As of now, I am in control here, in the White House

Obamanomics: More Mediocre Job Growth

The economy added 155,000 jobs last month, about the amount needed to keep pace with population growth and too few to bring down the unemployment rate, which was revised upward to 7.8 percent in November and pegged at the same level for December.

What does this mean? Four years into the Obama presidency, the economy is not producing enough jobs to even come close to gaining back the millions that have been lost since 2008.

Welcome to the new normal: crummy GDP growth, and high unemployment.

And in the short term, it’s more likely to get worse than better. You, for example, will be spending a bit less since your taxes just went up : As of New Year’s, the Social Security rate returned to 6.2 percent from 4.2 percent.

And gosh, those rich people whose rates rose to 39.6 percent might just decide to cancel their daughter’s piano lessons. That is, they’ll be participating a little less in the economy too. Believe it or not, Mr. President, they have a lot of money, but not unlimited money.

If President Obama gets his way, more tax increases are coming. And spending cuts needed to avoid Fiscal Cliff Part 2 in a couple of months will also take a morsel out of economic growth.

It’s hard to keep the American entrepreneurial spirit down, but this president is succeeding where all since Jimmy Carter have failed.

38 Responses to Obamanomics: More Mediocre Job Growth

    • I hate that expression too, but I think it is not intended just for the next four years but for a very long term, maybe forever. As the SwedishLady wrote me here, it has taken Sweden decades to come out of the welfare state of the 70s. “New normal” implies that long-term, wide-spread unemployment is here to stay. Frankly, if we don’t bring back a production economy, we’re doomed, and even if four years from now, there is a turn of the wheel, it will take a long, long time to reestablish manufacturing jobs.

      • If he wants to redistribute and is always boohooing over kids like his–stay home, let the servants wait on you, and give the money to little kids with cancer or something. I understand for the Inauguration (sorry to bring THAT up), there will be an emphasis on service–by everyone but him, of course.

  1. And I’d say most of those 155,000 jobs were temp holiday staff….we’ll probably see the unemployment rate go up the next couple of months if they don’t fudge the numbers….the election is over so I’m betting the numbers will be closer to the truth (if that’s possible).

  2. I believe that is Barry’s purpose – get use to this ‘new norm’ of high entitlements, high unemployment…

    I had to refinance my land with a 5/20 commercial land loan. In 5 years when the bank readjusts our rates I am worried to think how high they will be….I figure high interest rates are next.

    • Congrats on getting any loan, no matter how good the collateral.
      I doubt the interest rates will be much higher for a long time.

      Curious, you don’t have to reply; what do you do on your land or what do you plan to do?
      I know you’re investing in the future and I applaud your efforts.

  3. Speaking of Media-ocre (notice the subtle play on words) I’ve only read in a few places about the two “Al’s” …Gore and Jeezera. Time Warner will not carry “current tv” or any manifestation of it. They deserve a round of applause for their decision. Time to pressure the other cable providers to do likewise.

  4. I’ve been listening to the fiscal cliff talk for months and kept talking to my husband about what I thought the Republicans should do or not do. It was all just theory and conjecture until I read this article. I’ve been out of the news loop for a while because of the holidays but just sat down to do the bills. I took a calculator to the tax and SS increase and my jaw dropped. How will people, especially those living hand to mouth, be able to make do with less?

    Even if my husband does get a raise this year-which is iffy because of the economy- we will only break even at best and still have to pay more for everything.

  5. I heard some on FOX say it is keeping up with new entries into the workforce. What about the 14 million others that can’t find jobs or quit looking is my question?! What a stupid remark!