists who think that government spending drives an economy and that it is more important for the government to raise taxes in order to have money to spend.

Right now, the socialists are in power and they are doing everything they can to implement their agenda no matter how disastrous it may be.

Writing for Publius Forum, Warner Todd Huston looks at what is happening in the private sector versus how the Federal government is growing:

Our stern and earnest president told us that it is time for Americans to sacrifice. Gone are the good times, he’s told us. We are in for austere days, he says. Sacrifice, people, sacrifice. That is the word of the day.

Well, it’s the word for we commoners, anyway. For if you happen to be looking at government don’t expect to find any “sacrifice” going on at any level. In fact, government seems to be a boom business under the president of change and “sacrifice.”

There is no sacrifice at the Federal level. Government workers can see their pay increase from an average of $72,800 in 2008 to $75,419 in 2009. And as one who lives in the D.C. area, I can honestly tell you that for that money, we taxpayers are getting very little in return.

Warner even quotes from CBS News to show how fast the Federal government is growing:

Some of the Feds’ hiring increases have been stunning. If you look at the four-year period from 2006 to 2010, the number of Homeland Security employees has grown by 22 percent, the Justice Department has increased by 15 percent, and the Nuclear Regulatory Commission can claim 25 percent more employees. (These figures assume that Congress adopts Mr. Obama’s 2010 budget without significant changes.)

Now, those of us in the private sector are struggling and we pray on a daily basis that we will still have a job tomorrow. Out pay raises haven’t been anything like the Federal workers are getting. Where is the government getting the money from to pay for those raises? Taxes. Tax money that if left in the private sector would do more to grow our economy than any bloated government would ever be able to do. The tax money the Feds confiscate to give out pay raises to government employees could very well have been money that employers could have used to give private sector employees bigger pay raises.

Keep in mind that the only region of the nation that benefits from higher taxes is the Washington D.C. Metro area and parts of Northern Virginia and Southern/Central Maryland. The rest of the nation suffers economic decline.

Warner’s parting shot:

What we see here is that President Obama is not helping the economy at all. He is helping inflate the power of government. And, since government is only a drag on the economy, he is making matter far worse than they were.

What we have here with this perpetual Obama political campaign is not a president that is a savior of the economy, but one that is the patron saint of the expansion of big government.

You can access the complete column on-line here:

As The Nation’s Workforce Suffers, Government’s Thrives
Warner Todd Huston
Publius Forum
May 19, 2009