Gorilla's Blog

$50 billion for infrastructure projects is better than nothing, but nothing is what the Administration will get.

I can’t understand why they don’t use the unspent TARP money to fund a jobs program: doesn’t require Congressional approval and shows more seriousness about the economy.

A couple of hundred billion to hire people would be a big plus for the economy (there’s zero demand out there, people!) and very popular with the voters.

Extending stupid, ineffective business tax credits and proposing programs that have zero chance of Congressional passage is a complete waste of time.

Gorilla says:”Better to run on providing jobs than to run on about how much worse off we might have been!”

Well, unemployment at 9.6%, not enough jobs being added to account for population growth, much less economic growth, and the prospect of a big defeat in November.

So what will the Administration do?

If it’s another round of worthless business tax cuts, no substantial stimulus (at least $500 billion is needed, $1 trillion would be better), and no government jobs program, you’ll know they aren’t any more serious about tackling the worst economy in 70 years than the Israelis and Palestinians are about 60 years of a “peace process”.

Gorilla: “It’s depressing to realize that indifference is the only policy position!”

Unemployment claims: only going up!!!

Government response: only doing nothing!!!

The lethal level of misery and stupidity is unprecedented in Gorilla’s lifetime.

And it will only get worse if the Know Nothing Party picks up seats, if not houses, this fall.

What’s needed immediately is a jobs program of at least $450 billion, which would reduce unemployment dramatically, raise tax revenues, and rebuild this country’s Third World infrastructure.

Why the President doesn’t propose this, when every reputable economist is saying we need more stimulus, is unfathomable.

If the Know Nothings vote no, you’ve got the perfect theme for running this fall: “I tried to help but those clowns couldn’t be bothered!”

Gorilla says: “A firmer Barack can overcome one termer Barack!”

It’s the simplest solution, as it’s clear the private sector is not hiring because there is insufficient demand.

Guarantee the states’ deficits for the next 3 years and start a real jobs program that would hire people immediately (no grant programs or no bid proposals, thank you very much, let’s fix some infrastructure and paint roofs white!), while also extending unemployment benefits for another 2-3 years: it’s easy, it will add very little to future deficit financing costs, and it will save the livelihoods and futures of millions.

Gorilla says: “The time for austerity will not come until the economy is growing, and that’s years away at the moment!”