President Obama appeared in the Rose Garden this morning to respond to the dismal jobs report (Baker; more here from Konczal) that showed unemployment rising to 9.2 percent over 18 months after the recession supposedly ended. He responded by not mentioning that number or grappling with what it means.
Instead, he continued the excuses and pseudo-economic gibberish that makes sense only to Tea-GOP Zombies and which explains why we’ve made virtually no progress in regaining the jobs we lost. He no longer has a meaningful jobs program but is instead clinging to confidence fairies and expansionary austerity unicorns, which are even less helpful than guns and bibles. It has become pathological.
Misjudging the situation and denying responsibility have become the trademarks of Mr. Obama’s economic record. And so our economy remains at risk, not only because it’s under unrelenting assault by economic Luddites but because he keeps his head in the sands of Tea-GOP talking points.
The only honest response Mr. Obama could have given would be an admission that his employment recovery plans had failed. Tim Geithner and Ben Bernanke saved the banks, for now, and our slanted tax laws and trade agreement outsourcing saved large corporations who are now sitting on nearly $2 trillion in unspent, uninvested funds.
That $2 trillion is about what the economy needs to put a large chunk of the jobless back to work. But there’s no one left in this Administration who either cares or knows how to refocus the nation’s vast wealth to save desperate states, under- and unemployed workers, the uninsured and everyone else in desperate need.
Obama conceded during the twitter event that he and his advisers underestimated the severity of the Great Recession he inherited. Fair enough; lots of smart people did. The last two administrations created the reckless conditions for a housing bubble, financial collapse and an economic depression, and it almost happened. But what are the implications of that truth?
If he realized only a few months into his term that the assumptions on which he made fiscal stimulus judgments were far too optimistic, why was there no mid-course correction, no enhanced effort to expand the economy, no major jobs program to relieve the predictable suffering while we recovered from this barely averted depression? Even Mitt Romney can figure that out, and he will by 2012.
Obama doesn’t want us to think about that, because it would warrant his resignation. So a compliant media is conveniently selling the cover story, telling us the issue is whether the elite who now function independently of any democratic accountability can agree to cut $3 or $4 trillion from the debt.
If the negotiators can reach a “grand bargain,” we are supposed to view this is a great accomplishment. It’s hard to imagine a more absurd or harmful misdirection.
What they’re not telling us is that they’ve already failed. They slashed the last two budgets by hundreds of billions of needed spending and are preventing hundreds of billions more in the next budgets, even before the talks start. That’s the money that should have been devoted to rescuing main street, which once healthy, would help take care of much of the deficit.
America is not broke. It has enormous resources. It remains the most fabulously wealthy nation the world has ever known. But our President and his new Tea-GOP negotiating friends don’t have the heart, the brains or the imagination to figure out how to make that wealth work fairly for the vast majority of Americans. The solutions on Joe Biden’s table, like those on Mr. Obama’s, take care of only those who don’t need help.
So, yeah, count me in for refusing to vote for any of these scoundrels if they vote to cut Social Security benefits. We should all sign up. But that’s a depressingly low bar for deserving our support.
If these people continue to ignore the country’s needs and still leave anywhere close to 14 million unemployed in 2012, I’ll work to fire every one of them, whether or not they “save” Social Security from their mindless deficit hysteria.



66 Comments

“But that’s a depressingly low bar for deserving our support.”
Progressive Democrats must oppose “shared sacrifice,” which only makes sense to modern-day Herbert Hoovers, and aggressively articulate the Keynesian “shared prosperity” meme. Otherwise they’ve lost the war and are just ‘begging’ for a kinder/gentler austerity. There’s no such thing.
I agree. There isn’t any tax proposal for hedge funds or corporate jets or whatever that would make it okay or balance hurting everyone else. Its a pernicious concept.
Strongly recommended, btw.
About this — “don’t have the heart, the brains or the imagination to figure out how to make that wealth work fairly for the vast majority of Americans” — I would add or replace the start with “don’t have the want to figure out…”
They don’t want to because their campaign cash doesn’t want them to. Much improved or record profits at the sources of most campaign donations, so why worry about all that “vast majority of Americans” stuff?
Absolutely disgusting when we have American born Corporations, built with the blood & sweat of the American worker and they are hoarding $2Trillion in cash. You would think that these Corporate executives would hold an allegiance to this country. That they would invest in our economy. Not the case. In my book we need to start new small businesses that respect our country and people and throw these big corporations overboard. Let’s see how much they earn from the underpaid Chinese consumer.
