I just caught the below link from "The Kansas City Star". Estimates from Federal Reserve Chairman, Ben Bernanke, are that 700,000 jobs would be created from the 600 billion economic aid program. 700,000 new jobs over a 2 year period doesn't sound very impressive. The USA economy was losing that many jobs, or more, ever month in the worst of the financial crisis. Doing the math would be $600,000,000,000 / 700,000 jobs or $857,142.86 per job. LOL
I know putting a man to work requires much more expense than just the paycheck. The new man must be provided land, building, plant, equipment, management, clerical, logistical, and other kinds of support, if he is to be productive, but . . . damn! Well, job creation is really just one facet of the plan, which also includes financing Uncle Sam as the Federal Reserve creates money out of thin air to buy USA Treasury Bonds, and keeping the stock, bond, and real estate markets going by putting a lid on interest rates. It took years for the Fed's rates to come down to near zero, usually at a rate of 1/4 of one percent each quarter, so I hope conditions allow for interest rate to go back up over a correspondingly long period of time, which would be required to let things unwind in an orderly fashion. That would require inflation to be kept under control, and I have yet to meet the man that has master that beast. #-------------------------- Bernanke: Bond-buying plan could create 700,000 jobs WASHINGTON: Federal Reserve Chairman Ben Bernanke told lawmakers on Capitol Hill that the Fed’s $600 billion economic aid program could create 700,000 jobs over two years. Bernanke made the comments during a private meeting Wednesday with members of the Senate Banking Committee, according to Republican Sen. Richard Shelby of Alabama and others who attended. Bernanke was citing research by the Federal Reserve Bank of Boston. The Fed announced on Nov. 3 that it would buy $600 billion worth of Treasury bonds over eight months. The Fed hopes to make loans cheaper and get Americans to spend more, which would rejuvenate the economy and help reduce unemployment. http://www.kansascity.com/2010/11/17/2446577/bernanke-bond-buying-plan-could.html #----------------------------- Regards, LelandJ _______________________________________________ Post Messages to: [email protected] Subscription Maintenance: http://leafe.com/mailman/listinfo/profox OT-free version of this list: http://leafe.com/mailman/listinfo/profoxtech Searchable Archive: http://leafe.com/archives/search/profox This message: http://leafe.com/archives/byMID/profox/[email protected] ** All postings, unless explicitly stated otherwise, are the opinions of the author, and do not constitute legal or medical advice. This statement is added to the messages for those lawyers who are too stupid to see the obvious.
