July Job Losses Down Significantly. Republicans Accuse Nation's Employers of Conspiring to Make Obama Look Good
The U.S. Labor Department released on Friday its July report showing that the American economy shed 247,000 jobs, the lowest monthly number since August 2008, and representing a continuing declining trend since the beginning of this year when job losses hit a record high 700,000 in January.
To be sure, 247,000 jobs lost in one month is both staggering and sobering and an indication that the economy is still struggling. Yet when you measure it against 700,000, it's abundantly clear that, like other leading economic indicators that have shown consistent improvement this year, the jobs market is nearing a bottom and according to most economists will likely begin to recover sometime next year. This is not only very good news for the economy and those looking for work, it's a feather in President Barack Obama's cap and a sign that his administration's stimulus plan is indeed working.
But do you think Republicans are giving the president any credit for this marked improvement in the economy? Fat chance. Typical of conservatives' reactions to the steady stream of positive news has been radio host Bill Bennett, who said on his program earlier this week: "Yes, the economy is beginning to turn around, but the stimulus package is not why."
Sure Bill, the economy is stimulated, but it's not because of the stimulus package. All of the economy's critical benchmark indicators are just turning around by themselves. The $3-trillion or so injected into the nation's financial framework has had zero impact, while America's magic fairy dust has been sprinkled over Wall Street, the housing and banking markets, corporate earnings and the jobs market. Gotta love that magic fairy dust....
Now we all know that Republicans would be screaming for Obama's head if at this point in time the economy had continued to slide deeper into recession; if the GDP continued to appreciably contract, if job losses mounted, if GM went under, if the housing market worsened, etc. Simply put, they so desperately want to claim failure for Obama and his stimulus plan, and no matter how positive things turn, or how bright the future outlook becomes, they will never credit him for reviving this abysmal economy that George W. Bush created during his miserably-failed eight-year administration. But in 2010 and 2012, voters will, and that's all that matters.
Loading comments…
Want to reply to a comment? Hint: Click "Reply" at the bottom of the comment; after being approved your comment will appear directly underneath the comment you replied to
On the declining job loss news: It is still a net job loss.
As our population grows faster every day, our economy does not generate enough jobs for our people.
The economy needs to generate increasingly large numbers of jobs every day just to keep up with the population growth. And that is just to break even, no net gain for everyone.
I dont think the job numbers are good news at all!
"I don't think the job numbers are good news at all!" Odd. The numbers have to decline before they can turn around and grow. I would think that there is good news in a trend in the right direction. Of course, the best news would be to not lose any jobs or gain jobs, but we'd gripe about those numbers too. Remember when we all groused that we ONLY added 150,000 jobs in the previous administration? Jobs are always going to be an issue where we have a large baby boom population and a rising birth rate with fewer workers to buoy the lifeboats.
Good points, Andy. I agree. The Repugs are so extreme in their political fervor that they would rather see the country collapse than help out a Democratic administration.
Such extreme politics threatens the health of our democracy.
If a good Republican does a good thing, there is planty of recognition for it in the mass medias.
If a good Democrat does a good thing, it is a conspiracy of radicals or is downplayed by the media.
With extreme Repugs like the ones we have these days, who needs traitors or enemies?
We have met the enemy, and he is us.
I don't know where you get your information. I know so many people that lost their jobs and have given up looking and I can't believe you don't know that unless you are just not paying attention. Of course unemployment rate would look better in the summer. But when those seasonal jobs go after Labor Day, you will see a big difference.
Do YOU really think that the Labor Department does not know that, and factor it into their analyses? BTW, the next season kicks in after Labor Day (Halloween, Thanksgiving, Christmas and New Year).
UP UNTIL THIS DAY THE REPUGNATS SIAD THE STIMULUS WAS NOT WORKING, then cash for clunkers, so successful they had to vilify that as some evil give away.
Cash for clunkers is keep jobs at the local level dealers are running out of inventory and it is direct impact, unlike the bank bailouts, the banks never loosened credit, they tightened across the board and further spiraled our downturn.
so no in the repugnant eyes the Big govt program to stop the economic bloodshed could not have been effective in stopping the economic slide nor even slowing it, see when Repugnants control govt they the government never works at all.....they are a prime example of all their complaints about govt
But for sum reason, our totally dumb self centered nation either does not realize this or the media suppressed the facts in an effort to intentionally mis inform
There is conspiracy in the Republican party to look stupid.
Michigan, Indiana, Ohio - the conditions there far more than resemble the "Depression" of the 30s. Cash for Clunkers was a great start, however, this is just a cheap-bandaid.
These numbers don't mean sh*t to 90% of Americans. They are still working harder and harder for less and less if working at all and we ALL feel like we're at high risk of unemployment every minute. We are a 3rd world country with 1st world window dressing, Globalization and Reagonomics destroyed the once great country and his followers are intent on keeping America down and the corporate media is their ever-willing bully-pulpit..
We won't have an economy until GOOD PAYING manufacturing jobs are brought back to the U.S. What the revisionists seem to leave out or lie about entirely is that protectionism worked every time in history where it was needed.
Americans are sick of Conservatives "China First" trade policies. We need protectionism more than ever now.
Good points...the USA doesnt make anything anymore. Remember when Wal-Marts slogan was 'american made'...they sure are a long was from that now. This country used to build everything.
