“The real story about this economy is that the cutbacks at the public sector are what’s hurting the recovery,” Economist Paul Krugman said in his defense of President Obama declaring the private sector to be just fine.
“By this point in Obama’s presidency, if we had normal public sector job growth, we would have around 800,000 more people. Firefighters, schoolteachers, police officers. Instead, we’ve got 600,000 fewer. So right there, it’s like 1.4 million jobs that we should have had in the public sector. And, of course, those would have translated into more private sector jobs too. So that’s what he was trying to get at, and of course, he screwed up the line,” Krugman said on June 11, 2012 on CBS News’ This Morning.
We need to enact federal government policies that will broaden private, individual ownership in future productive capital growth in every instance where government provides a form of support, whether through contracts, loan guarantees, grants, etc instead of continually relying on further taxpayer-responsible borrowed debt accumulation to pay for public sector job growth. We really need to focus on private sector economic growth, connecting ordinary Americans to the ownership rights to future income-producing productive capital assets so that our taxable base broadens and strengthens to pay for the public costs to support hiring more safety personal such as firefighters and police officers, and schoolteachers to whom we entrust our youth and thus future generations. Welfare, open or concealed, does not work, and it continuously means that we borrow and borrow to pay the wages of people working in the public sector. By empowering ALL Americans to participate as individual owners in the on-going third industrial revolution in which the demand for labor workers is substantially eliminated by the infusion of non-human machines, superautomation, robotics, digital computerized operations, etc. applied to producing products and services by our business corporations and companies, over time the wealth of the nation will significantly grow as well as incomes generated through capital ownership and the “real” job creation that will result.
