Kinda Looks Like Capitalism Works

Get the federal government out of the way, with corporate and individual tax cuts, along with easing restrictive, expensive federal regulations, and look what happens: an economic boom.  President Reagan understood the relationship and took action.  Now business-savvy President Trump has done the same.

Experts are projecting our unemployment rate to be under 4% through year-end, predicting it to hit as low as 3.6% by the middle of 2019, which would be a level not seen since 2000, and depending on the actual number, could even go farther back than that.

By the way, and impossible to resist, the Progressive Party’s current full-fledged Socialist in the spotlight, recently explained, during a PBS interview, why America’s employment rate is so low.  Said she: “Unemployment is low because everyone has two jobs.” To avoid further blood loss to the brain, let’s quickly take a look at that assertion.  First: Fewer than 5% of working-age Americans actually have two jobs at present.  So, to be fair, she was close, a mere 95% away from “everyone.”  Secondly: Regarding current unemployment, that figure is actually determined by the number of people not working and are looking for same.  Equating people looking for work, with people working two jobs, to arrive at the current comparatively positive unemployment number, would seem to be intellectual thinking from a galaxy far, far away.

Now then, in addition to more Americans working, additional good news is that their compensation is going up as well, triggered by that low unemployment rate, requiring the more favorable compensation needed to attract even more workers to meet that growing demand.  Higher wages and salaries, more spendable income, helped, no question, by last year’s tax reductions, all combining to create greater sales and financial health for businesses and industry.

And with more Americans working, along with that rising compensation, consumer confidence, too, is on a roll, that number heading now toward an 18-year high.  Confident consumers tend to increase their spending, from big ticket items to small.

Adding all of this good economic news together, we are now experiencing, and enjoying, an American economy that grew to 4.1% in this year’s Second Quarter, a robust level not seen for several years!

While this growth and improvement, on all of the indicators discussed above, may well flatten out from here for the remainder of the year, certainly not bad levels to be at, while the economy to catches its breath!  Sorry Socialists, but private sector Capitalism is clearly demonstrating, yet again, why it is the economic system that realistic Americans have chosen, and defended, ever since the British left town.                      (Quote via, July 18, 2018)