The President’s Jobs Plan (Not) by Robert Reich

[Better Believe It]

The President’s Jobs Plan (Not)
by Robert Reich
July 13, 2011

What did the President do in response to last week’s horrendous job report — unemployment rising to 9.2 percent in June, with only 18,000 new jobs (125,000 are needed each month just to keep up with the growth in the potential labor force)?

He said the economy continues to be in a deep hole, and he urged Congress to extend the temporary reduction in the employee part of the payroll tax, approve pending free-trade agreements, and pass a measure to streamline patent procedures.

To call this inadequate would be a gross understatement.

Here’s what the President should have said:

This work is licensed under a Creative Commons License

http://www.commondreams.org/view/2011/07/13-12

[dkf]

1. Normally job gains out of a recession come from entrepreneurs and small business.

Are there really no people with great ideas who need funding? Why does Bob Reich not recognize small business contributions?

[girl gone mad]

3. Entrepreneurs need money to bring their ideas to fruition.

Where do you think that money comes from?

[dkf]

4. I think it should come from the SBA.

Exactly my point.

[girl gone mad]

5. So you want to give them government grants..

or loans?

[dkf]

7. Loans...if they can't pay it back then grants. Or maybe do a venture cap sort of thing.

Might as well try to get something going.

Isn't that a better use than unemployment funds?

[girl gone mad]

13. They will have to pay back the loans..

which means they're going to need paying customers. Where will those customers get the money?

[dkf]

14. People need to create their niche and their demand.

That is the point of the innovation that traditionally comes out of recessions.

[riderinthestorm]

8. This isn't a normal recession by any stretch of the imagination. nt

[dkf]

10. True but unless you want to wait for big business to start hiring when they don't need to...

You might as well be waiting for Godot.

[riderinthestorm]

12. Nope, the only way out is a big govt intervention ala WPA, or CCC

and a massive government transfusion of funds into developing green technology

Either way, we are waiting for Godot as Obama has proven himself a University of Chicago economics devotee.

Big biz has proven they can wring every last drop of blood from their frightened employees working them at double time while small biz has withered on the vine as the big banksters cut off funds. Small businesses are in dire straits right now and will be for many, many years until this economy improves. They are not going to be the jobs generator of the past. No way. This is a depression and relying upon small biz isn't feasible.

[chill_wind]

2. K & R. That's the fight we should have had

instead of humoring the Third Way and Republican deficit fetishists with Simpson-Bowles.
Since they weren't going to play nice no matter what Obama was going to do. Especially if the goal was to bring more Independents around.

The Jobless Effect. July 2010
http://www.dailyfinance.com/2010/07/20/unemployment-fuels-independent-voters-anger/

[BOHICA12]

6. The only thing that will get us out is Private Sector Employment

Nothing in RR's plan directly leads to a solution. Nothing in his plan or Obama's addresses that for tax revenues to increase and permit the hiring of teachers & cops & others - people need employment not funded by local, state or federal governments.

[riderinthestorm]

9. K& R, nt

[unkachuck]

11. K&R....n/t