Friday, August 26, 2011

MOVING THE ECONOMY FORWARD.

President Barack Obama's new job creation policy should be straight forward in dealing with the main problem; namely, unemployment.

He must have the advice of both labor and industry, and then combine that with what his experts on employment would suggest, in order to make the policy to be generally acceptable. Pleasing one side alone, be it labor or industry, would not "cut the mustard".

The economy must start to grow more faster, and the issue of unemployment should be the ultimate factor, which should get his attention, instead of any other related problem, such as the mortgage and foreclosure epidemic.

It could be tackled too, but with people having the chance to work and earning sufficient income, they would tend to pay their mortgages and the rent. Foreclosures would then, directly or indirectly, slow down.

Finding jobs for the out of work population would be the driving force behind the coming presidential election, as every candidate on the Republican side claimed to have a more specialized handle on job creation.

One of them even has the "corner on the market", when it came to job creation; and he has vowed on so many occasions that he has the numbers to prove it, and that he could do it again. That, incidentally, was Gov. Rick Perry of Texas.

However, making assertions alone was not significant; for actions must speak louder than words. That would be the only way out for the present crippled U.S. economy; and every candidate has equal right to undertake that responsibility, if he or she was given the privilege.

What was going on with the stock market going up and down should not be a gauge for straightening out the economy, although the market's activities played an important role in offering an assurance of a healthy financial state of affairs.

However, the idea that everything that was happening on Wall Street affected the direction of the economy was not always correct. Corporations and big companies had all kinds and different sets of rules to adhere to, and that made them to be independent entities to a large extent.

The economy would always connect with people having money and spending it on essential consumer goods; building up confidence in the market place, and thus creating an atmosphere of supply and demand, for manufacturers and other investors to gain profits on their investments.

AFL/CIO President Richard Trumka was urging President Obama to "put forth 'bold solutions' to the nation's unemployment crisis,"; when the president announced his new approach to the problem in his September proposals.

He (Trumka) could have his say; yet, it must not be that he should influence the president to favor the labor sector and the middle class working people over the business and private sectors.

The proposals must be balanced to suit the needs of all sections of society, so that there would not be gridlocks in getting the economy back on track in Washington D.C. Something that has caused several CEOs to sign a document to withhold political contributions, until such time that the attitudes of politicians changed and made Congress a place for the "meeting of the minds", as it should be.

It (Congress) has been a cockpit of some sorts lately, during the debt ceiling and deficit reduction debates; as its members have forced the nation to deal with so much aggravation, and thus causing the performance approval rating of both Chambers to deteriorate to a mere 14%, respectively.

If the president was going to achieve any amount of success in improving the state of the economy, he should not only listen to his base, but to both sides of the isle. His own approval rating, which was 39%, the lowest he has ever had, would surely go up, to give him the opportunity to win his reelection bid.

He must be aware that the others were not far behind with their own comparable plans; and therefore he must produce a working one that could speedily move the country forward economically, of course.

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