Will more stimulus stimulate the economy?
New signs the jobs market is still struggling
- Duration 7:40
- Date Jul 21, 2012
New signs the jobs market is still struggling
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New signs the job market is still struggle playing out new calls from the White House pushing that keep some -- allowing.
President Obama proposing one billion dollars for science and math teachers.
This on top of the two point seven trillion dollars of government authorities spent so far this year.
So will more stimulus.
Stimulate the economy.
Or sink the job market even more hi everyone I'm Brenda but -- this is Bulls and -- and here they are.
Bulls and Bears this week we've got -- beats net.
Tobin Smith Jonas Max Ferris along with a Larry Glazer and Margie Romero thank you and welcome to everybody.
Larry doesn't Connie we need more stimulus to get jobs back.
Brenda well we learn our lesson that despite countless -- -- For the government to stimulate the economy we've seen little in the way of results the live -- could literally littered with examples of failed government expenditures.
And it's taking us further and further into debt.
But we have.
Still anger that's 500 million dollars that have been spent on education discouraging that besides initiatives.
We have evidence we have beacon power we have average selling their masters -- this is wasteful spending.
This is not solving the problem even have best venture capitalist countries know they have a look -- that's right.
These expenditures were doomed but.
Start marking it hasn't just been as spending on on green initiative so far -- There's been much much as spending on quote -- stimulating the economy infrastructure job is evident success tour and and will this one being.
Well the first -- and 28 straight months of private sector job growth and where you've seen job shrinkage is that the public -- is in the public sector.
And it is a really great steady -- compared states that.
Increase it their investment in the public sector vs states that.
And it's -- -- increase funding.
Had lower unemployment rates had more jobs better economies they were rebounding more quickly than the states that held back that's a steady up here right now.
What's going on in states around the country and so we apply that nationwide.
Says say that by not investing in science and education were somehow gonna create jobs.
But it doesn't make sense and I had another point is that polls -- that people actually support this kind of measure -- -- polls recently that showed.
A majority would prefer that we invest in science education so we can stay competitive well but at cost right Gary.
Why exactly I mean arguing against invested -- -- and sciences like arguing.
You know against apple -- but I'm going to do it with a few facts since 1970.
Public sector and broad public education.
Has increase a 100%.
-- in that same time since 1970 student enrollment has increased eight.
Point 5% so that -- -- are outnumbering the students.
Eleven -- that same time which would probably could we all love that if we have the smartest brightest kids on the -- But test score after test score result -- -- result says since 1970.
Our test scores have stagnated.
Graduation plus RR rates have stagnated.
So all is great money that Marge -- talking about investing in science education has gotten us zero.
Well -- and is.
This all that important -- compared to say tax cuts I mean this kind of spending when you're looking at that the overall deficit trillion.
Now I think we're forgetting what caused the bigger gaps this year that we're also from Obama brought by and large but we're not these little you know solar yet they're wasting money is no question about it -- bought.
All of them combined don't out of to just apparel tax cut that's not a seven billion dollars that -- -- people in -- that we don't have the -- for the just deficit spending.
It's more than all his little pet projects to get through and the ones that are proposed combined.
It's gonna have to be closed at some point I will say.
At this point the government's -- such a low rate that we have a little wiggle room -- in Greece or Italy right now.
21 these -- -- -- -- -- a plan to close them over the next say five years not overnight look like we're right and right now but we we can't -- forever but it is a stimulus program it's largely from tax cuts.
And increased spending and it's gotta be close on both sides not just give her a few solar loans we'll talk is just sinking us deeper in debt I -- how successful has stimulus been so far in and creating jobs.
Well you know I made obvious mark -- here's the map if were borrowed a 192.
Or cement for to have billion dollars -- -- and that we're funding things like and I quote I have to read this one.
Our university in New York received 389000.
To pay a hundred residents of buffalo to find out how much malt liquor they drank -- -- It's yeah.
That answer that right decisions and saying.
But but multiply that 500 and a thousand in stimulus really was -- well it would have work it clearly didn't work.
And the main reason it didn't work is it for every good dollar the perhaps what the something that was worthwhile we spent literally eight or nine dollars that we borrowed that did nothing and went to these frivolous things well so with the governments involved of course it really a lot more the frivolous things -- -- Garrett Bret -- And -- and I wanna go to right.
But today the question and you that you just asked that has stimulus gotten any us anywhere we have so far since stimulus plan affect about February 2009 spent almost.
Three quarters of a trillion dollars of the money.
Back in February 2009 the unemployment rate was eight point 2%.
Right now it's eight point 2% so if we didn't spend all that money we don't we have gotten that that this admit among the same -- so that's almost a trillion dollars that we wasted and -- -- lose to put us further into debt.
-- -- -- -- Well I say a couple things first of all and it it.
That is -- failed policies that got us in this mess in the first place and to say that.
You know 28 straight that's a private sector job growth -- -- now a sign and we need to go back to the policies of 2000 seven's nobody sitting out yeah.
-- -- Store N Paris I'm sorry there announcers saying -- -- is saying -- clearly what we've done is now working at it what we're doing is trying to reverse what was happening before.
And I just wanted to go back to that content -- -- the second.
This new company that came out the energy loan.
Now and that.
The firm got more money under the Bush Administration any upon mr.
excel I don't English it's high that insane -- anybody -- -- -- -- now -- that's picture we're not talking so much about.
Obama vs bush at this point we're just talking about spending and and stimulating the job mark.
Well that's a euphemism of investment remembers stuff that would when we -- -- we put 370 billion dollars to keep firemen and teachers on -- payroll well let's call that what that was that was a bail out of the state that wasn't an investment we've we've we've just could misconstrue the whole concept.
The really -- we're talk about as we just aren't getting a bang for the buck.
And that's clear I think he has you're underestimating how you can wasteful spending could help in a recession and I'm not saying the government should play venture capital I think it's a bad idea.
But the economy doesn't know whether a -- Apple's makes a bad -- -- web banner -- dot com or the government throws late father and my dollars and solar company.
Those companies are still -- people in the short run and buying computers and -- All right John does not -- morally it's all right I'm dissing -- because I wanted to integrate with -- show.
Outlets in the short -- doesn't matter let's -- every -- yeah.
We just have a helicopter drop the money all over the country but you're definitely -- -- brilliant -- -- I.
When you borrow money.
The Chinese and get it I don't that could you can't afford even dad dropping money and everybody doorstep from a helicopter essentially and I -- integrity efficiency is back SMS in public education campaign and how coming -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --