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  • The Government Does Not Create Jobs, Rep. Mica

    During yesterday’s House Transportation and Infrastructure Committee Rep. John Mica (R-FL) claimed: “Every billion dollars in spending on infrastructure, on highway and transportation expenditures does result in 35,000 new jobs.

    Too bad Mica wasn’t listening to the Ways and Means Hearing across the hall where economist Alan Viard told the committee: “Changes in infrastructure spending are not an effective method of creating jobs or providing short-run fiscal stimulus to the economy.” The Washington Post further reports: “Viard is a former Bush administration economist now at the American Enterprise Institute. But he rattled off a list of other experts, ranging from those at the nonpartisan Congressional Budget Office to key Democratic advisers, who have reached the same conclusion. Among them: two former Clinton administration economists who wrote in January that spending on infrastructure is among the less effective options for forestalling recession.”

    Barack Obama advisor Jason Furman has also written about how terrible a job creator infrastructure spending is: “In the past, infrastructure projects that were initiated as the economy started to weaken did not involve substantial amounts of spending until after the economy had recovered.

    But if Mica does not want to listen to these hard core liberals, maybe he’ll listen to some conservatives. Heritage fellow Ron Utt surveys the literature on infrastructure spending and concludes: “As this paper demonstrates, most of the alleged economic benefits are based on grossly exaggerated claims made by a U.S. Department of Transportation (USDOT) computer simulation conducted in 2000 and 2002. In fact, the vast majority of independent academic and federal government studies on the rela­tionship between infrastructure spending and eco­nomic activity have found that the impact is very modest and long in coming.”

    And Arthur Laffer puts it in simpler terms: “Unfortunately in this world there is no tooth fairy. And the government doesn’t create anything; it just redistributes. Whenever the government bails someone out of trouble, they always put someone into trouble, plus of course a toll for the troll. Every $100 billion in bailout requires at least $130 billion in taxes, where the $30 billion extra is the cost of getting government involved.”

    Posted in Economics [slideshow_deploy]

    7 Responses to The Government Does Not Create Jobs, Rep. Mica

    1. Matt, Cleveland says:

      How could $1 billion in spending possibly create 35,000 jobs? That would be an average of less than $30,000 in spending per per job.

    2. Stephanie Worden N says:

      I am very concerned about my country. I shudder at the thought of Barak Obama as president and also having a Democratic controlled congress. What can I do to help prevent our country from sinking into more liberalism and socialism. Is it true that Obama will put together a "tough" civilian force of 250,000 people to see that we kept in control? It is supposed to be a civilian security force. What can be done to stop him in all his efforts if he is elected president? Sincerely, Stephanie Worden

    3. Melissa Gedney, Dall says:

      My feelings are shared with Stephanie of Norman, OK. However, this is the first I have heard of a "civilian security force". I heard a proposal that community service hours served could offset college fees/expenses. Is this something else? This is scarey.

    4. Dave McDuffie, lagun says:

      This country of ours has been destroyed by a gang of halfwit attorneys, just like Obama, who think they are smarter than our founding fathers, and have simply created a system where they can become rich overnight(Obama was BROKE just a couple years ago and now he is a multi-millionaire!!), rob the treasury without even a peep from the left wing media, and now they threaten to run doctors out of business with national health care. Like so many others maintain, we MUST throw the bums out and start all over, and NO ATTORNEYS ALLOWED!

    5. Dave McDuffie, lagun says:

      A civilian force under Obama is just another name for "socialist state INFORMERS", who are people paid to spy on everyone, families included, and report to the state anyone found in opposition to the state. We need to prepare to vote out all the socialist/democrats in congress and vote in some strong republicans to take on the pseudo democrat/communist Obama. It is quite unfortunate that our left wing media wants us to find out exactly who the real Obama is AFTER HE IS IN OFFICE!!! Apparently he is a Kenyan raised in Indonesia, with a doctored birth certificate from Hawaai. Why else all the secrecy? But then who cares, he will only be the president of the USA!?

    6. Barb - mn says:

      Not sure how this man gets paid, but this is a total mental infiltration of ignorance. Government creates failure!With our money to back it.

      As far as the "civilian security force" goes, Obama, Ayers, Wright and the like have been indoctrinating people for years. His force is ready for job duties.

      I can't stand any man that speaks for another. Obama.

      We are not racist but you will influence who you can to believe the opposite. We get along with everybody, but your will to pursue the opposite is unbecoming of a civil minded human being.

      You and your supporters need to get over your self-pity. You do not want unity. You do not want the American dream to be accessible. YOU speak the opposite. YOU have no faith in THE FREEDOM OF PEOPLE OR our true and living God who appropriated that freedom at our birth. It is your will to control the lives of others. YOU are not a follower of the truest, greatest man on earth, born in the middle east, Jesus Christ.

      What you are taught about Jesus, is FICTION. Inspired by man not GOD. It is your will to destroy the truth, to destroy what Jesus Christ instills. It is your jealousy that can't stand people who can accept all God's creation. That's why you manipulate people to think the opposite. We pray for the strength of those who have been caught in your web of deceit and hatred of all who aren't like you. We pray for those that have been weakened by your petty guilt trips and pray they will come to know the real man you chose to become. God created everything GOOD. It is you and mankind like you whose freedom of choice created evil. May God reveal you to all for who you are and may we all witness your judgment.

    7. Skippy from America says:

      Haha. What a bunch of ignorant rubes on the site.

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