Seriously, you need to listen to Rev Al Sharpton on MSNBC right now.
He’s making it clear that there’s a sharp difference between the evil Republicans in Congress and poor, little Obama.
They just keep blocking Obama, who really wants to do the right thing.
Hey, Rev. Forgive me if I barf while you speak.
, U-6 including involuntary part time workers and discouraged workers, rose to 16.2% in June from 15.8% in May. This is 85% below the Bloomberg and Dow Jones average forecasts for over 120,000 jobs
http://www.huffingtonpost.com/max-fraad-wolff/june-jobs-blues_b_893096.html
U-6 is the number we should focus on Unemployment has been going on so long many people ran out of benefits and are not counted others are underemployed or just gave up looking for jobs.
Businesses have right-sized themselves for the economy that exists, and are profitable at that size. They are not hiring because they don’t need more workers. They don’t need more workers because there isn’t any additional demand for their products. There isn’t additional demand because too many people don’t have jobs, and the rest are living paycheck-to-paycheck.
This is not a supply-side problem. It can’t be solved with additional capital, cheap loans, or tax cuts. It’s a demand-side problem. It’s solved by providing jobs for people BEFORE there is a business need to do so. The only entity to do that is the government.
We need 10 million new, permanent, unionized, government jobs; Federal, state, and local.
Yep and he’ll go long with repugs on no fed extensions if you were fired after July 1, 2011. I have a hard time with anyone that might still believe in him. 0/demodogs/repugs just keep killing Main Street and no one goes to jail on ws.
Everything is on schedule, please move along.
that showed unemployment rising to 9.2 percent over 18 months after the recession supposedly ended. He responded by not mentioning that number or grappling with what it means.
How long before we are officially in a double dip recession? Assuming that we ever recovered from the first one I am not sold on the idea the first one ever ended.
I think the wh is right about the double dip idea, we never left the first dip and are still headed down even further.
You’re right
We’ll become the Baltic States/Greece very soon.
The only honest response Mr. Obama could have given would be an admission that his employment recovery plans had failed.
Even good leaders make mistakes Great Leaders admit mistakes and change direction.
Bad Leaders like Bush and Obama never admit mistakes for fear of weakness ( the real weakness is being to weak to admit mistakes in public) and instead double
down on their mistakes.
“If he realized only a few months into his term that the assumptions on which he made fiscal stimulus judgments were far too optimistic, why was there no mid-course correction, no enhanced effort to expand the economy, no major jobs program to relieve the predictable suffering while we recovered from this barely averted depression? Even Mitt Romney can figure that out, and he will by 2012.”
—
That’s absolutely right.
Sharpton is an idiot.
The 2012 elections will be a bloodbath for Obama and the Democrats, not that it matters in terms of policy. We’ll trade out a secret Republican president for a declared Republican president.
The Krugman column was a nice link.
He’ll veto anything less than $2 trillion. Asshole.
Thanks for the laugh and how sad the truth is
I watched the Econ adviser, Gene Sperling, dance around Sharptons efforts last night to clarify whether SS cuts were n the table. Sperling just dodged, never mentioned the COLA issue, and that was enough for Sharpton. Then realizing he’d just blown smoke, he tried to caveat his comments with weasel words. People hear what they want to hear.
That’s his most endearing quality. I also like his hair and snappy clothes.
Sharpton sold out a looooooooong time ago and clearly remains on the “take.” PTOUI!!!!
But Obama has NOT made a mistake. Obama is doing everything according to PLAN. And that plan is going wonderfully well for the upper 1%.
I know that you know this, but it’s about reframing the narrative here. Obama is NOT work for the “average voter;” Obama is working for the rich, powerful and well-connected. From their perspective Obama’s PLAN is going extremely well… just what they ordered.
Sperling defines “hack.”
That proves he’s not a wimp. He’s that bad word you just called him.
I’m not the first to make that observation. It also suggest they should have had a plan B, and warned the public they might need to do more, instead of insisting that they’d done enough and talking about green shoots and recovery summers.
There’s still time for this to turn around a bit before the elections, but they took a terrible risk, not just with their own reelection, but with the economy. Just irresponsible, and it’s not as though no one warned them.
Yep. Absolutely. Citizens long ago started tightening their belts and living within their means. What that means is that money is not flowing.
