I suppose I should check around to see if, as is his wont, Sen. Pat Roberts of Kansas reacted to the president’s speech by suggesting that he take a valium. House Majority Leader Eric Cantor reacted more with cowering fear, which might be explained by the fact the president’s first stop on his tour will be on Cantor’s turf today at the University of Richmond.
The independent economic consultancy Macroeconomic Advisers predicts the president’s plan would give a “significant boost” to GDP and lead to 1.3 million new jobs through 2012.
“This plan is the right thing to do right now,” Obama said. “I intend to take that message to every corner of this country. I also ask every American who agrees to lift your voice and tell the people who are gathered here tonight that you want action now. Tell Washington that doing nothing is not an option.”
Moody’s predicts 2% growth in GDP and 2 million jobs. The Economic Policy Institute is even more optimistic.
President Obama’s jobs plan, if implemented, would boost employment by around 4.3 million jobs (yes, 1.6 million of those jobs would come from continuing temporary policies that are already in place and supporting the economy today, but the new initiatives alone would generate 2.6 million jobs).
How do we judge such large figures? Here’s a benchmark: right now the gap in the U.S. labor market is around 11 million jobs when you take into account both the number of jobs we are down since the start of the recession and the number we should have gained to keep up with normal growth in the working-age population. Eleven million is the number of jobs we need — and Obama has just proposed a plan that could take a big bite out of that gap. This plan is a vital step in the direction of providing a solution that matches the scale of the ongoing crisis.
Even Krugman has temporarily stopped his grumbling. This jobs proposal is the first thing that has put the GOP on its heels since the health care and financial reforms passed. It has definitely perked up progressive morale. It gives us something to fight for and allows us to go on offense for the first time in over a year.
For me, it’s a welcome relief. How about you?
