Biden’s Jobs Plan: More Government Jobs Won’t Fix the Economy, by Gary Galles

Most government jobs subtract from economic well-being, the jobholder receives pay greater than economic output. Some government jobs, like tax collectors and regulators, actually reduce economic output. From Gary Galles at mises.org:

It seems that every time something adverse happens in the labor market, it restarts the partisan battle between those currently in and out of power as to who is a better steward of the economy.

That was illustrated by the Bureau of Labor Statistics’s (BLS) release of the job numbers for April, which made headlines when job growth, which was expected to surge, came in “unexpectedly” low. The 266,000 jobs created were only a quarter of some forecasts, which topped 1 million. Further, March job creation was also revised down by 146,000. And unemployment ticked up for the first time since the lockdown, despite a reportedly massive shortage of workers, as illustrated by the 7.4 million unfilled job openings reported for February.

The Biden administration, put on its heels by the poor results and the finger-pointing at its policies that followed (particularly the $300 weekly unemployment bonus), insisted the economy is improving, and tried to claim credit for it (even though the economy was recovering far faster than anticipated before he took office) but that the magnitude of the problems faced means that still more government aid is necessary, almost as if they are trying to introduce quadrillion as a measure in common use when talking about deficits and debt, rather than trillion.

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