2.7 million jobs have been lost in the private sector since January. Normal economic downturns tend to last on average 11 months, but we are in the 18th month of this one, with no end in sight. Why is recovery taking so long?
Well, according to Investor’s Business Daily, “the private sector – the real engine of job growth – won’t hire because it’s scared of what it sees coming out of Washington. On the horizon, as far as the eye can see, are higher taxes, uncontrolled spending and layers upon layers of new regulations. Who would hire new workers faced with that?”
In my opinion, Investor’s Business Daily has it exactly right. Just look what’s been going on in Washington for the last six months. The Pelosi-led Congress has let spending get completely out of control. This year’s budget deficit is projected to be an historic record of $1.8 trillion! A huge so-called economic stimulus package has done next to nothing to stimulate the economy or create jobs. And although everyone else has been forced to cut back, Congress has decided that it will increase spending on its own staffs and expenses by 8%, even though the rate of inflation is far below that.
As recently as two weeks ago the House of Representatives passed a wrong-headed Cap and Trade (Cap and Tax) bill which the Wall Street Journal said “is likely to be the biggest tax in American history.” This will further smother an already weak economy if it passes the Senate and becomes law. It is clearly a jobs-killer and will make the U.S. less competitive with some of our chief economic rivals like China and India, because even though they’re the world’s leading emitters of carbon, both have refused to restrict their economies with comparable misguided legislation.
And Congress is now considering allowing our highly efficient and waste-free federal bureaucracy to play an even greater roll in our healthcare. Of course we’re being told that it won’t cost us anything, and in fact will save us money. No one with a pulse believes this, but the mainstream media have been cheerleading the Pelosi-Obama effort for months now.
The real answer to turning this economy around is letting the American people keep more of what they earn (lower taxes); end Congress’s out-of-control spending; no more bailouts of banks, insurance companies, the auto industry, or anyone else; and let’s reduce the size of government, not allow it to take over more and more of our freedom (or our healthcare).