Last week the Wall Street Journal noted that according to an analysis of Wall Street forecasts by Brown Brothers Harriman, the combined earnings in the second quarter of this year for companies in the Standard & Poor’s 500-stock index are projected to rise 13.6% from a year ago.
However, while companies on the S&P 500 are reporting double digit rises in profits from this time a year ago, those companies aren’t doing much hiring, with just 18,000 jobs created in June 2011. One possible culprit for the less than desired job growth could be the uncertainty surrounding the federal debt ceiling and the strong possibility of federal spending cuts related to the debt ceiling debate.
If the Republican talking points are correct, extending the Bush-era tax cuts for the wealthy (or “job creators,” as Republicans call them) should be creating jobs hand over fist, but the economy simply hasn’t borne out the Republican talking points on taxes, so I’m left to wonder….where exactly are all the jobs Republicans seem to think their tax cuts are creating?
What…no Locke, Econ, or FMSN to reassure us the sky is purple and up is down? Color me disappointed.
Look deeper and you’ll find that the week job numbers are caused by state and federal governments shedding jobs…
Private sector picked up 50 k+ jobs last month.
That’s still pretty week.
I’d like to see how many jobs were off shored last month.
Easy way to knock a percentage point off unemployment is to force companies to bring back all the call center and IT jobs that they have outsourced.
Most businesses are afraid to do any hiring because they are not sure what havoc Obamacare will wreak on their bottom lines. Steve Wynn, a Democrat business owner, and wealthy one at that has stated this.