The Obama Jobs Proposal Is Less Than Stimulating

After over a year of Presidential and Congressional debate and sparring about how to reduce spending, cut deficits, and limit debts, the politicians in Washington have finally taken notice that we have a "jobs crisis". ¬†Specifically, we simply aren't creating new employment fast enough to reduce our high levels of unemployment. Timidity wrapped in strong … Continue reading The Obama Jobs Proposal Is Less Than Stimulating

Multiplier in Action – The Circular Flow

As principles students learn early on, the economy is made of a circular flow of goods, services, and labor. Total spending becomes the $ firms can use to pay workers, which becomes income for those households, which in turn becomes more spending that supports more jobs.¬† The economy grows (and employment grows) when something injects … Continue reading Multiplier in Action – The Circular Flow