Just in time for Barack Obama′s big jobs speech tonight, new jobless claims for last week rose to 414,000, ′unexpectedly′, by the usual gang of white-shoed, Ivy League economists. They had predicted jobless claims to fall to 405,000. But not so! The rolling average for the past four weeks has now also increased from 411,000 new jobless claims to 414,500 per week. More bad news if your name is Barack Obama, or if you are a Keynesian economist like Paul ′Enron′ Klugman.
So the stage is set for the big joint session of Congress speech where Obama will attempt to lay out some sort of plan he has for job creation. In the past 24 hours, the leaks seem to be hinting that he will ask Congress to spend $400 Billion dollars, up from $300 Billion the day before. About $170 Billion consist of tax breaks, such as extending the payroll tax holiday another year. Obama will also ask for unemployment benefits to be extended from 99 weeks to 113 weeks, which generally only applies to laid off union workers.
Let us not forget those shovel-ready infrastructure jobs! Obama wants more of those, too, in his alleged plan. Basically, the whole thing is Stimulus Part Two. However, Nancy Pelosi and fellow Democrats are refraining from using the word stimulus because it is too stimulating. The very thought of wasting more money in this fashion raises the ire of the average American and provokes Tea Party members to hit the streets to protest.
Nancy Pelosi is now also upset that the Republicans will not offer a rebuttal following Obama′s speech tonight. She claims that this proves that the GOP does not care about job creation. But what it really does is minimizes the Obama speech. Obama wanted the joint session of Congress venue to make this speech appear to be important. Since we all know that it is not, the Republicans are acting rationally and responsibly in not giving Obama the recognition he craves. Most of us see through Obama′s scheme and know that what tonight′s speech is really mere political theater. He will lectured the Congress, namely the Republicans, while his own party cheers and applauds.
The first stimulus did not work in 2009 and neither will this one. That new jobless claims rose, ′unexpectedly′, to 414,000 last week is yet another sign of the economy slowing. Bad enough that there were ZERO net jobs created in August. Yes, the policies of Barack Obama have all failed. He has now even failed to think of any new ideas for job creation. So brew that coffee extra strong this evening, because Obama will be especially boring and dull tonight.