Morici: Only 113,000 Jobs -- How Decadence Breeds Decay
Over the last four and a half years, the pace of GDP growth has been a paltry 2.4%, about the same as during the Bush expansion. Ronald Reagan inherited a much tougher unemployment situation than either of the two most recent occupants of the Oval Office, yet he managed 4.8% growth and created many more jobs.
Technology and globalization are most frequently blamed for the listless jobs market, but nothing is particularly novel about the current era. Disruptive technologies began when the arrow replaced the stone, and international commerce has been on the upswing since long before Marco Polo.
In all times, the quality of government policy, business culture and individual initiative decide which societies most effectively exploit new technologies and broader commercial opportunities, and accomplish prosperity and productive employment for the wider citizenry.
The defining difference between the recent two disappointing economic recoveries and the strong record of the 1980s has been the predisposition of presidents from both parties to champion politically expedient remedies: bailouts and entitlements that steal money from promising R&D, public infrastructure and private investment to bolster inefficient hospitals, abusive financial houses and decadent universities.When the best incomes are to be earned gaming regulators, dodging prosecutors and fielding gladiators for Saturday spectacles, no wonder the economy doesn't grow, and one out of every six adult men is jobless and likely to stay that way. Decadence begets decay. Follow @PMorici1 This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV