Free, i.e. jobless, in the US of A

Non-farm payroll employment fell by 240,000 in October, and the unemployment rate rose from 6.1 to 6.5 percent, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. The nation's jobless rate surged to a 14-year high of 6.5 percent in October, as employers -- bracing for a deep recession --- chopped payrolls at an accelerating pace, the government reported Friday. According to the Tribune, the Labor Department jobs report is the latest in a recent series of dire indicators, and it "depicts an economy still in free-fall and without a safety net anywhere in sight," said economist Bernard Baumohl. President-elect Barack Obama, Baumohl added, "is inheriting the worst set of economic conditions since Franklin Roosevelt." That means the nation has now lost jobs for ten consecutive months,with a cumulative loss of 1.2 million jobs – and the pace is gathering momentum: half those losses came during the last three months. Some forecasters think the jobless rate will top 8.0 percent in the coming year.

Many writers including myself have written about the 'bogus' numbers reported by the government based on the 'birth-death' model. The real number of unemployed is perhaps significantly higher.

Just as important as the number of unemployed is the quality of jobs available, and the quality of jobs of those who are employed. While reliable data is hard to come by, the number of highly educated and qualified folks (in my own circle) working in mundane, low skill jobs is just staggering.

I sincerely hope that BOB, i.e. Barack OBama, has more up his sleeve than the silly "fiscal stimulus checks" he plans to give the public. If he has to spend money, spend it on public works including infrastructure and education.
Bob, I had a student in my office the other day. A bright young woman, interested in political science and economics, she has a scholarship but still has to borrow substantial amounts to cover tuition and other needs. She told me that the interest rate on her student loans went up from 8% last year to 10% this year. This is simply extortion. And Bush and you, Bob, are giving more money to the banks who are just fleecing the young. As a consequence, this young lady and others like her have to work many hours, often more than 20, in a week to help pay the bills- hours that should have been spent learning. Throwing more money at the banks is not the solution, gearing up the automakers by giving them money is not the solution. Having students earn money by doing work related to learning- practical work, internships, etc., would be progressive and would pay higher dividends.

For the managers and shareholders of finance firms and drug companies, the basic question is - How much profit would you like to extract from other people's misery?