(ThyBlackMan.com) We knew this day would come, when the Biden administration would have to tell the truth or justify a LIE about our unemployment rates. Former Presidents Bill Clinton, and Barack Obama must have also known, this day would come, as it was their administrations, who started and promoted the scam of undercounting our Job rates. The scam started under the Clinton administration. Nevertheless, former President Barack Obama’s administration, when they could have ended it, continued the vile policy, hurting working-class Americans, everywhere.
Rep. Hakeem Jeffries, Minority Party Leader of the Democratic Party knew this day would come. Now, he and the Democratic Party – have to fall in line behind Biden (party over the best interest of people) – and also publicly justify the LIE of undercounting our Job rates, no matter how high the REAL rate gets and as a recession looms. The ploy of undercounting jobless American workers, started with Democrats back in 1994. At the time, some recognizable names, Congressional Black Caucus (CBC) members currently sitting in Congress today, were in Congress, when the scam started, also knew this day would come. They are, Delegate Eleanor Holmes Norton, Representatives Maxime Waters, Sanford Bishop, James Clyburn, Bobby Scott, and Bennie Thompson. Whether it’s a Biden LIE, or a Trump LIE, “terrible, and unjust people are we, if we continue to promote lies.”
Biden and the Democratic Party are determined to undercount our Job rates, with the collaboration of Chairman Rep. Steven Horsford of Nevada, and the Congressional Black Caucus, as illustrated by their indifference and silence. And the Federal Reserve (Fed) is determined to crush inflation. Crushing inflation will lead to an increase in unemployment and based on the Fed’s own projections, an estimated 2 million American workers will face layoffs, by December, as our unemployment rate rises.
The Biden-Harris administration will LIE about those layoffs, through the policy of undercounting our Job rates. The real unemployment rate according to economists for June is 6.9% – the U-6 category rate, taken from the Table of Alternative Measures of Labor Underutilization. Biden’s 3.6% rate is 3.3% lower than the real rate of Unemployment of 6.9%. The category, from which he pulled the 3.6% rate, U-3, was “never meant to be comprehensive of our Job situation,” because it measures a smaller worker group and as a result will always flash a low Job rate number.
So, I ask you, what happens to that 3.3% of unemployed American workers he does not recognize, in his count? Do they magically disappear? Of course not! If you low-ball, or undercount laid-off workers, with a job rate lower (Biden’s 3.6%) than the real rate (6.9%), Biden has willfully, counted only 52% of the unemployed and underemployed working-class Americans, professional and blue-collar, leaving 48% uncounted and to fend for themselves. Officially, they will never be a part of any legislative actions and discussions, when it comes to our unemployment situation. On paper, they literally don’t exist.
David Brooks, opinion columnist for the New York Times weighed in about Job rates in a piece titled “Why Biden Isn’t Getting the Credit He Deserves, dated 6/29/2023. Joe Scarborough of MSNBC discussed the piece on his show.
“The misery index is a crude but effective way to measure the health of the economy,” says Brooks in the article. You add up the inflation rate and the unemployment rate. If you’re a president running for re-election, you want that number to be as low as possible. When Ronald Reagan won re-election, it was about 11.4, when George W. Bush did so it was 9, for Barack Obama it was 9.5, and today, as Joe Biden runs for re-election, it’s only 7.7.”
“Why Biden Isn’t Getting the Credit He Deserves,” Brooks ask? Maybe, it is because Biden’s real misery index is actually 10.7, not 7.7, (adding the inflation rate of 4.0%, and the REAL May unemployment rate of 6.7%, at the time of the article, equals 10.7). Additionally, Biden LIES about our Job rates, with the support of the mainstream media. In that article and the ensuing discussion, the New York Times and Joe Scarborough, openly and unapologetically promoted the false narrative of Mr. Biden, and the Democratic Party, as they implied our Job rate was 3.7%, and that was not true. Some VOTERS know this, and the ones who don’t, will come to understand, soon enough, Democrats are lying, when they say, they are on the side of working-class Americans. You don’t undercount working-class Americans Job rates, and layoffs, if you truthfully support American workers.
Be that as it may, these figures also show, there was no reason for Democrats to rig the system. Biden’s and Democrats’ numbers aren’t bad compared to other presidents, even when it comes to the 10.7 misery index rate. So, the Democratic Party can really say out loud, what everyone is thinking, the REAL June unemployment rate is 6.9%. The real economy is calling for a Consumer Tax Cut, to pull us out of our third RECESSION in 15 years once the Fed stops hiking interest rates. The justification for such a tax cut requires Biden, and Democrats to, drop the scam or LIE about our Job rates. The truth is always salvageable, but in today’s political climate, mustering the courage to salvage it, has become challenging, for a lot of us.
Covid 19 taught us how to grow Jobs through Consumer Spending, which really can be controlled to produce maximum Job Creation without creating a Recession. WE have found the engine, to grow Jobs, which is Consumer Spending. This was discovered, due to the pandemic. WE also know how to support and modulate Consumer Spending, and that’s through a Direct Consumer Tax Cut.
Politicians disguised our Consumer Tax Cuts through misinformation. They called our tax cuts, stimulus payments, and tax credits. The end result is they took money from the U. S. Treasury and gave it to us, “consumers.” They gave money “directly,” to us, and we spent it, and created growth and Jobs. The numbers don’t lie. Under the Families with Children tax cut, which stood out; they gave this group of consumers money based on how many children they had. The IRS counted the children, and a check was cut, or money was deposited in their bank accounts based on the number of children, and how much each child gets. It amounted to $529 million a day. This may have been too much, and as far as Republicans were concerned, it was given to the wrong group of consumers, also.
Nevertheless, Jobs were created as this consumer group spent the money and expanded the economy. Here are the numbers. 1.091 million JOBS were created in July 2021 at the beginning of the tax cut, 483,000, in August, (in spite of the onset of the Delta variant), and 379,000 JOBS, in September during the peak of the variant. The tax cut ended December 31st. Common sense dictates this could work just as well, with another homogeneous group of consumers, assuaging the Republicans concerns about Families with Children, as tax cut recipients.
The age group, beginning at 55 plus years, are currently responsible for approximately 40% of consumer spending in our economy. Baby Boomers are the largest homogeneous population, within that group of consumers, and would be the more logical and, idea tax cut recipients. A 10%, $25,000 Baby Boomers’ Consumer Tax Cut, which will drop approximately $254,000,000 a day into our economy, is half of the $529 million a day Families with Children Tax Cut. The Boomers’ Consumer Tax Cut was designed to begin in 2021. Because of that start date, the Biden-Harris administration can exercise some flexibility in its introduction, depending on how deep our coming Recession will be, and the actual number of layoffs, “including that 48 percent, we talked about earlier, which Biden and Democrats dismiss.”
Staff Writer; James Davis
Mr. Davis is a Financial Analyst. His articles are about relating facts in a usable, truthful, and understandable way. That way, WE ALL WIN. James is, the author of three books, among them, “The Fix This Time,” Boost Your Retirement Income! Simultaneously Create Jobs and Spur Economic Growth (https://www.amazon.com/dp/B00MI3PD2M). Reach out to James @ his blog https://thefixthistime.com.
Question? Comment? One may use this email address; MrDavis@ThyBlackMan.com.