As you say: businesses have “right-sized” themselves to meet current demands. What’s the point of increasing jobs when there’s no demand for their products? For the libertarians out there, THIS is what happens when the “free market” is left unfettered to do it’s “thing.” There ends up being no demand, and hence, no jobs. Like: duh.
We need a public works program, stat, but I won’t hold my breath.
I vote for “Tea-O-P” over “Tea-GOP”
I don’t think that “G” is needed any more. Nothing “Grand” about what left of the dying carcass of that Party.
You watch Corporate TV ?
Why waste your time….It’s always a DEM vs GOP storyline.1 party good the other bad.We are not being stomped on cuz of just the GOP,the Dems have helped just as much to squelch ordinary Americans on behalf of the wealthy.
who are now sitting on nearly $2 trillion in unspent, uninvested funds.
Interesting this cash is still uninvested why not invest in more outsourcing, or Credit Default Swaps, HedgeFunds, Stocks etc is the largely Unregulated markets to scary to invest in?
The Right should be asking themselves that question.
Obama needs to ask himself why business won’t invest or create jobs $2 trillion is a bunch of cash to sit on for what 2 years now?
Apparently Tax Cuts won’t create new jobs unless there is consumer demand first.
Apparently an unregulated market is too unsafe to invest in after all no consumer demand no expectations your investments will go up and the risk of investing in another Enron, AIG, GE, GM etc is to great remember GM stock holders did not get bailed out.
Nobody wants to invest if they don’t see consumer demand pick up, if they don’t trust the books of the companies they invest in, if they don’t know who or if there will be another bailout.
I think he likes say “trillion.” Turns him on.
He may go even BIGGER: A quadrillion over 20 years.
Would you rather be a millionaire under FDR or a billionaire under Bush/Obama?
With cash invested in real products people buy like under FDR or Credit Default Swaps, Enron, Hedgefunds in other words a house of cards in a wind storm of bad economic news?
The rich are believing their own lies because they can avoid the consequences
of their actions for now.
Having to say my prayers for the tirade I unleashed on Al Sharpton, filling in for Cenk Ugyr on MSNBC. This man has Peter DeFazio on his show to discuss the claptrap in Washington DC. In typical junkyard dog, Obama protectorate fashion, he attacks the progressives for allowing the conversation in Washington to go from jobs to deficits and Social Security and Medicare. Dear brother Al forgets to acknowledge that the person he’s blocking for is the one who’s put Social Security and Medicare on the table for discussion with this “Grand Bargain” talk.
Al questioned Mr. DeFazio, the Black Caucus, and other progressives for failing to get the progressive message out in the ether of the mainstream media, a media that anyone with any intelligence at all understands is hostile to the progressive message. Mr. Sharpton, I have a question for you, who has the biggest megaphone in the world, and who is supposedly a progressive Democratic president, oh, that’s right, Obama. So why are the people in congress, whom the media refuses to cover, expected to carry the banner for progressive America alone, when the president of the US, a Democrat, sounds more and more like the Tea-GOP each and every day. How can anyone expect the Democrats to have a coordinated, strong message on jobs and the protection of social safety net programs when their president mimicks the GOP at every turn.
Maybe if you got your nose out of Obama’s ass, you might actually understand who’s driving this message of austerity, Obama himself. The GOP aren’t doing anything they haven’t done millions of times before, its up to the opposition party, and especially when the party has the White House, to make the counter-argument. In this effort Obama has miserably failed. I would suggest you save your moral outrage for the person who rightly deserves it, the President you think can do no wrong!
Cool Riots!
Dick Daley is his hand-selected chief of staff. Dick Daley is a corporate Fascist, much as is his boss.
What are we expecting at this point?
Zero has no idea of economics or of what to do.
The comment section on the next post is messed up.
Does anyone know why it is so hard to simply add the social security insurance on to all income? Simply add it to all income, earned and unearned. Capital Gains, Hedge fund income, rental income, estates, and incomes $1 Billion dollars income last year. They won’t really notice.
I tell my friends that I would accept a job that paid $1 Million; you can tax it a 75% and I will survive. Obama has a make or break moment coming up. Why does he keep asking for bipartisanship?
The GOP simply does the Governor Christie on him, they always will. .. .agrees with a compromise and then line item vetoes it out of the budget ignoring all previouls agreements.
The current GOP governors show that they don’t like democracy. Ohio, Florida, Wisconsin, Michigan, all prefer an unelected dictatorship.
