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Dissecting bullshit

November 12, 2009 Leave a comment Go to comments

The Messiah takes on unemployment:

“In December, we’ll be holding a forum at the White House on jobs and economic growth,” Obama said before departing on a trip to Asia.

The meeting among CEOs, small business owners, economists, financial experts as well as representatives from labor unions and non-profit groups is to see “how we can work together to create jobs and get this economy moving again.”

Note how one follows the other:

“a forum at the White House on jobs and economic growth” and,

create jobs and get this economy moving again.”

You would think one was impossible without the other – that ending unemployment is somehow impossible without “growing the economy.”

Of course, there is no connection between the one and the other. Unemployment is rising despite the fact that the economy is alleged to have stopped contracting. And, this is not the first time: It happened in the 1991 recession and again in the 2001 recession. Unemployment rose well after the economy stopped contracting and began expanding again.

If the economy can grow even as unemployment rises, why is it necessary to tie the creation of jobs to the growth of the economy – to make the creation of jobs dependent on economic growth? Certainly as productivity improves an economy should contract. That is what is meant by the term, improving productivity. If productivity is improving, work is decreasing – more goods can be made in the same time, so the amount of work required to feed, clothe and house ourselves (what is sometimes referred to as economic activity) should contract.

But, what does this have to do with jobs? If the hours of work are shortened to adjust for the improvement in productivity, there is no need for unemployment to rise.

Problem solved.

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