-Job Growth Comeback!-

Article: What Shutdown? Job Growth Strong in October

Author: Annalyn Kurtz

Date of article: November 8, 2013

Website: CNN Money

                Everyone predicted the economy to fall drastically after the 16 days of little government interaction due to the shutdown but surprisingly the economy was not hit that hard with the freeze, in fact, it increased activity. According to the Bureau of Labor Statistics, 204000 new jobs were added to the U.S. economy in the month of October. This number was surprising to economists’ expectation for the month. This number is a huge leap from the late August and September hiring stat of 60,000.

The article puts it bluntly: “Economists were expecting weak job growth due to uncertainties created by the budget battles in Washington. The federal government shut down on Oct. 1, after Congress failed to agree on a budget for fiscal 2014. The standoff lasted 16 days and left as many as 800,000 federal employees temporarily out of work.” The numbers were also strong enough to get Wall Street talking once again about when the Federal Reserve should start slowing its stimulus program. The Fed has been buying $85 billion in bonds each month since September 2012, in an effort to strengthen the job market.

Given the government shutdown, many Fed watchers were starting to think the central bank would continue its stimulus at full blast until at least spring 2014. The Fed next meets at the end of December, and the strong jobs report could mean officials will consider reducing their monthly bond purchases sooner rather than later. "Once again the U.S. economy appears to be overcoming a summer swoon," said Paul Ashworth, chief U.S. economist for Capital Economics in a research note. "In our opinion, the data would justify the Fed reducing the pace of its asset purchases in December."

The outlook isn't all rosy though. Overall, the economy has still not recovered all of the jobs lost in the Great Recession. The jobs report also showed the unemployment rate rose slightly to 7.3%, up from 7.2% in September, but economists expect this to be a passing blip. About 448,000 furloughed federal workers were counted as being on temporary layoff, and the next jobs report, due on December 6, will probably show these people were back at work in November.

Meanwhile, only 62.8% of Americans over age 16 either had a job or looked for one. That's the lowest level since March 1978. Economists also believe this number was impacted by furloughed federal employees but nevertheless, it has been hovering around the lowest levels since the 1970s for months. Where are the jobs? Job gains came across a variety of sectors. Retailers added 44,000 jobs, professional and business services also added 44,000 jobs, restaurants and bars hired 29,000 workers and manufacturers added 12,000 jobs. Meanwhile, the federal government cut 12,000 jobs -- a third of which were at the U.S. Postal Service.

-What is our government REALLY spending money on?-

Article: On Government Spending

Author:  Demosthenes

Date of article: October 10, 2013

Website: Teen Ink

                The bias of this article is criticizing government spending which is understandable in a country with less than 5% congress approval rate. It’s quite clear that this country’s people are very unhappy with their government and spending is, and has always been, a huge subject of disagreement. This problem is probably the biggest issue in our government with people on both sides arguing where it is best to spend this borrowed money. With the national debt growing larger every minute, this issue is like a tick bomb to the government’s downfall.

                This article explores the wide range of issues that the government spends the taxpayer’s money. Although this article is quite opinionated, it brings light to some vital points that, as taxpayers, we need to know. It begins by stating “Government spending includes spending taxpayer money on social security, defense programs, education, public safety, and many more realistic social needs. However, the government, even wealthier as it entered the 21st century, has began to spend its money on random and irrelevant things, some that completely have nothing to do with healing our broken economy, protecting our citizens, and improving life and education in the cities.” With that aside, the author dives into the criticism stating that “much of the taxpayer dollars go to the government to waste on various idiotic things.”

Now, I understand that people disagree on government spending but I was surprised when the author went as far as to say the government spends money on “idiotic things”, but I read further and we can all agree our government pays for “some things that are vital for the human populace in America. Things, like education, safety, military and defense, Social Security, welfare, unemployment insurance, disability payments, etc. These are important for the people that live in America, important for the safety of America, and important to uphold the legacy of America. Our defense is especially crucial because of the protection of another 9/11. Our education is critical to raise new wonders that will solve the problems of the modern world. Public safety deals with things in the neighborhood. These things are all very important.” Yes so what are these “idiotic things?” I did some research.
                I found that about $3 million was given to the University of California at Irvine to allow students to play World of Warcraft. Apparently, the goal of this “video-game research” is to allow students to study how “emerging forms of communication, including multiplayer computer games and online virtual worlds such as World of Warcraft and Second Life can help organizations collaborate and compete more effectively in the global marketplace.” I was dumbfounded by these findings. I fail to see the connection between World of Warcraft and the global marketplace, I’m sorry that might just be me.
                In 2006, $1 million dollars was given to zoos in New Orleans, Little Rock, Chicago, and Milwaukee zoos to create “poetry”, which supposedly is supposed to make the public aware of environmental issues. Almost $500,000 was spent to study the behavior of male prostitutes in faraway Vietnam. The government spent $2.5 million dollars on a commercial during the Super Bowl that was apparently “horrendous.” A little more than $800,000 was given to various sources around America to create and promote video games. And the list goes on!

This type of under-the-rug spending needs to be brought to light. The tax payers need to know where their government is spending their hard earned money. Maybe if the government was more truthful and smart about its spending, maybe we wouldn’t be in the sticky situation we are in now.