Employers Say Jobs Plan Won’t Lead to Hiring Spur
(From today's NT Times)
http://www.nytimes.com/...
"The dismal state of the economy is the main reason many companies are reluctant to hire workers and few executives are saying that President Obama's jobs plan-while welcome- will change their minds anytime soon.
That sentiment was echoed across numerous industries by executives in companies big and small on Friday, underscoring the challenge for the Obama administration as it tries to encourage hiring and perk up the moribund economy.
The plan failed to generate any optimism on Wall street as the Standard and Poor's 500-stock index and the Dow Jones industrial average each fell about 2.7%."
In an economy that is around 70% based on consumer spending "consumers" who are either unemployed or concerned about job security will spend mostly on only the "essentials" leading to an even greater lack of demand and an ever deepening round of layoffs. With even the Democratic leadership sold on the "austerity" program even the government as an employer of last resort seems out of the question. Welcome to Hooverville!