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  • Morning Bell: The Jobless Obama Recovery

    This Wednesday in Pittsburgh, President Barack Obama defended his administration’s economic policies telling the audience at Carnegie Mellon University: “Now, I’ve never believed that government has all the answers. Government cannot and should not replace businesses as the true engine of growth and job creation.” But that is exactly what the President’s big government policies are doing. Last week, USA Today reported that in the first quarter of 2010, thanks to President Obama’s failed $862 economic stimulus, paychecks from private business shrank to their smallest share of personal income in U.S. history while government-provided benefits — from Social Security, unemployment insurance, food stamps and other programs — rose to a record high.

    And now the Labor Department’s Bureau of Labor and Statistics released its monthly jobs report today showing that the economy added 431,000 jobs in May. But don’t let that number fool you. Of those 431,000 jobs, 411,000 jobs were temporary government Census jobs. In fact, private sector job growth actually fell in May, from 231,000 new private sector jobs in April to just 41,000 new private sector jobs in May. Combining the private and public sectors–the nation’s unemployment rate fell to 9.7% as 286,000 workers left the labor force. In total the U.S. economy has now lost a net of 2.2 million jobs since President Barack Obama signed his stimulus bill and his administration is now 7.2 million jobs short of what he promised the American economy would support by 2010.

    While there is little doubt our resilient economy is finally recovering, it is also becoming increasingly clear that this administration’s policies are making it difficult for private sector firms to produce robust job growth. Obamacare not only raises taxes by $503 billion through 2019, but it also burdens small businesses with new 1099 IRS paperwork every time they do more than $600 in business with another entity, and it imposes an employer mandate which makes it harder for small businesses to hire new workers. Then there is Obama’s budget which raises taxes on the small businesses that earn 72% of all small business income, raises capital gains taxes to 20%, and raises taxes on dividends to 39.6%. And don’t forgot the recently passed tax bill in the House which manages to add billions in debt while adding on a job-killing tax on American corporations that compete overseas and a job-killing tax on innovation-creating venture capital partnerships.
    But the Obama administration does not plan on stopping there. Desperate to shift the focus from their lack of leadership, President Obama used the Deepwater Horizon oil spill Wednesday to renew his call for further regulation of the energy industry. Since the Kerry-Lieberman cap and tax bill called for now verboten increased oil development, Majority Leader Harry Reid (D-NV) is signaling he wants pursue a renewable-energy-only path like Sen. Jeff Bingaman’s (D-NM) American Clean Energy and Security Act (ACELA) which would mandate that electricity sellers produce a growing percentage of their power from renewable energy sources every two years. The Heritage Foundation’s Center for Data Analysis has crunched the numbers and found that at an RES would: 1) Raise electricity prices by 36 percent for households and 60 percent for industry; 2) Cut national income (GDP) by $5.2 trillion between 2012 and 2035; 3) Cut national income by $2,400 per year for a family of four; 4) Reduce employment by more than 1,000,000 jobs; and 5) Add more than $10,000 to a family of four’s share of the national debt by 2035.

    The Census jobs obtained by 411,000 Americans last month are temporary jobs. That means by the end of this year, those 411,000 Americans will be through with temporary government work and will be looking for real work in the private sector. But the private sector will not be able to adsorb them. Not when the Obama administration is forcing them to pay higher taxes, higher health care costs, and higher energy costs. Our economy will continue to bounce back from the recession. But thanks to Obama we can expect near double-digit unemployment rates for a long time to come.

    Quick Hits:

    Posted in Ongoing Priorities [slideshow_deploy]

    46 Responses to Morning Bell: The Jobless Obama Recovery

    1. Gary says:

      "Jobless" recovery?! What a joke! The concept is absurd, not possible. This country is being lead into a economic nightmare of epic proportions, like lambs to be slaughtered. Wake up folks! While you still can.

    2. curt in Columbus says:

      Great article! The only fact I question is that the census jobs are temporary.

      I question it for two reasons.

      One, the last thing Obama needs in the near future is a spike in unemployment. Two, where better could Obama find his civil defense corps (not pronounced 'corpse') than half a million census workers who are terrified of losing their 'temporary' jobs.

      Seems like this is is another unfortunate meeting of a crises that can't be wasted and another campaign promise that America pretended not to hear.

