Continuing Washington’s Fear of the Economic Crisis

American officials have an intensifying fear that the economic crisis will continue. The amount of job opportunities in America dropped in June to its lowest level in the last six months. During the same month, the private sector only created 83,000 new jobs. On the basis of documented facts, rationality and clear economic principles, it can be stated that the U.S is in a very bad situation.

It’s surprising that Obama’s speech claimed that the economy is moving in the right direction. Perhaps the United States president insisted on this recently at Georgetown University in order to justify pushing his agenda to solve the U.S. economic crisis!

The rate of unemployment in June showed a decline of 5.9 percent; however, the main reason for this reduction is an exit of unemployed Americans from the country’s job market. Obama promised he would try to solve the unemployment problem of his country several times after the U.S. presidential election in 2008, speaking to a population of millions of unemployed people. Certainly this claim will be repeated in Obama’s speeches for years to come!

Obama has claimed that the U.S. government, along with the help of the private sector, will soon see 5,000 more job opportunities created in the housing sector with the new construction; but this is only one claim and, like many similar Obama claims, does not come with a guarantee.

Now more than 14.6 million people in the U.S. are after a suitable job for themselves. The unwillingness of America’s private sector to hire new labor is a clear and important message for Obama’s government.

Many American economists believe Washington cannot count on or trust the cooperation of the private sector.

The reduction in the unemployment rate in recent months, which it should be noted some estimates contradict, has been caused by a number of those in the job market resigning themselves to resort to temporary jobs.

In this critical American economic climate, there may be an increase in unemployment and Obama may refer to false statistics to interpret economic indicators.

According to analysts, the reduction of unemployment in the U.S. is due to a disillusioned work force, made of workers who have used all their efforts to find the right job and are now settling for anything.

Meanwhile, most of America’s strength is in the private sector. However, the fact of the matter is that American companies, due to the uncertain outlook of the economy and improper conditions to access credit, do not want to hire employees. In such conditions, how can Obama talk about the private sector helping the government?

According to the Washington Post, the latest federal government’s statistics show the number of Americans who do not have regular access to food increased to 49 million during the past year; of that number, 17 million are children. This is a warning, showing an increase in the number of hungry children to 1.1 million. These figures mean that 21 percent of all households that have children also do not have access to enough food.