I have talked about how "national emergencies" led to the introduction of federal command and control schemes like the FDR era NRA and the AAA. This quote from The Burning Platform via Zero Hedge caught my eye this morning:
The Obamanistas declare we are still in an emergency and must borrow and spend to save the economy. The emergency never ends for politicians of both parties.
Jim Quinn brings us telling insight:
· The present labor force presently includes 142.4 million employed Americans, with 114 million working more than 35 hours per week, leaving 28.4 million working part-time.
· In 2008, the labor force included 145 million employed Americans, but 125 million full-time workers and 20 million part-time workers.
· Part time workers under Bush composed 14% of the labor force and 20% under Obama.
· There are now 11 million less full-time workers and 8 million more part-time workers.
· In January 2009 there were 32 million Americans on food stamps at an annual cost of $44 billion.
· Today 46 million Americans, 15% of the population, take SNAP benefits at an annual cost of $75 billion.
· People over the age of 55 have the highest labor participation rate in history and it continues to rise.
· Students are not considered to be unemployed.
· Low interest Federal government loans increased from $100 billion when Obama took office to $450 billion today.
· Total student loan debt now surpasses $1 trillion.
· Many students graduate with $25,000 in debt, with many more than $100,000 or more of debt.
· Student loan default rates are at a ten year high.
· 10 million receive Social Security Disability Insurance at a cost $150 billion per year, with applications now topping 250,000 per month.
· Once on the rolls, beneficiaries have little incentive to return to work because their disability entitles them to additional benefits such as food stamps, Medicaid, Section 8 housing, and student-loan forgiveness.
· Less than one half of one percent of those on disability ever go back to work.I have consistently argued that economic regulation invariably favors established interests in favor of those on the margin. Here we can see baby boomers taking the oxygen, with new college graduates on the margin. It seems we are passing the torch of our debts to those who learned the benefits of default.