    3. BARB, MN says:

      Not only were the majority of jobs Census jobs, but Neil Cavuto had an interview w/a Census worker yesterday. She explained that she was hired and fired from her temporary Census job, and hired again…and each time she was counted as a new employee (3 times). She said that this is how the employment numbers are inflated. Neil agreed. I guess the Census people thought that we were too stupid to ever find this out…or that the workers were to afraid to tell the truth about what they were doing to inflate the employment numbers.

    4. Duncan Druhl says:

      If Canada can add a population-adjusted equivalent 247,000 jobs in the same period as the US added 41,000 – what is wrong here?

    5. Lloyd Scallan New Or says:

      Even the 411,000 temporary census job number is distorted. Many of those

      census workers are being layed off and rehired, some as many a five time. Each time they are "rehired" that counts as another created job. When are we going

      to realize Obama is an exceptional liar and will distort the truth in order to

      reach his socialist goal of "transforming" America into his socialist utopa.

    6. MJF, CT says:

      It's just "Fun With Numbers", you know…. that game you played in elementary school in the '50's. It was a way to show you that you can have fun with arithmetic and still learn. But wait! In that game, the equations actually worked! Mr. Obama's arithmetic does not compute so the game's name needs to be changed to F.U.B.A.R.!

    7. Bob Garrett Oceansid says:

      How can Mr. Obama and his administration with the help of the liberals, populists, socialists and communists in Government do so many things wrong? We the people need to make our change and bring back our hope.

    8. Richard Cancemi, Arl says:

      Is there ANYTHING good that can be said about Obama and the other Progressive Socialists in Congress?

      They are crucifying the great USA on the 'cross' of their programs, using spending as the 'nails' and taxation as the 'hammers' to effect the disgrace and demise of the greatest Country that the world has ever seen!

      Like in the New Testament, when the dirty deed was done and "darkness prevailed over the land", America will be under the dark clouds of Socialism, unless we kick out ALL of these traitors and evil-mongers in the next elections!

    9. Allen, CA says:

      How convenient that those 400,000 census jobs won't disappear (and the resulting spike in unemployment won't show up) until AFTER the November elections!

    10. Earl, QUEENS, NY says:

      BE WARY OF THE NUMBER OF JOBS CREATED!!!! Of course it's mostly temporary census jobs. I heard a caller on my favorite talk show last night talk about this. The real jobs created is probably far less. Apperantly the census has been hiring and firing at the same time. I.e., it's possible a temp worker can be hired for a few days, laid off, then re-hired a few days later. It seems each re-hire is considered a job created. Of course, only the drones and the naive would believe what the democraps say about this. We know the socialist democraps are liars, and will pull any dishonest tricks they can to manipulate numbers and try to paint a picture of a rosy economy. In reality, BHO, Pelosi and their democraps have been job destroyers – over 4 million jobs lost since January 2009!!

    11. Blair, Franconia, NH says:

      This is Obama's lame excuse: "I'm not responsible. Bush did it. I'm just cleaning up Bush's mess." To quote a DJ from the '80s from WOKQ, the country station I usually

      listen to: "Oh, suuuuuuuuuuuuure!" Yeah, right. There comes a time when you have to get past the childish "He did it first!" mentality and man up. It's way past time for Obama to man up and take responsibility for HIS, not Bush's, screw ups. Bush seems

      to be the Herbert Hoover of the 21st century. The Democrats demonized Herbert Hoover, whom ironically, they wanted to recruit into their party to run for President in

      1920, well into the last decades of the 20th century. The Democrats tried to paint Ronald Reagan as the Second Coming of Herbert Hoover, whose policies would bring about the Second Great Depression. Did they? No, they didn't. Why? Because when you cut taxes, the economy takes off. When you raise them, it sinks like the Titanic. We're going to have a new normal of seven percent unemployment. Talk about Hope and change. Dope and change is more like it. Hey, Obama. I'll take the hope. You keep the change.

    12. toledofan says:

      Another great article and each day it becomes clearer that this administration has no clue. Maybe they are doing exactly what they think they need to do to socialize our country, but, what they are doing is creating the best example why we shouldn't or won't ever go down that road. In their attempt to left turn the country this administration has made the lives of many Americans just miserable. We are the most advanced country on earth and for us to have 10% unemployment is just wrong. Figures don't lie but liars sure do figure.

