The Stimulus at one year: Is it working?

Great Debates
61

I’m starting to see some progress. Some major Silicon Valley companies are hiring, and a number of people I know in the tech industry who have been out of work for a while have jobs now. Intel announced an initiative in which 17 high tech companies agreed to double college hiring from last year. I strongly suspect this got so much support since they had already budgeted this growth. My daughter who is a senior went to a job fair with a good number of companies attending.

A lot of the delay in hiring has been out of fear that the economy wasn’t going to improve, so the GDP increase thanks to the stimulus package probably had a good psychological effect beyond just keeping the unemployment rate from getting any higher. But there is definitely still a long way to go.

62

Honest question: Do you actually not understand why that comment is really, really silly?

The job of the stimulus is to keep bodies working to keep demand up. With increased demand private businesses will hire people on. We are running under our normal capacity. The stimulus jobs don’t have to be permanent. They need to be there while the private sector is increasing its numbers.

63

Bank lending is falling dramatically. It doesn’t matter how much stimulus we enact if the banks reduce lending, the main thing that created the Depression. We should have nationalised the banks when we had the opportunity, we’re looking more and more like Japan every day now. Hopefully the next bust will be big enough to break the hold of the banking industry over government or we really will be completely fucked.

64

If the unemployment rate doesn’t go down but the claim is made that 1 million jobs were created than one of those numbers is wrong.

65

Not if there were a million additional layoffs in private industry or state governments.

66

Nope. Rate is a percentage, total jobs is not and neither is total workforce. None of them are constant.

67

You really don’t get that a plumber job could get created while a typist job got dropped?

You really don’t get that if the plumber job hadn’t been created, then 2 people would be out of a job instead of one, and the employment rate would be higher?

Seriously, you cannot wrap your head around this?

68

That’s what I said in post 58.

Not a very good return for the money spent.

69

Cutting unemployment in HALF isn’t money well spent?

70

I don’t see any pickup. The reason? I know of a lot of recent college graduates who have no jobs…or are working as cashiers at Walmart, H-D, etc. The phenomenon of young adults moving back home to their poarents is also bignews here…lots of basements are being converted into apartments.
Meanwhile, state and local governments expenditures soar-look at the State Dept…new $1 billion embassy in London…no budget crisis here!:eek:

71

When was unemployment at 20%?

72

In the good old days.

73

GDP has been revised upwards for the fourth quarter of 2009, from 5.7% to 5.9%: