The unemployment situation is getting worse than was expected, something we all knew anyway:
The White House says America’s employment picture is worse than the Obama administration had anticipated just a few months ago. The somber admission follows the latest jobless report showing the highest unemployment rate the United States has seen in more than 25 years.
U.S. unemployment jumped a half percent in May, to 9.4 percent prompting this comment by Austan Goolsbee, a member of President Barack Obama’s Council of Economic Advisors:
“The economy clearly has gotten substantially worse from the initial predictions that were being made, not just by the White House, but by all of the private sector,” said Austan Goolsbee.
Economists point out that the current jobless rate is already higher than the hypothetical rate that was used to calculate the health of banks and other financial institutions in so-called “stress tests” earlier this year. And, the upward unemployment trajectory is expected to continue in coming months, even if the overall economy begins to recover.
The funny thing about this (but not really) is how this will be spun. Republicans will frame this as a failure of the Obama administration, and in fact, if you check memeorandum, they already are. We’ll be told the stimulus didn’t work, we’ll be told the Obama team didn’t do enough, and so on. However, the only thing that won’t be mentioned is what the Republican plan was and is- do nothing. Also conspicuously absent from this critique will be any criticism from the left flank on the issue- from the Krugman wing and from others, that if this is a failure of the Obama team, it is a failure to do enough.
So, yes. The economic disaster that team Obama inherited is worse than predicted. And the Republicans still want to do nothing but fling poo.