Is The Obama Stimulus Train Slowing Down?
June 19th 2010 16:56
President Barack Obama is pushing ahead with a renewed focus on economic recovery efforts that have been overshadowed in recent months by the BP oil spill in the Gulf of Mexico and a myriad of other newsworthy events. On Friday, Obama traveled to Ohio, a state that has been especially hard hit by the economy; to jump start what the White House is calling a six-week "Recovery Summer" tour to promote his administration's economic stimulus plan and job policies.
While many economists are concluding that the $787 million stimulus package has done little or nothing to turn the economy around, Obama is touting the stimulus package for stabilizing the economy and producing additional jobs. He did acknowledge the fact that not everyone was feeling the benefits. Up for debate is how many have been positively affected by the stimulus versus how many has not felt the effects.
While the Obama administration continues to say the economy is in recovery, unemployment statistics remain very weak hovering around the 10% mark in many states and as high as 14% in Harry Reid's home state of Nevada. While it may be true that the gross national product has increased in the past three quarters, it does not necessarily translate into jobs. Many of the products now reaching the retail shelves were manufactured prior to the recession.
While Obama continues to harp on the Republicans who stand in the way of moving forward on his economic agenda, there is an increasing number of Democrats who are putting the brakes on as well. After days of discussion, Democratic leaders in the Senate failed again to get the 60 votes needed to approve the additional funds which would prevent the layoffs of hundreds of thousands of teachers and other government workers.
What is standing in the way of Obama’s economic recovery plan? It is not the Republicans whom he chooses to blame, but the out of control federal budget deficit, much of which is his own creation. The concern on both sides of the aisle is the out of control spending that is far surpassing our nation’s ability to repay. Obama’s approach seems to be “let’s spend the money now and let someone else tackle the deficit later.” More common sense minded people have the approach “let’s tackle the deficit now and spend the money later.” The European model have already followed the Obama approach and those countries are now tottering on the brink. Will we do likewise?
As for the job market that Obama continues to tout, the greatest loss of jobs has been in the construction and building trades, yet Obama surrounded himself with workers in Ohio wearing their hard hats in order to present the picture of an economic comeback in that specific sector. While those workers are grateful for their shovel ready jobs, there are thousands more who were not presented with that same opportunity.
Just last week, House Minority Leader John A. Boehner sent Obama a letter signed by 100 economists stating that 95% of the jobs created in May were temporary positions created the U.S. Census Bureau. Had it not been for the census, the Obama administration would have far less glowing employment reports to present. When the census ends and those workers are released, will they reflect growing job losses in the Obama report? It is just a question…….
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