President Obama today will promise to deliver more than 600,000 new jobs this summer with accelerated spending of some of the $787-billion economic stimulus that Congress approved at his urging earlier this year.
Minor detail, though:
The promised boost in employment will not offset the job losses of recent months — with more than 1.6 million jobs shaved from the economy since Congress approved the stimulus plan in February. Unemployment last month reached 9.4 percent, the highest since 1983.
And a further reality check: I happen to subscribe to the Stephen Green GUT of Sucking:
Look, stimulus spending can’t work, because of one of three things happens:
1. That extra spending means extra taxes which means the whole thing is a wash. (Government spending having some “multiplier” effect unknown to consumer or business spending is a big, fat lie.)
2. That extra spending means extra debt, which drives up interest rates, which chokes off growth.
3. That extra spending means extra money being printed, which means inflation which means any growth is illusory.
Of course, there’s no rule saying you can pick only one result. Mix and match up to all three to suit yourself! If I had to bet, I’d say we will indeed get all three.
This is not pessimism or "doom and gloom"; it's economic reality whether you--or Obama-- like it or not; and whether you believe with all your heart in the miraclulous healing properties of the Obamessiah.
I am actually an optimist, in that I believe when it comes down to a contest between the theories of the political left and reality, reality will always win.
UPDATE: Cue the laughter.... and the giggles.
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