Obama has recently announced his new jobs program. I can think of few things less original or less effective. It basically consists of yet more deficit funded government spending to try to “stimulate” jobs creation. We have already had the Bush stimulus program, the Obama stimulus program, two rounds of massive money printing (yet more massive government stimulus), and yet somehow Obama’s supposed to believe that another 300 billion is really going to make any difference.
What Obama, and most of the establishment, do not understand is that government spending rarely helps the economy. There have been some instances where government programs have been worth it, such as the interstate highway program or the Internet. But, in the vast majority of cases government excels at wasting money. In other words, generally they’re very good at taking resources out of the productive sector of the economy (the private sector) and putting it into the unproductive sector of the economy (the government).
The establishment keeps on harking the line that’s if we can only spend more public money, that we do not even have, that this “investment” will somehow provide so much extra value added to the economy, that the economy will grow as a consequence.Roosevelt managed to keep the United States in a depression for 12 years, mainly because of his belief that the government could manage the economy better than the market. When people with a straight face repeat over and over again, that all we need to do is spend yet more taxpayers money, I really wonder what they are smoking, and what their grasp of reality is. I can only imagine that they do so for ideological reasons, political reasons, or for IQ reasons.
The economy will improve once he take the necessary steps to make the economy more competitive and productive. Bloating the government, and going deeper into debt is not going to do that.