Daily Wisdom

October 04, 2009

Stimulus Spending And Job Growth: Update 4

In June I wrote an article called "Stimulus Spending And Job Growth". In the article, I pointed out that Barack Obama said his stimulus package would create approximately 4 million "new jobs" over two years. He also said the unemployment rate would not exceed 8%. In order to create 4 million jobs in 24 months, the Obama administration would have had to create approximately 166,667 jobs per month to reach this target, assuming linear job growth. That scenario is shown as violet in the following graph.

As of June, when I wrote the article, the trend in job growth was actually negative. So I developed a curve showing what I thought might be a more "Likely" scenario -- plotted as light blue in the following graph. As you can see from the graph, the actual trend of job losses is worse than I had predicted -- plotted as yellow and red -- and the unemployment rate is at 9.8%. I have revised August's job losses from 216,000 to 201,000 according to the latest published figures. The number of jobs lost for the month of September was a higher than expected 263,000 which means that Obama's goal of 4 million new jobs in 24 months keeps getting more difficult to attain...



Instead of having to create 166,667 new jobs per month, which he originally needed to reach his target, he now needs to create 395,882 jobs per month -- in order to make up for the 2,730,000 jobs that have been lost since the stimulus bill was signed.

Ironically, I am included in the September job loss figures. I was laid off from my job on September 18th. I have worked almost continuously for 34½ years having collected only one week of unemployment during that entire time. Don't get me wrong, I'm not bragging. I am truly grateful that the Lord has blessed me with continuous employment. I am glad that I was able to contribute to the unemployment compensation of others. I merely point this out to highlight the failed policies of President Obama, and that now it's hitting pretty close to home. Gee thanks pal! Good work... NOT!

6 Comments:

At 10/04/2009 10:33 AM , Anonymous Anonymous said...

I used to have my own blog out there- Global Warning II - but I have pretty much gotten out of this business of attempting to inform fools. People need to learn the hard way no matter how much we attempt to soften the impact.

Now, in regards to this post: Racist!

There/ Now you have the Left's response to your criticism.

Hang in there Hawkeye!

~Otter

 
At 10/04/2009 12:59 PM , Blogger Whiteacres said...

Aw Hawkeye - not you too. I am so sorry. However, I know that God will honor you and provide whatever you need at this time. And you are so industrious that you are gonna come out smelling like a rose.
Conserve-a-tip

 
At 10/04/2009 5:02 PM , Anonymous mindknumbed kid said...

If talking was good enough the Obamas would have fixed everything already, and secured the Olympics for Chicago. At least when Bill Clinton was in office he thought he could feel your pain, turns out it was a young woman he was feeling instead.
I do not wish to be a pessimist, but I don't see a rosy future for America's hard working families. This bunch in Washington have no clue as to what works. They are pushing ideas that will increase our pain and suffering.
Hope I don't wind up in the unemployment line with you, God has also blessed me with continuous employment over the years, I wouldn't even know how to file a claim. The older I get the less I want to see government attempting to do anything for me.
The wizard of Ott may not have $$ to offer, but perhaps you could use some of your extra time helping out his campaign?!

 
At 10/05/2009 1:17 AM , Blogger camojack said...

Sorry to hear that you're part of the ever-escalating unemployment statistics. Hopefully you won't be out of work for long; I was laid off in the 90's for 15½ months, but I made the best of it, working a number of temp gigs. You might want to look into that. Best wishes...

 
At 10/05/2009 8:41 AM , Blogger Hawkeye® said...

To All,
Thanks for your comments. I'm sure I'll do just fine. God will take care of me as He always has.

(:D) Best regards...

 
At 10/28/2009 9:08 PM , Anonymous Elroy said...

I'm genuinely sorry to hear about your change in circumstance Hawkeye™, but if you thinks it's Obama's fault then, with respect, you obviously have no idea about now modern economics functions.

Cheers

Elroy

 

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