Slogging Through The Recession
The Obama Administration has been enjoying the post-coital bliss that occurred after they rammed the healthcare reform plan down America’s throat. While opponents on the right have been predictably overheated in their rush to condemn a very middle of the road bill, the conversation again turns to America’s troubled economy. Senator Chris Dodd is attempting to shepherd his financial reform bill through the Senate. However, all of the early warning signs indicate that the Republicans are gearing up to fight this legislation as well. In addition, early reports of a favorable jobs report may have been premature. The ADP jobs report indicates that the private sector lost approximately 23,000 jobs in March. Economists had expected an increase of approximately 40,000 jobs. The ADP also revised its January-February report to reflect a loss of 24,000 jobs instead of the initially reported 20,000.
Despite these still dismal numbers, economists are still expecting a positive jobs report on Friday. Of interest will be the number of jobs added, minus the large number of individuals that have obtained temporary work with the Census Bureau.
Many people are breaking their necks to declare the recession over. Is it because the stock market is doing so awesomely?! Meanwhile the housing market is still in a deep slump, a large percentage of the uptick in manufacturing orders is due to demand from overseas, banks are still not lending, and companies are not hiring. What’s the big rush to put a bow on this pile of shit?
The Obama administration has been feeling pressure from Democrats and Republicans who believe that Mr. Obama should begin to address deficit issues. This could lead to the rapid dismantling of the fragile safety net that has sustained many during this economic meltdown. Elected officials do not seem too concerned about it now. Although the economy has rebounded, most of the gains have gone to Wall Street at the expense of the rest of us. This drumbeat of false optimism is designed to Jedi Mind Trick us into complacency. Hopefully, we will not notice that not a damn thing has changed in Washington
No one in power seems to want to admit that without significant and substantive financial reforms and a dogged commitment to job creation, our long slog through recession will continue unabated.