Free Markets, Free People


Unemployment Hits 10.2% – “Stimulus” Not Stimulating

As President Barack Obama said on Feb. 9 when touting the “stimulus”: “The biggest measure of success is whether we stop contracting and shedding jobs, and we start growing again.”

Well, guess what?  Despite all the happy talk about the end of the recession, unemployment hit 10.2% today.  And, as Dale and others have said constantly, if we were computing it like we did in the ’70s, it would be at 17+%.

So taking the President at his own word, something it seems this administration would prefer everyone not do, it would appears the “stimulus” is still chasing success.

That’s because despite his protestations to the contrary, the the “stimulus” was one, giant earmark.  And it is not having the desired effect despite the bogus “jobs created and saved” numbers.

In fact, the reality of the situation is not at all good as the BLS noted in their press release today:

The number of unemployed persons increased by 558,000 to 15.7 million. The unemployment rate rose by 0.4 percentage point to 10.2 percent, the highest rate since April 1983. Since the start of the recession in December 2007, the number of unemployed persons has risen by 8.2 million, and the unemployment rate has grown by 5.3 percentage points.

And as for those “shovel ready projects” the “stimulus” was supposed to target?

The unemployment rate for the construction field keeps mocking those “shovel-ready” promises: Another 62,000 jobs in construction lost last month, with the average at 67,000 jobs lost per month for the last six months.

The solution? Watch for it – a second “stimulus”, something Paul Krugman has been whining about for months. Any guess what it would look like if it happened? Well the fact that this “stimulus” was used to track radioactive rabbit feces and subsidize golf cart purchases should give you a hint.

By the way, where is “Sheriff Joe” with his policing of the “stimulus” money and calling out those who are wasting it? Overwhelmed by the job, I guess.

Finally there is the economy killing legislation – health care which is front loaded with taxes and cap-and-trade which will raise the cost and price of everything – which the Democrats are determined to pass.  Yup – they’ve got a real handle on this, don’t they?

~McQ

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9 Responses to Unemployment Hits 10.2% – “Stimulus” Not Stimulating

  • Ah, but think about how high unemployment would have been had not the stimulus plan not created or saved those bazillion jobs!

    / sarc

    I’m not sure which will go down in history as the more inept response to economic troubles:

    —- Jimmuh whining about “malaise” and essentially blaming the American people for them, or;

    —- Imeme persisting in trying to make us believe that that the situation is better even as it gets worse.

    As for Congress continuing to try to pass the health care takeover and cap ‘n’ trade… Only a group of people who’ve never had to work for a living and are confident that, no matter what happens, they’ll keep their ill-gotten lucre, could do something like that.

    • I don’t blame them a bit for it though. Where have the consequences ever been for most of them? The core driving this mess will never face electoral consequences (exception we hope: Harry Reid)

      As long as we keep incumbency rates so high, this is what we’re gonna get

      • True, true.  We’ve nobody to blame but ourselves for electing (and reelecting and reelecting and reelecting) these thieves and idiots.

        • When I was a young lad, an older co-worker told me that the local officials in his town were thieves.  I being the smart-assed whipper-snapper told him ..
          why don’t you just vote them out ? He replied …

          why would I do that ?  If we elect new officials, they will have to fill their pockets, at least with the current guys, their pockets are already partially filled.
          Needless to say, I was speechless.

  • —Creates a refundable tax credit for 2009 and 2010 of up to $500 for an individual and $1,000 for families. Credit phases out for individuals earning more than $75,000 and couples earning more than $150,000.
    —Provides a temporary increase in the earned income tax credit for working families with three or more children.
    —Allows low-income families in 2009 and 2010 to take advantage of a refundable child tax credit.
    Lower income folks can always use some extra cash (so can everybody else), but please explain how any of these are “shovel ready” or will lead to anything that is.

  • I beg to differ. The stimulus worked, and continues to work, as planned. The Obama administration is doling out money to political friends and spending to woo potential voters from the largest slush fund in history.

  • I know of a great “shovel ready” project that would fit the bill to a T. How about the fence at the boarder? That could be the TVA of this era.

  • The media I’ve heard claims 9.9%.  I suspect next month it will claim 9.99%.  And the month after it will be 9.999%.

  • Wait until THIS slight-of-hand kicks in!
    http://online.wsj.com/article/SB10001424052748703932904574511794170939688.html
    /quote
    All of those twentysomethings who voted for Barack Obama last year are about to experience the change they haven’t been waiting for: the return of income tax bracket creep. Buried in Nancy Pelosi’s health-care bill is a provision that will partially repeal tax indexing for inflation, meaning that as their earnings rise over a lifetime these youngsters can look forward to paying higher rates even if their income gains aren’t real.
    /end