I really dislike this man.
America is not broke. It has enormous resources. It remains the most fabulously wealthy nation the world has ever known. But our President and his new Tea-GOP negotiating friends don’t have the heart, the brains or the imagination to figure out how to make that wealth work fairly for the vast majority of Americans
Onitgoes does have a point this is going according to plan the GOP, Obama and the Dems want us all poorer and more easy to control we as Scarecrow points out have wealth and options but Obama and the GOP only talk about the one Option that takes our Social Security and Medicare and makes us poorer so I must agree with Onitgoes that this is their plan.
I think that their plan will ultimately make them poorer not richer on that point I think me and Onitgoes disagree.
Does anyone know why it is so hard to simply add the social security insurance on to all income? Simply add it to all income, earned and unearned. Capital Gains, Hedge fund income, rental income, estates, and incomes $1 Billion dollars income last year. They won’t really notice.
Great plan!
I think you focus your anger in the wrong direction. None of these corporations could do the damaging things they do to the American economy via shipping jobs and profits overseas, without the acquiescence of the US Congress and ever president since Ronald Reagan, including Obama. Corporations are simply doing what their charter commands them to do, and that is to make a profit, period. There is no longer a social compact between corporations and the communities they exist in. That got wiped from the economic books with the advent of trickle-down economics, which is all that’s taught in our economics schools. Until we the people understand what the real problem is, and focus our attention, anger, and activism to that problem, we can’t possibly hope anything to change.
What we have is a legalized system of bribery masquerading as campaign donations. The people we elect and send to Congress of both parties have, since the Reagan revolution, sold us out to the highest bidder. Reagan began the free trade mania, Bush 1 continued it, Clinton pushed through a Democratic congress NAFTA and GATT, something Bush 1 coundn’t do. Clinton then proceeded to make matters much worse with the wholesale handing over the media to big business, the de-regulation of the financial sector, and other legislative actions such as de-regulating the CFTC and SEC, and defanging them, and other disastrous policies.
We need to stop romanticizing about the Democrats or the Republicans being “my party”, and realize they are simply two sides of one coin. They are bought and paid for period. We put men and women on the street in jail everyday in this country for doing what our politicians do legally everyday at the federal, state, city, and local levels; prostitution.
Until the people wake the hell up and face reality as it really is, and then act on that reality, we’ll continue to see wealth aggregate to the top, more poverty, less jobs, lower wages, a continued failing healthcare and educational system, more wars, etc. The rich doesn’t need the social systems to succeed, so they feel they shouldn’t have to contribute to them. Unfortunately, our politicians are legislating on that principle, ergo, Obama puts Medicare, Medicaid, and Social Security on the table, with Social Security having nothing whatsoever to do with the deficit.
WAKE UP PEOPLE!!!!!!!!
Yes. No shared sacrifice. The fact is that the vast majority of the people have been sacrificing for years now, really since the 1970s, when wages began to flatline and the gains from productive increases all shifted to the wealthy.
Sharpton is sitting on MSNBC right now because he’s a useful idiot, he’s the protectorate for Obama with the black community, a community I belong to. He’s used to attack other black leaders who dare to call Obama to task for his failures. Don’t know if many of you know this, but he attacked Cornell West viciously on MSNBC when West stated a truism, that Obama was too inservice to the plutocrats and oligarchs who run our country. Anyone have any doubts about that now. If you do, you need to put down that damned glass of kool-aid, sober up, and face reality.
Oh, come on, Scarecrow. You know that statement was not for the unemployed. It was to “steady the markets”.
As the virus of the Chicago school. Obama has one bad case of Friedmanitis.
Econ adviser, Gene Sperling,????
a kid from a “comfortable” background who became a lawyer that specializes in giving away the store to the GOP to get deals – even praises himself for his ability to get those Congressional deals-
and this is an economic advisor to Obama? – May the Good Lord help us.
Assuming that the “Grand Bargain” deal goes through, you know who the elected officials are who will benefit by it the most?
The Tea Party R’s in the House who vote against it. (And maybe a few GOP Senators who do the same. Jim DeMint, for example.) And why?
Because those Tea-O-Pers will be able to say that they voted against the debt limit (a Tea Party article of faith) AND they voted against cuts in SS and Medicare.
We are through the looking glass here, folks.
love your comments mad p – spot on
I decided awhile ago that I would never vote for Obama again. The thing that really gets me though is hoping I’ll be able to vote at all–a third party or independent candidate—someplace to put my vote.
