How Can We Afford Growing Government?
Following World War II, the United States dominated the industrial world. Factories in Europe and Japan were destroyed. For about 15 years, the U.S. stood alone. A company could be near or at the bottom of its industry (e.g. Philco) and still be profitable.
Things started to change in the 1960s beginning with the Japanese “dumping” televisions and other electronics into the U.S. market. The United States began importing more goods and exporting more jobs. In the 1940s, 50s and 60s many Americans could look forward to working until they were 65 at which time they would receive their gold watch and often a pension so they could enjoy their “golden years.”
How times have changed.
It is well known that during the nation’s gale-force recession, many older Americans who dreamed of retirement continued to work, often because their 401(k)’s had plunged in value.
In fact, there are more Americans 65 and older in the job market today than at any time in history, 6.6 million, compared with 4.1 million in 2001.
Less well known, though, is that nearly half a million workers 65 and older want to work but cannot find a job — more than five times the level early this decade and this group’s highest unemployment level since the Great Depression.
But, it’s not just seniors that are affected. Unemployment among the young (18-24) is at record levels. Good paying jobs keep disappearing. Because of the Internet jobs that were once considered safe (in engineering and computer systems) are now being done by people in India or Asia for a much lower pay. Forty has become the new sixty. We all know people between age forty and sixty who have been terminated and are unable to find work because they are “overqualified.”
Recent college graduates are facing challenges in finding good paying jobs. A friend’s son graduated from Boston College with a degree is business. The best he could find was a contract position with no benefits. He is probably earning $10,000 less than had he graduated in 1999.
Tax revenues are at the lowest rate since the Great Depression. Yet, the federal government continues maintaining wasteful programs like the National Endowment of the Arts and is planning to add programs like health care. On the other hand, liberals are pushing Cap and Trade, which will push even more jobs into India and China, which have weak environmental laws.
Fewer good paying jobs, reduced tax revenues and greater federal spending. Where will it all end?
Hat Tip: New York Times
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Where will it all end?
HERE
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One of the biggest problems we have faced is that our leaders (primarily Ivy League elitists regardless of which party is in power) have thrown common sense out the window.
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I’m going to have to hunt down the link for you, bc3b, but I believe the unemployment % for the 18-24 bracket was 52%. This, I believe, is intentional. They are the most likely to “serve”
Obamathe country.[4]
Inflation, that’s how
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America’s future:
California’s tax code, Michigan’s attitude towards business, the New Orleans police department’s view of the second amendment, DMV like competence on health care issues, combined with the patriotism of Michael Moore and the restraint of government spending of Barney Frank
I wonder how that will work out…???
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Can’t find the link anymore but it was a discussion with Mark Levin.
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unemployment rate
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Another media-Obama-fan, Clarence Page, dares criticize “The Man!”
Obama outs Fox, but reveals a big flaw Chicago tribune link
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I heard a women’s libber saying, the other day, that the reason for the discrepancy between the women and men’s unemployment numbers, is that more women are kept on pay roll because they get less money for equal work than men — in other words it is “cheaper” to keep women employed than men!
Liberal’s always have a twist to their analysis!
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In the end, the only real hope is innovation and good ol’ Yankee ingenuity. New jobs in new industries that aren’t even thought of yet. Leverage what we do have in this country that others are woefully lacking — a stable and lawful society, property rights (real and intellectual), relatively very low corruption, access to investment capital and a fairly well educated population. America, by and large, still has all the ingredients to remain the innovation capital of the world. Thus enjoy the fruits of such an enviable position.
However, that is much easier said than done. By and large, society in general and the government in particular is becoming hostile to such innovation. The people who are willing to take the risks are vilified as “capitalists” and success is jeered at rather than celebrated. Corruption is growing — investment resources more than ever are funneled to those with political connections rather than the winners in the market of ideas. A person who is willing to start a business no longer has the luxury of just concentrating on growing the business, but instead has to worry about pleasing dozens of masters at various levels of local, state and federal government.
The real problem in our country is that our government and society is now essentially eviscerating the “golden goose” to plunder its eggs rather than exercising prudence and wisdom to nurture the “golden goose”. It’s not dead yet, but it certainly is on life support and it could easily die very rapidly unless we all collectively return to the principals and ideals that made this country great to begin with.
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Hey Jan, I dunno why, but the CT link isn’t working.
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Less well known, though, is that nearly half a million workers 65 and older want to work but cannot find a job — more than five times the level early this decade and this group’s highest unemployment level since the Great Depression.
Though that is interesting. There is another observation — Of any age group, those over 60 have found gainful employment at a faster rate than any other age group in any category. Go figure.
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Here is a fixed link: Obama outs Fox, but reveals a big flaw
It’s a good read. Thanks for passing it along.
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Well, if you only have a certain amount of money to spend (as an employer) on a new hire, would you rather have age and experience, or a teen who you have to train, and possibly hover over and babysit?
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Jan and mp- excellent article!!!!
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…on pay roll because they get less money for equal work than men — in other words it is “cheaper” to keep women employed than men!
Sorry to burst the libs bubble. If you factor a lifetime of employment women make less than men for two reasons –
* They will spend more time away from employment due to child rearing factors interrupting continuity of income.
* Of firms that are providing benefits, maternity, like it or not is factored in. The Invisible Hand at work.
At a constant dollar basis for pay, time off, increased health care costs the sexes come close to coming out equal.
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Will try it again, JM!
Chicago Tribune link
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Just this morning I got into a tiff with my 10 year old daughter because, gasp, we had no Eggos in the house for her breakfast. Unfortunately, this was completely unacceptable to her and she had a melt-down. She could have had cereal, scrambled eggs, toast, fruit, health bars and lots of other stuff, but instead she chose to sit at the table crying because there were no Eggos in the house — her brother and her ate them all earlier in the week.
As a parent it’s my responsibility move my daughter beyond her childish “the world owes me because I exist” attitude and turn her into a responsible and self-reliant adult. Fortunately, I still have a number of years to work on her. However, it makes me wonder what happens to the children who’s parents aren’t around or simply don’t make the effort to teach such things. What happens to these children when they get into the job market? What are the consequences of society? Unfortunately, I believe we are finding out the answer — led by the whiner in chief.
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Unfortunately, there is no easy answer. We are going to continue to lose better paying manufacturing jobs and even professional jobs to other countries. We need to reduce government spending, but neither side seems to be interested in doing much about it.
There are common sesnse solutions and those are the place to start: eliminating funding for things like ACORN and all the pork barrel projects, etc.
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MPT,
I run across some of the same issues in teaching. I can be assured that when I hand out a group exercise at least one group will end up complaining about their grade. If though you state you grade for completion, they will have someone in the group not pull their weight so their piece ends up missing.
The idea of responsibility and sucking it up comes hard to many.