    13. jim smiuth says:

      The Census scam is waiting in the wings. Soon, there will be a report on how the Census is not complete and therefore, must continue until the welfare and food stamps programs are refreshed. This Census will continue until it festers into a full blown, twenty first century, pigmentation centric, Affirmative Action Extravaganza. Census workers will report findings on the phone every other seventh week. New records will be met on the number of different spellings of Kalisha and the new recod number of grandmothers under age 42. The previous record dates way back to 2007.

    14. TAITOIRLWK, CALIFORN says:

      What Obama has done to the economy deserves him to be called

      "Pinhead-In-Chief".

    15. Lori says:

      I've also heard the testimony of one census worker who said she is hired and fired and hired and fired every time they need her. And each time she is re "hired" that counts as a new JOB CREATED! only the gov't

    16. Rick says:

      adsorb = to collect (a gas, liquid, or dissolved substance) in condensed form on a surface

      Unless you propose that we collect unemployed workers on the surface … wait, on the oily surface of the Gulf so the best can be then skimmed off (see Census workers) and hired again and again …

      … it is probably absorb.

    17. G Buss says:

      Mr. O has now distanced himself from Israel, the Israelis have received the bunker buster bombs et al. The bombing of Iran will provide the cover to further control the USA and provide munitions jobs for the 'recovery', a la Wilson, FDR, LBJ ….. The fuze has been lit, enjoy the fireworks.

    18. Pingback: The Jobless Obama Recovery | Citizen Gravity -

    19. Robert Edwards, Phoe says:

      I hope B.H. Obama reads the daily Morning Bell…and understands it…

    20. Joseph C Moore Cpo U says:

      The government jobs that were "created" are nearly all temporary census workers. Fine stimulus president! That was really a worthwhile use of money to help the economy (sarcasm, if you didn't get it).

    21. Ace Sez Bishop, Cali says:

      Mc Cain and Palin would have had a struggle to get things right–what with the nasties in the House and Senate and the media that covers for Osambo's lack of skills would crucify a Republican P and VP–just like they did P Bush- and VP Cheney- But we'd still be the USA the biggest and the best Nation in the world–and with no reason to toss out the race card the devisive situation we suffer under now wouldn't be a problem at all—–REMEMBER NOVEMBER and help prevent crime by voting out all incumbents–

    22. Dennis Social Circle says:

      The "guvment" is not the back bone of an economic recovery, small business is the true back bone. I find it hard to believe that obama believes that "guvment" is not the total answer to America's problems. The actions by obama, pelosi, reid and other dems since 1/20/09 sure do lead one to see things in a different way than they do.

      He is the master of smoke and mirrows, tell someone the world is flat long enouigh they will began to believe.

    23. Pingback: Daily Buzz | Daily Buzz Factor

    24. E. Zierlein says:

      In looking back a bitI guess we should not be surprised with most of Obama's admin. moves. Once they were installed they hurried some noted radicals into positions not requiring senate scruitiny, while delaying filling senior slots. Some of the most extreme had positions outright created for them. Coercive radicalism is what this administration is all about.Certain individuals tapped to wield real power could not have gained Senate approval, and would have caused deep and lasting political harm in the process of trying; they were slipped in the back door. Obama is smart enough to know that much of his agenda needs to fly under the radar of public scrutiny.Remember: Pelosi? We must vote it into law then you can see what's in it??

    25. Doug Stafford Concor says:

      With this man in the White House, I fear more now for our country's future than at any other time in my adult life. Obama is ill equipped to lead the US, or any nation for that matter. How the American people could have been so gullible iin electing him is beyond belief.

    26. Mary.... WI says:

      Hope and Change or Doom and Gloom?

    27. Ben Gause, Greenvill says:

      If there were 411,000 new census jobs and 41,000 new private sector job how does that add to 431,000 total new jobs?

    28. Randall Scott - Sant says:

      It takes three private sector workers to pay the salary of one government employee. In this article, Obama is bragging that he’s created 411,000 government jobs for the month of May as reported by the Department of Labor (DOL.) This means that we needed 1,233,000 new private sector jobs to pay all these salaries. However, the DOL reports only 41,000 new private sector jobs. All I can tell you guys is, DIG DEEPER.

