BlogPatriot: Economic Scene - Deficit Builds as Americans Pay Less and Get More - NYTimes.com

“So you think that money is the root of all evil?” said Francisco d’Anconia. “Have you ever asked what is the root of money? Money is a tool of exchange, which can’t exist unless there are goods produced and men able to produce them.” … “Money is not the tool of the moochers, who claim your product by tears, or of the looters, who take it from you by force. Money is made possible only by the men who produce. Is this what you consider evil?” - Atlas Shrugged

Wednesday, March 17, 2010

Economic Scene - Deficit Builds as Americans Pay Less and Get More - NYTimes.com

Economic Scene - Deficit Builds as Americans Pay Less and Get More - NYTimes.com:

As a society gets richer, its tax rates tend to rise."

Posted by Freedom isn't Free at 4:05 PM

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"The broader U-6 rate -- which takes into account part-time workers who want full-time work and lots of discouraged workers who've given up looking -- stayed unchanged at 14.7%. That's a better gauge of the true unemployment rate and state of the American labor market. ... The shrunken workforce remains shrunken. If the labor force participation rate was the same as when President Obama took office, the unemployment rate would be 10.7%. If the participation rate had just stayed steady since the start of the year, the unemployment rate would be 8.4% vs. 8.3%. ... The 114,000 jobs created would have been a good number ... but for 1962, not 2012. The U.S. economy needs 2-3 times that number every month to close the jobs gap (which is the number of jobs that the U.S. economy needs to create in order to return to pre-recession employment levels while also absorbing the people who enter the labor force each month.) At 114,000 jobs a month, the jobs gap would not close until after 2025.... We are still on pace to create fewer jobs this year than last year. In 2012, employment growth has averaged 146,000 per month, compared with an average monthly gain of 153,000 in 2011. ... Bottom line: The U.S. labor market remains in a deep depression with virtually no recovery since the official end of the Great Recession. But the Long Recession continues unabated."

--American Enterprise Institute's James Pethokoukis

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