Friday, October 30, 2009

Obama stimulus created or saved 650,000 jobs!, Report cites figures

The economic stimulus bill was passed in February 2009 and promised to save or create 3.5 million jobs.

The report that was just released and the Obama Administration now touts, show that the stimulus worked. Right!

First, if you believe the 650,000 figure I have a bridge to sell you but for the sake of my generous nature I will give them that figure, for now.

Since the stimulus was passed and money started flowing we have had the following job losses:

February – 650,000 job losses or 8.1% (national unemployed percentage)
March – 663,000 job losses or 8.5 (national unemployed percentage)
April – 640,000 job losses or 8.9 (national unemployed percentage)
May – 345,000 job losses or 9.4 (national unemployed percentage)
June – 467,000 job losses or 9.5 (national unemployed percentage)
July – 304,000 job losses or 9.4 (national unemployed percentage)
August – 201,000 job losses or 9.7 (national unemployed percentage)
September –263,000 job losses or 9.8 (national unemployed percentage)

The Bill titled “American Recovery and Reinvestment Act of 2009” is a joke. When Obama rushed this emergency spending bill with the help of the House and Senate Democrats, we were told that it was imperative, that doing nothing was unacceptable. If we did not act quickly, our unemployment would hit 8.5% and that by passing this pork fest, the President promised to save or create 3.5 million jobs.

So, what was the “bang for our buck” in spending $1 Trillion Dollars? So far, it cost taxpayers $1, 538,462 for every job that the Administration is boasting about.

In 2008, according to the Bureau of Labor Statistics the average “mean wage” per year was $42,720 or $20.32 hourly.

In order for the taxpayer to repay this $1.5 million it would take over 36 years of working at $42,720 (before taxes and cost of living).

I think that the money would have been better spent if we gave 650,000 small business owners $1.5MM in startup money or better yet give 1,950,000 individuals $500,000 in small business startup loans. That would create 1,950,000 initial jobs and if these new small businesses hired an average of 2 workers per business then you would create another 3,900,000 jobs. All of those new jobs would create a tax revenue base, decrease unemployment burdens to the government and increase manufacturing sectors that would have to provide for the increase in inventories (which in turn would create more jobs)!

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