Unemployment continues to rise. Government continues to spend.
If I had a dollar for every time the media reported an “unexpected” rise in unemployment, I could quit my job. Rising unemployment is not unexpected when it happens month after month. Rising unemployment is not unexpected when our government continues to spend money it doesn’t have. Rising unemployment is not unexpected when the government threatens to, and does, raise taxes. Rising unemployment is not unexpected when the government passes huge financial regulatory bills that nobody voting on the bills reads or understands. In fact, it’s completely expected.
President Obama’s, and the Democratic Congress’s, response to the unemployment crisis is incomprehensible. Talking about the economy improving doesn’t actually cause it to improve. Now, with the Greek economic crisis affecting the entire European market, and eventually us, a double dip recession is possible. We continue to give unemployment benefits and health insurance subsidies to the unemployed, regardless of how long they’ve been unemployed, which is a kind and politically correct thing to do, but doing so fails to do anything to stimulate the economy or create jobs. In fact, the opposite is true. It increases spending, which will ultimately require tax increases. The government needs to stop spending, stop pushing policies like cap and trade, stop kicking the tires on a value added tax, and cut taxes on everything, for everyone. Let’s start with capital gains and payroll.
At some point, one has to ask whether the Democrats (who have complete control of the government) even want to improve the economy.