Daily Wisdom

March 06, 2010

Stimulus Spending And Job Growth: Update 9

Well, as promised, I was more timely this month in my update of Obama's stimulus-driven job creation results. With that, let's look at the picture for February. Barack Obama said his stimulus package would create approximately 4 million "new jobs" over two years. 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.

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 somewhat worse than I had predicted -- plotted as yellow and red. While the jobless rate continues to generally follow the trajectory I had originally envisioned, it now seems to be diverging at a greater pace. The gradual uptick in job growth I anticipated has not occurred.

I have revised the December and January job figures according to the latest data from the US Dept of Labor. In December, 109,000 jobs were lost. In January, 26,000 jobs were lost. And in February, 36,000 jobs were lost.

Instead of having to create 166,667 new jobs per month to reach his original target of 4 million new jobs, President Obama now needs to create 566,083 jobs per month -- in order to make up for the nearly 2.9 million jobs that have been lost since the stimulus bill was signed.

Don't hold your breath.


At 3/07/2010 9:43 AM , Anonymous RAM said...

Soory Hawkeye, NO ONE is paying much attention to jobs and the economy with ALL the focus on Barry's "ObamaCare horse and pony show"!

Maybe AFTER it is defeated in the House, people will then see what a shabby job Barry is doing with EVERYTHING!!!

I say maybe because libs STILL do not see what a nightmare the Carter years were!

Click my name for Barry's theme song!

At 3/07/2010 12:50 PM , Anonymous Anonymous said...

Keep posting stuff like this i really like it

At 3/07/2010 3:39 PM , Blogger Hawkeye® said...

I think you're right. Keep praying that ObamaCare dies in the House. And thanks for the "brainy" link.

(:D) Best regards...

At 3/07/2010 3:39 PM , Blogger Hawkeye® said...

My pleasure. (:D)

At 3/08/2010 12:32 AM , Blogger camojack said...

Short version: ain't gonna happen.

At 3/08/2010 9:43 AM , Blogger Hawkeye® said...

You don't think so?

(:D) Best regards...

At 3/09/2010 1:38 AM , Blogger camojack said...

Nope. Do you?

At 3/09/2010 3:14 PM , Blogger Hawkeye® said...

No. Just joshin'


At 3/10/2010 12:16 PM , Anonymous Anonymous said...

Your blog keeps getting better and better! Your older articles are not as good as newer ones you have a lot more creativity and originality now. Keep it up!
And according to this article, I totally agree with your opinion, but only this time! :)

At 3/10/2010 2:01 PM , Blogger Hawkeye® said...

Thanks for your kind words. I try to do my best.

(:D) Regards...


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