    29. Susan K Shumway says:

      Having just gotten back from a trip to visit family in southern Ohio I can promise you there is NO recovery there. I grew up in Ohio and now see how the suffering of job losses there have devastated the area.. It is really sad. Just for instance I drove through Willmington who lost Airborne I think, or one of the large companies. Every other house was for sale and just the look and feel of the city was very pathetic. My parents and family are all Democrats and will listen to NOTHING about this President. They still blame everything and I mean everything on President Bush. They will not see what this man, President Obama is doing to this nation. It is terrible and preventable.
      Susan K Shumway
      Phoenix

    30. Kelly, Westminster, says:

      I think Obama, his cabinet, the Democratic party are hell-bent on grabbing power and money for themselves, the will of the people, and the country be damned. They continually lie, and try to benefit themselves using any guise they think will work.

    31. paul,the villages fl says:

      Everyone thinks obama is not doing things by mistake.WAKE UP PEOPLE! He knows exactly what he is doing.His main objective is to destroy this country.If the comprehensive ever passes he thinks he will have enough new voters to help him accompilsh it.The only thing wroung with his idea is thatif they become legal they will elect their own candidates.Look what has happened in california.Of course,then he can declare power to save us.We better stand behind the Arizonia law if we want to stop his plan.

    32. JOAN TRINKA WOODINVI says:

      Doesn't anyone proofread. The spelling is terrible. I notice this more and more, not only in your work, but others also.

    33. Leith Richmond, VA says:

      We will not listen to Obama any more. His words are toxic and we're tired of feeling sick and tired. Instead, we'll work hard to defeat him.

    34. RennyG Maryland says:

      Why worry, the community organizer will just give the 411,000 a government job and everything will be OK. You gotta read between the lines, he is a chicago politican that talks well!!!!!!!!!! That's it!!!!!!!!!!

    35. B. Reinhard says:

      I was in the commercial construction industry for almost 30 yrs. After being layed off in April of last year, and going through all my savings, I became homeless. Now I work part time ay a convenience store at minimum wage. I canot grt more hours as my employer can't afford it. I'm still homeless and underemployed. Thanks Mister Pres. I'd rather have some change I can count.

    36. Pingback: The Jobless Obama Recovery | Rob Portman for U.S. Senate

    37. andrew forrer top of says:

      am i the only one that thinks all of this smells like scorched earth? obama and company knows that they will get another term so they are trying to wreckthe economy with all the tax and spend they can muster,therefore leaving the economy and politics in complete disarray when they leave

    38. Chuckwagonchuckie2u, says:

      Maybe the 24 +% of unemployed in South Alabama can get on the Census Bandwagon. What a crock! The Stimulus Program has created more unemployment in my area than employment. I was never a Bright Star in the Math Department of Government figures so I have to assume their figures are the TRUTH since they made them up to support their pronouncements.

    39. Pingback: Morning Bell: The Jobless Obama Recovery « Faulk For Congress

    40. Candace in The Triad says:

      Obama apparently believes that if he says something loud enough and often enough then the people will believe it to be truth – to bad for him we are not so stupid – But in the meantime, this disaster, we call Obama is causing me great anxiety and there is little to be at peace about

    41. Ron R, FL says:

      Obama……aka the JOKER

    42. MainStreet, Pawleys says:

      Assuming that Obama and the progressives in Congress are not stupid, it is amazing to me, that they cannot see that their spend and tax mentality does not work. What they are doing to the US economy borders on criminal misconduct; their redistribution of wealth is nothing short of grand theft.

    43. Larry from Missouri says:

      Imagine what would happen to the companies in this country for using the same tactics that Mr Obama is using. Oh, you don't have to imagine, just watch the news.

    44. dave vk says:

      The best thing about the Heritage foundation is it gives us the truth….I no longer bother with the printed media , and just last week cancelled my local newspaper….i am sick of AP story's that promote this liberal agenda…I live in Michigan and we have been under the boot of these liberals for a long time…our next governor will be a Republican…it is just a question of what kind….I dispise RINO.s even more the democrats….

    45. G. Lewis, Michigan says:

      Does anybody remember Monty Python's Parrot Sketch?

