Here we go again! The March jobs report numbers are out and Barack Obama is attempting to exploit them for all that they are worth, which is very little. The national average unemployment rate was officially lowered from 8.3% down to 8.2%, which those in the White House will claim is a good sign that the Obama agenda is working. But only about 120,000 new jobs were created in March 2012, about half of what was expected by economists of the Keynesian stripe. Once again, the Obama administration is playing fats and loose with the numbers, arbitrarily shrinking the work force pool to give the illusion that the economy is doing better. But, as explained many times before here, the true unemployment rate did not go down, but actually increased in March. In February, if you took into consideration the work force pool of January 2009, the national average unemployment rate would have been 10.7%, not 8.3%. Likewise, the March jobs report would show the true unemployment rate at 10.9%, not 8.2%.
Barack Obama is running out of time for the economy to improve. His stimulus programs were a failure. His inability to get a budget passed has led to the fastest rate of increase to the National Debt in American history other than WW2. We have gone from a nation whose Debt went from 75% of GDP at the start of 2009 to 100% as of a few weeks ago. The credit ratings agency Egan-Jones has downgraded U.S. Treasury bonds a second time from AA+ to AA as they are predicting the ratio of Debt rising to 115% of GDP by January 2013.
In other words, there never was a ′Recovery Summer′, nor a recovery winter, spring or fall. The fundamental problems with our economy, namely the depressed housing market, a corrupt financial system and an ever expanding federal spending spree are actually pushing America to an even greater downturn very soon. We have seen this story before. FDR tried to spend his way out of the Great Depression in the 1930s and only made it worse. Like FDR, Obama faces reelection under similar conditions, such as an unemployment rate well above 8%. More than 12.7 million Americans have no job at all and another 14.5 million are under-employed.
So who does Barack Obama blame? The House Republicans, of course! They are standing in his way of launching a new round of stimulus spending. The real culprit in why the economy is not improving is too much government intervention, not a lack of it. Over regulation, the looming threat the new health care law, a faulty energy policy and complete lack of fiscal responsibility has created an economic environment of uncertainty and fear. Should Obama be reelected, we can expect the economy to totally tank, driving our nation off an economic cliff. By 2016, we could easily expect to see the National Debt be around 155% of GDP, if not worse, and the unemployment rate rising from 10.9%, despite the phony numbers of the March Jobs Report, to well over 15%. We will go from nearly one-fourth of the country′s adult population being either unemployed or under-employed to about one-third.