Jobs-jobs-jobs or producer-profit-GDP? UPDATED

From Credit Writedowns, an interesting article that helps to articulate the powerlessness of this  administration turning the tide on any output/product/profit generating employment in the US.  While the Voldemort bill supposedly adds 400,000 jobs in the form of technocrats and enforcers – it doesn’t add any jobs that *produce* goods or services for sale. Those jobs – which are critical to turning the tide on GDP, trade balance, etc are in the middle of a ‘structural change’. What we are experiencing – that won’t go away by November 2010:

Right now, ‘structural’ unemployment is higher because of recalculation – the restructuring of our society’s industrial organization.

Unemployment will stay higher for longer because the misallocation of resources in the boom was so large. When economists let Bernanke and Greenspan off easy for recklessly low interest rates, they are missing the effect this policy has on the internal organization of capital and labor within our society. People built lives around and started careers because of the boom in real estate over the last decade. Now, that’s all gone bust – and those people need to re-tool and find a job somewhere else.  Some of them will never re-attain their previous earnings power. Many will be unemployed for years.

Indeed – home sales slipped AGAIN ! UPDATED Per Hot Air – at least they stopped saying “UNEXPECTEDLY!” Really, if this is structural unemployment we MIGHT tip the scales on unemployment with government jobs but we can’t rebalance trade, have more PRODUCERS of profits than cuts on profits, and increase GDP….

And if the next policy that the House intends to “Ram through” before November is immigration reform – it is possible unemployment gets worse – particularly for racial minorities. This isn’t a case of paranoid poor whites being afraid of losing their jobs – the losers could be other minorities. And the Congressional Black Caucus wants more of it…

Washington Times: The CBC also has been front and center in the effort to enact amnesty for millions of illegal aliens and throw open the doors to still higher levels of future immigration. Late last year, representing her 42 colleagues, Rep. Yvette D. Clark, New York Democrat, whip of the CBC, stood shoulder to shoulder with Rep. Luis V. Gutierrez, Illinois Democrat, as he unveiled an illegal alien amnesty bill that would provide nothing for black Americans except more competition for jobs, educational opportunities and increasingly scarce government resources

It certainly seems that much of the progressive movement has lost sight of the end state & are simply trying to maintain the ride  they’re on for as long as possible. UPDATED: It ceased to be improving the result/product/situation for their current base – it’s about getting more of a base, the heck with improving results for their existing base…The teacher’s unions use their voting block to prevent education competition and reform that they do not design themselves – yet our kids continue to fall behind in the world. Our education spending has risen year on year – but what % of those $ directly go to benefit students diverse learning needs?

The Manfacturing unions try to get more for themselves at the expense of the product – yet sales of the product are what fund salaries of union members which then fund their union dues. No product, no sale, no salary, no dues….

The equation isn’t adding up to a fix on employment in the next 6 months – the possibility of a Great Recession bounce, like what FDR policies caused – is getting bigger as the outcome of these  policies combine into a perfect storm. William Jacobson at Legal Insurrection notes PIMCO saying the same.  Will the US population be content, or rebellious? UPDATE:  Pirate’s Cove has one answer for why pyramid schemes continue to work and people keep playing the lottery to save for retirement…. definitely not rebellion here. UPDATE: TARP IG getting into the fun…when was the last time we saw government intervention EXTENDING a financial downturn? Oh, yeah. That’d be FDR….