      If you push the cage hard enough, it _looks_ alive. Kind of

      Just replace "Parrot" with "Economy" and "Shopkeeper" with "Obama Administration."

      Praline: I wish to complain about this parrot what I purchased not half an hour ago from this very boutique.

      Shopkeeper: Oh yes, the, the Norwegian Blue. What's wrong with it?

      Praline: I'll tell you what's wrong with it, my lad. It's dead, that's what's wrong with it!

      Shopkeeper: No, no, it's resting, look!

      Praline: Look my lad, I know a dead parrot when I see one, and I'm looking at one right now.

      Shopkeeper: No no sir. it's not dead. It's resting!

      Praline: Resting?

      Shopkeeper: Yeah, remarkable bird, the Norwegian Blue, beautiful plumage, innit?

      Praline: The plumage don't enter into it – it's stone dead.

      Shopkeeper: No, no – it's just resting!

      Praline: All right then, if it's restin', I'll wake him up! (shouts into cage) Hello Polly! I've got a nice cuttlefish for you when you wake up, Polly Parrot!

      Shopkeeper: (jogging the cage) There, it moved!

      Praline: No, he didn't. That was you pushing the cage!

      Shopkeeper: I did not.

      Praline: Yes, you did! (takes parrot out of cage, shouts) Hello Polly, Polly (bangs it against the counter) Polly Parrot, wake up. Polly. (throws it in the air and lets it fall to the floor) Now that's what I call a dead parrot.

      Shopkeeper: No, no. It's stunned.

      Praline: Look my lad, I've had just about enough of this. That parrot is definitely deceased. And when I bought it not half an hour ago, you assured me that its lack of movement was due to it being tired and shagged out after a long squawk.

      Another example of life imitating art, I guess.

    46. Charles Nystrom Summ says:

      If you measure the economy in its broadest term, GDP, it has not grown since August, 2008. At that time the GDP was $14.5T. The annualized GDP for the 1st qtr, 2010 was in the range of $14.0T.

      All the statistics about jobs added, unemployed, retail sales, manufacturing index, etc are all invremental numbers and act to obscure the fundamental truth about the economy which is the private sector is systematically being destroyed.

      For another example. Bernanke is keeping prime lending rate near zero. Banks are borrowing from the Feds and using the funds to purchase Treasuries. Doing so the banks have a guaranteed spread of 3% or more. In the process, the banks balance sheets improve; the Treasury has buyers for it bonds ($100B/month); and no funds are available for the private sector. Obama's policies are choking th private sector.

      All statements by Obama about the economy are falsehoods intended to disseminate until there is no chance of a private sector "recovery" in any manner as has been our history.

    47. Al Reasin, Conowingo says:

      As to green jobs, the Spanish government has finally admitted that the report that 2.5 jobs were lost for every 1 created was true. Yet this administration, which used Spain as an example of massive green job creation, has not been called on it by the media.

      People should not forget that an increase in energy costs will hit in three ways: direct costs in lighting and heating; passed on to you the same direct costs for businesses and the indirect cost increases because of the costs of shipping; and local and state tax increases because of such things as the road side lighting and the local and state government's other indirect and direct costs of operations.

      If government workers average $77 K per year and private workers $45 K as has been reported, then as the private labor force shrinks and the government labor force in local, state and federal expands, something will have to give just like what we see with the SS reality.

      And another thing, under the Wall Street Reform bill sent to committee to work out the House and Senate differences, the proposed Consumer Financial Protection Agency will receive every ATM and the check writing data of every American. Now just why does the government need my and your every day economic information that invades our right to privacy per the 14th Amendment; the same Constitutional provision that has been interpreted to allow a woman to choose but not for my and your medical and bank records to remain private without a legal warrant. Just saying.

    48. Ben Charles, Sr. says:

      Correction: The 411,000 temporary Census jobs had NOTHING to do with "Obama's Jobless Recovery". Those jobs would have been there even if my stupid cat was in charge. How dumb do they think we are, not to figure out something this simple? Giving Obama credit for all those jobs is like throwing a rock in the air and giving him credit for bringing it back to earth.

    49. Pingback: The Absurd Report » The Jobs Report: It’s worst than I thought

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