Gonna Kick Tomorrow, New York Times Edition
Hey look, The New York Times' daffy editorial board, in an editorial with the please-kick-me headline of "Job Creation Basics," acknowledges that you can't just have the federal government hire every unemployed worker and then declare the recession over:
President Obama recently noted that, by itself, government cannot replace the 8.2 million jobs lost over the past two years. What government can do, he said, is "help to create the conditions" for renewed hiring.
We couldn't agree more.
Great! Let's hear about reducing market uncertainty by finally letting prices fall and firms go bankrupt, reducing/removing government burdens on individuals and businesses, and making sure we limit exposure to catastrophic borrowing risk by reducing the unnecessary government spending that mandates massive bond issues! Or, uh, continuing to use tax money to pay for increasingly expensive government jobs:
Perhaps most destabilizing, upcoming budget cuts by recession-battered states will lead to more job losses.
As states try to close their deficits with tax increases, consumers cut back on their spending, which harms businesses and hiring. As states cut spending, there is less business for private-sector contractors and more layoffs of government employees. Already in March, state and local governments shed 9,000 jobs. […]
Make no mistake, the deficit is a serious problem that must be addressed in the medium term. The economy needs to be bolstered now.
Congress also must increase aid to small business. The Treasury should also redeploy bank bailout money for small business loans. And legislation is also needed to reinforce spending on infrastructure and clean energy, and create public jobs, especially summer youth jobs. Teen unemployment is currently 26 percent.
In related news, Jane says she's going away to Spain, just as soon as she gets her money saved.