Skip to comments.Study projects automatic cuts could cost US 1 million jobs
Posted on 06/07/2012 11:02:19 AM PDT by Ernest_at_the_Beach
Automatic across-the-board cuts to the budget set for Jan. 2 will cost the United States 1 million jobs, according to a new study released Thursday by the Bipartisan Policy Center (BPC).
The job-loss projection comes from cuts to defense and non-defense spending.
The BPC predicts gross domestic product will decline by 0.5 percent if the full $109 billion defense and non-defense sequester goes through.
"This is a reverse stimulus plan. That's what we are talking about here," BPC task force member and former Agriculture Secretary Dan Glickman said.
BPC task force member Maj. Gen. Arnold Punaro told reporters that the effects of the sequester are already being felt as defense contractors reduce inventory.
Punaro said that major public companies, in their second-quarter earnings forecasts, out in July, will have to lower expectation based on the sequester.
"This is not rational at all," he said.
(Excerpt) Read more at thehill.com ...
another 5-6 million unemployed\left the work force and we'll be at damn near full employment.
They are actually right. You create 1 million bogus jobs through printed money, why be surprised when austerity requires you to cut those jobs. But austerity is the only way out.
“Automatic across-the-board cuts to the budget set for Jan. 2 will cost the United States 1 million jobs, according to a new study released Thursday by the Bipartisan Policy Center (BPC).”
Looking for the downside to this report. I doubt it will ever happen, but it surely would be a nice start if it did.
Watched Bernake this morning....several Democrats wanted the Fed to Fire up the QE3...right now.
Whenever I see the word "Bipartisan", I immediate think of the quote from the late George Carlin, "The word 'bipartisan' means that some larger-than-usual deception is being carried out."
So you are OK with cutting our Military Defense Forces?
I’m sure there’s a lot that can be cut out of the military budget without affecting military strength one iota.
I think the amount goes beyond what is needed.
They are assuming that a job is a job is a job.
We need to start talking about PRODUCTIVE JOBS vs UNPRODUCTIVE JOBS.
By definition, ALL GOVERNMENT JOBS ARE UNPRODUCTIVE JOBS. Eliminate government jobs and you increase productivity.
A productive job produces a good or service that someone is voluntarily willing to give up their hard earned money for. Government agencies curtail productivity in the private sector when their constitutional mandate was to enhance it.
Most jobs in the education/indoctrination industry are unproductive. You only need to look at the fact that two-thirds of American students can’t read, write, or do math at their grade level. Imagine if the airlines only got one-third of their customers to their destination. Congressional investigations would be immediate.
Even most current military jobs are unproductive because they are not being used to protect our border. If they were used that way, less illegal immigrants equals less drain on schools, medical, and policing. More jobs available for Americans equals increased productivity.
Just two examples of government jobs actively interfering with private sector productivity.
There was a front page article on the WSJ, last night, about the cities in France crying the blues because the banks were no longer extending credit to the cities for their development and infrastructure projects.
The cities said that they couldn’t put people back to work without the money. The banks said that they could no longer extend short term credit based on long term returns because the restrictions on banking required the banks to keep more money on hand to ensure solvency.
It sounds a lot like the Democrats in this country crying about wanting the big bad corporations and banks to “pay their fair share”.
You bet! It will probably CREATE 1.1 million jobs in the private sector by reducing debt and taxation provided the money isn't squandered by the government on some othe foolishness anyway
"Improvise. Adapt. Overcome."
So, they have a choice. Cut spending and throw a million people out of work. Or, don’t cut spending and get our credit rating downgraded even further. Then the question is who will get the blame?
A austere and wise transition would create high amounts of initial unemployment, huge drops in GDP, cuts in government spending and deficits.
However, none in politics except the designated and correct fringes would go down that path.
The proper correction would require time for the unemployment and such to work its way out of the system. But Americans don't have the patience nor the resolve. Just as we haven't fixed the housing issues, banking, spending, the list is long.
We cannot judge the past economies as the future. Our mirage has been aided by debt. Debt has created the illusion of prosperity.
If we keep spending, there will be no military.
Believe it or not, there is fat that can be cut out of the DOD.
We have a winner !!
If it does, then the loss of 1 million jobs in the public sector will then create 2 million jobs in the private sector.
Considering that the "stimulus" plan provided unemployment an increased debt, then a reverse is exactly what's needed
There’s key jobs, engineering and design and upgrades that will be affected by this. Troops, too. Just ask your neighbors who work in defense dept adjuncts.
Never assume that our DoD elites are on our side. They’re lining up to be the leaders of the Civilian National Security Force when the SHTF. And it will.
This is not a good scenario. And if you think “sequestration” will not revert back to its original meaning of seizure of property, you haven’t been paying attention to Chairman Barry’s land grabs. “Imminent Domain” on the fast-track. There’s already plans in place to replace your 401k dollars with T-Bonds.
/tinfoil hat (but, still . . .)