Otherwise, it feels as if I’ve even lost that.
I don’t even care if it’s someone with no chance of winning–I just want some place to put my vote that tells the two corporate parties to go to hell.
Sad, and pathetic, I know.
But that’s all that’s left–giving them the finger as they burn the country.
But today’s rich can always count on being bailed out of their mistakes and folly.
See, for example, AIG + all the banks & hedge funds.
But if you, Mr. or Ms. Citizen bought a too-expensive house, well, too bad for you.
And then there was that little problem of the WH calling those who did espouse a progressive message “fucking retards.”
That really made people want to go out and wave the progressive banner.
Cornell West has not much face time lately.
NO PURCHASES OF NIKE PLEASE.
This company rehired MICHAEL VICK, the sadistic sociopath who decimated pit bull dogs with his illegal, immoral dog fighting ring.
PROTEST AGAINST NILE
NIKE is bad for DOGS…hired MCHAEL VICK …a sadistic sociopath who decimated pit bull dogs via his illegal, immoral dog fighting ring.
PLEASE DO NOT PUCHASE ANY NIKE PRODUCTS
Cutting Medicare, Medicaid and Social Security will only increase unemployment by making fewer dollars available to spend. And, these are areas where people actually spend versus sending the money offshore to collect interest in a foreign bank. Hello, Downward Spiral.
We don’t need no stinkin’ government jobs…that is the problem not the solution. We need to breed new industry, new technology, rebuild our infrastructure. What do people not get about all of our manufacturing going overseas and our intellectual property being sold out from under us. What happened to our textile industry, paper mills, shoe factories, steel mills, auto industry, aircraft industry, tools, machines, electronics, ship building, or even manufacturing something as simple as a light bulb or a band aid. Gone! Over the next 2 years the biggest job sector will be cashiers, waitresses, and retail sales. Taking cash from folks buying foreign goods and selling Chinese junk is what it amounts to. One thing that hasn’t been stolen from us is our ability to imagine and innovate. We need to engineer nano-materials for energy efficient construction, smart technology, smart appliances, quantum computers. We need to re-establish our steel industry, paper mills, textile and clothing manufacturing, machines and everything else under the sun. You may think businesses have right sized themselves, but if nothing changes they will downsize themselves out of existence. Without good private sector jobs, where will the government get revenue. It won’t. Result the pickle we are in will get bigger and eventually we will dissolve. Government is the problem not the solution.
I agree with everything you say, except that Corporations that originated in America should have an allegiance to America. They don’t want any government intervention. If all they want is profit then all they are capable of is greed. There was a time when corporations had principles and it was the due respect that they garnered that made them great. They treated their employees well, took pride in quality, because it was the employees that made the Corporation that translated into profit. Now they would rather manufacture junk with cheap labor and exploit the system for profit. It won’t last.
Time is almost out here. Wer’e at the eleventh hour and if the debt ceiling gets raised, then there needs to be an economic package. It needs to get passed before November because it will take 7 or 8 months minimum to have any effect. If the economy isn’t ramping up by next summer, it’s over.
Solution?…blah,blah,blah, same old neo-liberal bulls–t.
Absolutely, boycott Nike.
Nike now stands for animal-torture.
What a slap in the face to promote
the animal-torturer Vick.
Horrid stuff.
Many of you are stating the exact argument that Based made. He ran too soon. We weren’t ready for his message. We weren’t ready to give up the idea that send and republicans were owned by corporate interests. Sure, bush got in and maybe Nader didn’t help Gore. But people we need a Nader Now!
Auto correct suck!….same argument that Nader made.
When was there ever a “social compact” between corporations and the communities they exist in?
What foreign bank is actually paying interest these days?
nader can’t get elected, his appeal is simply not broad enough. We shouldn’t throw it all away on a completely unelectable candidate. That’s a guaranteed loss.
Hold on a second, has Vick not paid his debt to society? What happened to rehabilitation, no one is beyond redemption, all that stuff. Was it all just bull?
Here’s a way to do something about it
http://www.dailyiowan.com/2011/06/28/Metro/23895.html
and
https://newprogs.org/contact-iowa-uncommitted-campaign
I’ll take sanctimonious idealists with drug addiction issues.
Obama has only corporate CEO’s, hacks, shills, failed economists, and lobbyist suck ups around him. It’s pathetic. Obama no doubt “You da Man”.