Blind Man's News

December 25, 2010

Unemployment At Least 15.1 Million

The unemployment numbers around the United States are not getting better. Businesses are not creating jobs, and unemployment benefits are running out for many. How do we maintain an economy when the 15.1 million run out of unemployment and still can’t find jobs? That will mean billions of dollars no longer circulating in the economy.

Unemployment is a trap just like the old welfare system. Our government is not creating jobs. It should be obvious that the controlling forces in Washington have no idea how to create jobs. History has examples of how to get the jobs moving. Unfortunately, that means the Democrats will have to utilize Republican tactics to make any significant improvements. This will not happen because the Democratic leadership won’t allow it. Their idea of by-partisanship is having the Republicans support their agenda.

What I don’t understand is why the Democratic leadership hasn’t resorted to “New Deal” techniques to create jobs. As much as I hate big government, I had much rather see people working on government sponsored jobs than sitting at home drawing unemployment. Unemployment is a dead-end money pit. If all that money was funneled into government jobs that accomplished actual work, our country would be getting something for the investment. Roosevelt had the foresight to see this. I know, conservatives attack the New Deal as a bad deal. In many ways, it was,but I think we can all agree that paying someone to sit at home is much worse than paying someone to build and improve our nation’s infrastructure.

Of course, the better option is to give private companies incentaves to hire new employees. Give them a tax credit for every job they create which lasts more then a year. Also, loosen the regulations, and make it easier to hire and keep employees. Number one should be suspending that “scary” healthcare overhaul for 2 more years. Companies are very reluctant to hire employees when their tax and benefits burdens are unknown.

OK Washington. Let’s see some real job creation.

December 11, 2010

More Spending No Jobs

President Obama gave in to Republican pressure to extend the tax cuts, but he put into the new bill an extension of 13 weeks onto unemployment benefits. For people on unemployment, this may seem like a good thing, but is it really? Wouldn’t these same people rather be working? Would they trade a government check for a paycheck? Most people would. So why don’t the Democrats in Washington start putting money into job creation instead of dead-ended government handouts?

Apparently, our elected morons are hearing our cries, but they are not smart enough to solve a simple problem. Extending the tax cuts does give some relief to companies which hire employees, but the effect is minimal. If economic stimulus is the objective, then all incentives need to be tied in some way to job creation. The best way to do that is a tax break for employers who hire workers for one year instead of a tax cut across the board. Large companies could save significantly more in taxes by hiring more employees. Since people would be getting back to work, money would be available to spend again, so the economy starts rolling again.

We have a government that seems to be lost and clueless as to how to motivate people and companies. Bailouts are not the answer. People need some incentive to get going; then clear the way of obstacles (unnecessary regulations); and watch how fast things can bounce back.

December 9, 2010

Bush Tax Cuts and Jobs

President Obama has sided with  the Republicans on extending the Bush tax cuts for all Americans. I am not surprised, but I really expected more from both parties. This was a perfect opportunity for the Democrats to score big with the American people by denying the tax cuts for wealthier Americans and tying tax breaks to job creation instead.

The Republicans keep ranting that rich investors and wealthy Americans are the job creators. This is true, so why not give these people tax credits for creating jobs instead of a built-in break. By taking away the tax break and replacing it with a more lucrative tax credit, there would be great incentive to create jobs by investing money to keep the government from taking it.

I would like to see this plan worked into the tax laws for 2011. It is too late for 2010. The President missed an opportunity to win points with the middle class and poor while freeing the wealthy to get back to the business of making money and jobs. I am not surprised. The President has been great at playing politics, but pathetic at leadership. We need the job building incentives that are directly tied to creating jobs. Does anyone in Washington get that? Apparently not.

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