friday’s employment Bidennomics and Bidenflation show that the labor market is softening. Only 187,000 jobs were created last month. That was lower than expected, 40% below the 12-month average and the lowest level since the pandemic. Last month’s employment growth was also revised down significantly, fading the luster in the recent jobs report.
Average wage growth has been slower than core inflation, meaning that real wages and living standards for Americans have remained stagnant.Friday’s numbers follow this week’s numbers jolts report It marks the lowest number of job openings and Americans leaving since the pandemic.
The job market over the past few months has not been as strong as the top-line numbers suggest. Evidence A is the fact that employee wages cannot keep up with inflation. But also a bountiful harvest of unproductive government jobs masks lukewarm job creation.according to to USA TodayGovernment jobs increased by 379,000 in the first half of 2023, nearly a quarter of total national job additions. (Related: EJ ANTONI: Bidennomics causes giant trucking company to fall off a cliff)
Private companies face tremendous pressure in the Biden economy. Latest SBIQ from Job Creators Network Foundation poll The proportion of small business owners nationwide indicates that respondents continue to suffer from credit crunch due to prolonged periods of high inflation and rising interest rates. The proportion of respondents planning to hire in the next three months fell to the lowest level this year.
The Yellow Corporation, one of the country’s largest trucking companies, went out of business this week, laying off 30,000 workers. It is expected that there will be more companies that cannot earn credit and companies that cannot keep up with rising raw material prices.tech crunch Estimate About 250,000 tech workers have been laid off so far this year.
Another headwind is that gas prices are rising rapidly again just in time for summer road trips.Nationwide average gas prices are back to normal about $4 per gallon, up about 30 cents from a month ago. High gasoline prices are tough on small businesses as they erode already very thin profit margins. Families and small businesses should know who to blame. Since day one of his administration when he canceled the Keystone XL pipeline, Mr. Biden has waged war on domestic energy production needed to keep energy prices down.
No wonder Fitch downgraded the country’s credit rating this week in the wake of Bidennomics.rating agency Said The downgrade “reflects the fiscal deterioration expected over the next three years, the high and growing general government debt burden, and the declining governance…” The move urges Democrats and President Biden to stop spending recklessly. It is a wake-up call to participate. Let’s work with the Republican Party to get our country in shape before it’s too late.
Public debt as a percentage of GDP is now at 100% due to ballooning Democrat spending under Biden. The CBO expects that percentage to rise to 115% over the next decade. This is up from 80% before the pandemic. Interest on debt approaches $1 trillion a year and now exceeds all corporate tax revenues. Fitch has revealed that the US debt is more than 2.5 times the median AAA rating.
Following the downgrade, Democratic Senator Joe Manchin said: warned“America’s superpower status is in jeopardy.” Debt has beaten many superpowers in world history, but the U.S. threatens to do the same (Related: Myra Miller: Republicans Should Take “Bidenomics” Seriously, Here’s Why)
America’s fiscal situation, like many other problems, can be temporarily overshadowed by low unemployment. As long as everyone makes a minimum credit card payment, fills a tank with $20 of gas, and gets a biweekly paycheck to pay taxes, the economy can stay propped up.
But the labor market downturn, which has probably already begun, threatens to burst the bubble. High and rising interest rates can act as pins.
Alfred Ortiz is President and CEO of Job Creators Network, real racing revolutionariesco-host of the podcast Main Street Matters.
The views and opinions expressed in this commentary are those of the author and do not reflect the official position of the Daily Caller News Foundation.
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