Your sentiment is understood but flawed. We are now a global economy. We have to compete in the world at large. While protectionism seems laudable in the short term economic crisis, it is unsustainable and unrealistic. We are partnered through trade agreements with other Nations and it would violate the spirit and intent of those agreements for us to close ranks. Many of our products are no longer made in the U.S.A. at all. Most of us would quickly miss underwear and socks. Of course, there is nothing wrong with entrepreneurs creating companies to make and sell products here. We just have to be careful of being short-sighted in our economic worldview.
Paulson made LEGAL CONTRACTS with Banks that actually put the U.S. Treasury in the BANKING BUSINESS.
Excuse me and tell me if I am wrong.
If a Government OWNS a bank isn't that considered Socialism >?
If a Government owns a Insurance Company like say AIG isn't that Socialism ?
So Government running Health care is a problem how ???????
Since nearly 60 % of Americans use Government Health care already.
Ok, Now don't come back with the 301,000,000 U.S. Population numbers I am talking about citizens of the USA. OK !
And do not leave out the Dependents of the people who receive Government Insurance like the Dependents of Disabled Veteran, Disabled Workers, Handicapped people, Retired Military, Retired Goverment workers, Government workers part time and full time !!!!!
See SKEWING the numbers by leaving people out DOES NOT WASH ANYMORE !!
One data point does not a reversal make. We need to see at least 2 more months of data.
We know people dropping out of the labor market because their benefits expired contributed to the "reversal". Hiring a lot of census takers helped. This temporary cars for clunkers helped.
I would not celebrate yet and Obama should not be taking much credit, especially from the so-called re-investment bill.
nice analysis winston.
The Labor Department is aware of all of those factors as well and takes them into consideration in their analysis of the job data. Every month there is some factor that impacts the job numbers. While we should keep the cork in the champagne, it is definitely time to start saving up for the other party goodies.
The title of the article doesn't match the content. Second, Bill Bennett is referring to the fiscal stimulus, not the TARP or monetary stimulus. The article is deceptive in making readers believe he was. The fact of the matter is that we all know that the fiscal stimulus has had virtually no effect on the economy because people have saved their stimulus checks and payroll tax reductions; states have used federal money merely to fill budget gaps, and the majority of the stimulus money hasn't even been spent yet. So far only the Cash for Clunkers program has been effective, and that will add fairly substantially to GDP this quarter. But the primary reason the economy is stabilizing, however, is because the financial system has stabilized. Then you can add that inventories are getting low, and that companies reduced their workforces very rapidly when the crisis occurred last fall so don't have to do much more firing or layoffs. Last, the employment numbers listed in the chart could almost be called pure fiction because of the birth/death model. For example, the month of January looks like it's the worst month for job losses, but that's only because the birth/death statistical adjustment subtracted 356k jobs from the normal survey count. But then in February the birth/death adjustment added 134k. In March added 114k, in April added 226k, in May 220k, in June 185k, and in July 32k.
If you think these "Hate America First" RepubliKans are going to give Mr. Obama credit for ANYTHING, then you are living in La La Land.
1. Not many people trust the BLS numbers....their history of revisions speaks volumes and there is simply no denying that. the critical numbers are U6 (most don't know it, only the U3 headline number). additionally, perhaps the most important number is hours worked: it went from the low of 33.0 per week to 33.1 in this report. This is no cause for celebration.
2. there does come a time in any recession/depression when job loss will slow: i don't mean to sound naive, but you can't fire everyone.
3. the economy cannot get better until the debt matter (consumer, corporate and gov't) is resolved, i.e. the debt overhang must reduce significantly.
4. any recovery signs over the next 6-8 months will be from inventory rebuilding.
5. it is more likely than not that we will track the 1929-1932 scenario (believe me, I hope that I am wrong on this.).
6. I voted for Obama and he deserves absolutely no blame for what has happened. As to what is happening now, he is being played by the wall st gang.
Maybe you can't "fire everyone", but there does come a time when you run out of people to fire.
What's starting to happen is that a lot of business owners have figured out that if they lay off anyone else, they might as well lay Themselves off too.
Some have even begun to realize that they have Already laid off a lot of the people who were keeping their businesses profitable.
Others have just dimly begun to realize that if No One Has a Job, there isn't anyone to be a Customer, either.
That's the problem with the Myth that people who run Big Corporations are Smart.
All too many of them are just Ruthless Opportunists.
Remember, the Chimp somehow managed to get an MBA.
Daddy's Money buys a lot.
Funny how, in the 1980s, the MBA was a license to print money. Books were written to that effect. Movies were made celebrating the holder of a Harvard MBA as a Brooks Brothers clad business superman. Why, if you had a Harvard MBA, you could walk into the boardroom of any company in the country, not even know what that company made, and just make truckloads of money.
Then came George W., the short bus President who apparently got his Harvard MBA in a raffle. They must still be pulling their hair out in Cambridge, MA, over the destruction of the most valuable brand in academia.
There's no place they will not dare to go. You only thought they couldn't get any lower.
The Republicans and their ilk are only following the dictates of their leader Rush Windbag, who hoped for President Obama's failure even before he took office! And since Windbag lives in a drug-induced haze, it's no wonder that Republicans exist in an alternative reality!
BTW, Rush, your minions on the RNC seem to think that I'm a registered Republican--yesterday I got my tenth request for money since November! I never have and never will be a registered Republican, but not to worry--I send the requests back in the postage-paid envelopes with the greeting "Have a nice day, from a registered Democrat"!!
If the Lord came back and healed the lame and the sick, the Republicans would say that they were already in recovery when he showed up.
7 months in office, a depression averted, and a recession turned around. And the Repugs are still grousing because it wasn't done "my way". These people are becoming more and more insignificant.
You must be logged in to comment. Log in or connect with
