[Peace-discuss] Obama ignores how Roosevelt cut unemployment in the1930s

[David Johnson]

    NOT ONLY IS OBAMA'S INFRASTRUCTURE / STIMULUS PLAN TOO LITTLE IN TERMS 
OF THE MONEY IT PROVIDES FOR ANY SIGNIFICANT ECONOMIC IMPROVEMENT, THE OTHER 
ASPECT OF HIS PLAN ( TAX BREAKS FOR WORKERS AND EMPLOYERS ) IS A SNEAKY 
METHOD OF DEFUNDING SOCIAL SECURITY, THUS ENABLING OBAMA AND HIS CORPORATE 
DEMOCRATIC AND REPUBLICAN ALLIES TO CLAIM IN THE NEAR FUTURE THAT SOCIAL 
SECURITY IS IN A DEEPER CRISIS.

NOT ONLY ARE THE TAX CUTS OBAMA PROPOSES ALL TAX CUTS OF SOCIAL SECURITY 
CONTRIBUTIONS BY WORKERS AND EMPLOYERS ( FROM 6.2 % TO 4.2 % AND THEN TO 3.1 
% ), HIS PLAN ALSO WILL ALLOW EMPLOYERS TO PAY NO SOCIAL SECURITY TAX ( FOR 
AN INDEFINITE PERIOD OF TIME ) , UP TO $ 50 MILLION PER COMPANY, FOR ANY NEW 
WORKERS THEY HIRE OR IF THE EMPLOYERS GIVE THEIR CURRENT WORKERS A RAISE ( 
NO SPECIFICS AS TO HOW MUCH OF A RAISE ).

THIS ASPECT OF THE PLAN NEEDS TO BE EXPOSED TO EVERYONE FAR AND WIDE !

DAVID JOHNSON

----- Original Message ----- 
From: "C. G. Estabrook" <galliher at illinois.edu>
To: "Peace-discuss List" <peace-discuss at lists.chambana.net>
Sent: Sunday, September 11, 2011 2:06 AM
Subject: [Peace-discuss] Obama ignores how Roosevelt cut unemployment in 
the1930s


> [The US of course is much less democratic than Italy. --CGE]
>
> Obama ignores how Roosevelt cut unemployment in the 1930s
> by Richard Wolff.
>
> PUBLISHED ON SEPTEMBER 9, 2011
>
> Obama's speech disappointed: too little money, too much rhetoric, too 
> late. A bigger stimulus composed of similar parts failed to overcome 
> unemployment over the last two years. This smaller stimulus cannot do 
> better. More business tax cuts, profit-rich construction contracts for 
> infrastructure and so on will not coax corporate hiring any better the 
> second time.
>
> Better than nothing, yes. But that falls far short of what so deep a 
> crisis requires.
>
> Obama ignores how Roosevelt cut unemployment by direct federal hiring in 
> the 1930s. Millions of new federal jobs now could build up the schools, 
> clinics, daycare centres, parks and elderly facilities we need; green 
> buildings and communities for ecological survival. And they could complete 
> countless useful social projects, which private enterprises have failed to 
> do.
>
> Government hiring is the most direct and most cost-effective solution for 
> unemployment. With decent wages, federal jobs enable the formerly 
> unemployed to maintain mortgage payments, keep their homes and so stop the 
> housing market's decline.
>
> A creative Obama could adapt Italy's Marcona law. It offers an alternative 
> to monthly unemployment insurance cheques. The unemployed can choose three 
> years of those cheques paid in a lump sum if pooled with other unemployed 
> persons' lumps sums as capital to start their own cooperative businesses. 
> How much more invested in their new jobs such formerly unemployed people 
> would be, while costing the government little more than it now spends.
>
> Meanwhile, all Americans could see and assess a far more democratic 
> business model than we have now.
>
> http://rdwolff.com/content/professor-wolff-reacts-obama-speech
>
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