Whether you’re making plans to picnic, paddle on a lake, play at a park or beach, or are packing bags for a road trip, Labor Day weekend is a welcomed three-day breather for Americans needing a break from grim economic news. A few headlines:
National unemployment rate rises to 9.6 percent as more look for work – Sept 3, 2010:
WASHINGTON (AP) — The U.S. unemployment rate rose in August for the first time in four months as weak hiring by private employers wasn’t enough to keep pace with a large increase in the number of people looking for work.
The Labor Department says companies added a net total 67,000 new jobs last month, down from July’s upwardly revised total of 107,000. Wall Street analysts expected a smaller gain, according to Thomson Reuters.
Overall, the economy lost 54,000 jobs as 114,000 temporary census positions came to an end. State and local governments shed 10,000 positions. The jobless rate rose to 9.6 percent from 9.5 percent in July.
More than a half-million Americans resumed their job searches in August, which drove up the jobless rate. When the unemployed stop looking for work, they are no longer counted in the jobless rate.
Recovery Summer Ends with Economic Pothole - Sept 3, 2010:
Whatever happened to recovery summer?
This was supposed to be the season the economy heated up, thanks to a wave of public works projects, funded by the government’s stimulus program. But summer is coming to an end, and the recovery has not taken root.
And before long, stimulus dollars will be fading like autumn leaves.[...]
Jobless Rate Climbs to 9.6 Percent as More Americans Seek Work – Sept 3, 2010:
[...]The numbers added pressure to the Obama administration to marshal all its resources toward coaxing employers to hire again, something President Obama this week pledged to do.
“A year that began with Americans bracing for a jobless recovery has instead turned into a full-blown search for both jobs and a recovery,” House Republican Leader John Boehner said in a written statement. “President Obama’s agenda represented ‘change’ once, but now it is time for him to change course, abandon his job-killing policies and find himself a new economic team.” [...]
The economic news release from the Bureau of Labor Statistics reveals that the U.S. economy LOST 283,000 jobs during the three months of the Summer of Recovery.
120 Days to Go Until the Largest Tax Hikes in History – Sept 3, 2010:
In 2001 and 2003, the GOP Congress enacted several tax cuts for investors, small business owners, and families. These will all expire on January 1, 2011:
Personal income tax rates will rise. The top income tax rate will rise from 35 to 39.6 percent (this is also the rate at which two-thirds of small business profits are taxed). The lowest rate will rise from 10 to 15 percent. All the rates in between will also rise. Itemized deductions and personal exemptions will again phase out, which has the same mathematical effect as higher marginal tax rates. The full list of marginal rate hikes is below:
- The 10% bracket rises to an expanded 15%
- The 25% bracket rises to 28%
- The 28% bracket rises to 31%
- The 33% bracket rises to 36%
- The 35% bracket rises to 39.6%
Higher taxes on marriage and family. The “marriage penalty” (narrower tax brackets for married couples) will return from the first dollar of income. The child tax credit will be cut in half from $1000 to $500 per child. The standard deduction will no longer be doubled for married couples relative to the single level. The dependent care tax credit will be cut.
The return of the Death Tax. This year, there is no death tax. For those dying on or after January 1 2011, there is a 55 percent top death tax rate on estates over $1 million. A person leaving behind two homes and a retirement account could easily pass along a death tax bill to their loved ones.
Higher tax rates on savers and investors. The top capital gains tax will rise from 15 percent this year to 20 percent in 2011. The top dividends tax rate will rise from 15 percent this year to 39.6 percent in 2011. These rates will rise another 3.8 percent in 2013.
Read about the second and third waves of looming tax increases here.
New home sales plummeted to record lows in July and auto sales for August were a real clunker – lowest since 1983 (GM sales have plunged 25%). Only three states in the union are not upside down budget-wise. One out of every six Americans are now on government assistance. The number of underemployed Americans is now at 16.7% (a 5.2% increase in August).
This is what $814 BILLION of spent STIMULUS bought. How many generations will be enslaved to pay the bills for this recovery?
Yes, Labor Day weekend is a welcome respite from the daily grind for those fortunate enough to have a job. For those who are anxiously looking for work, it’s one more day with no money coming in. Whatever you do this weekend, do a couple of things:
- Re-read Mitt Romney’s economic op-ed Grow Jobs Shrink Government (8/18/10).
- Tuck a copy of No Apology: The Case for American Greatness under your arm. Read Chapter Five. It’s 49 pages about A Free and Productive Economy.
A FOX News panel today discussed Obama’s mantra that “better days are ahead” and the question was asked “When do they get here?” The answer: November 3rd.
As crucial as November 3rd is (and it is), Obama will still hold the veto pen. It’s also about 2012. So, between the hiking and biking this weekend, it would be a good idea to delve further into No Apology. Continue supporting Romney’s Free and Strong America PAC. With every passing day, it becomes more evident that the one to ensure ‘better days’ for America is Mitt Romney.
► Jayde Wyatt