High Unemployment? Blame Government Cuts

There are people who like to blame Obama's policies for the high unemployment rate. They say it is bad for business. If you look at the past year you will see a different story.

Mining +86,000

Manufacturing +158,000

Leisure and Hospitality +220,000

Trade, transportation and ultilities +288,000

Education and Health +445,000

Professional and Business Services +520,000

All others with minor changes +36,000 (total)

Total private change: +1,753,000

There are two reasons why it hasn't been any easier to get a job

1) Discouraged workers have reentered the market

2) Local, State and Federal Government workers -873,000

Accounting for government cuts, the economy only added 900,000 jobs. Thanks to government cuts, the net creation has been almost halved. If those 873,000 weren't cut, there would be that many more openings for the 14.8 million unemployed Americans. If it weren't for these cuts, the unemployment rate would be 8.6%.

Summary: The private sector is getting bigger, but the public sector is offsetting that by shrinking.

Source: ftp://ftp.bls.gov/pub/suppl/empsit.ceseeb1.txt