Friday, February 3, 2012
U.S. Adds 240,000 Jobs in January, Unemployment falls to 8.3%: Good Employment News to start 2012
During the eight years of the Clinton Administration, America created 22M jobs from 1993-01 and average of roughly 229K jobs per month. Last month we created 243K. So at least for that one month, the Obama Administration is ahead of the Clinton Administration. If we stay at this pace or something close to it, for the rest of the year. President Obama will be close to Cruise Control to reelection. Looking at winning 35 States, with around 55% of the Popular Vote. Democrats hold the Senate and the House Republican Majority would be at risk. With all House Democratic Incumbents and Candidates running with the President and the Economy. I wouldn't bet my last dime on any of this happening but this is certainly good news for the President and Congressional Democrats. Especially with a falling Unemployment Rate and if we stay at this pace, maybe we are looking at 7.5% Unemployment by the end of 2012. All this is happening despite Congress's inability to pass any meaningful Jobs Act to promote Economic and Job Growth. Other then extending the Payroll Tax Cut and Unemployment Insurance in January. Which is due to expire at the end of February and those things have to be extended so we can avoid a Middle Class Tax Hike. And so people who are still on Unemployment Insurance, can avoid losing their homes and starving. But it should also be amended to require and encourage Unemployed Workers to get additional Job Training. And go through additional Job Searches, turing Unemployment Offices into Employment Offices. And the House and Senate are working right now to do that.
The January Jobs Report is definitely good news but we can doing a lot more to encourage Economic and Job Growth. And do more for our Construction and Manufacturing Industries. Things like a National Infrastructure Bank so we can invest 200B$ a year in Public Infrastructure, roads, bridges, dams, airports, schools etc. An NIB would be paid for and be Independent of the Federal Government. Wouldn't have to create a new Federal Agency or add to the debt or deficit. Because it would paid for by the Private Sector who would invest in these Infrastructure Projects and collect off of their investments. And of course by the people who use this infrastructure through tolls and fees. President Obama announced a plan to deal with the Housing Market this week. Which doesn't go far enough, we need a Tax Credit or Tax Deduction. For Middle Class Homeowners to write off their bad debt and get out of debt. Or at least get it refined so they can afford to make their payments. For people who are underwater in debt for no fault of their own. Not for people who borrowed to much then they can afford to pay back. This alone would give more money to people to spend because they could get out of debt.
Very positive Jobs Report for the American Economy, we are on a good course to putting people back to work. And bringing down our Unemployment Rate to a positive level. Actually getting it under 8%, where we haven't been in three years, which should be the next goal. But sitting around waiting for that won't make that happen. There's more work to be done.