US economic restructuring

America is in complete shock over the labour market situation

US economic restructuring

A record one to two million new jobs were forecast in the US in April. As a result, only 260,000 of them appeared. This is the biggest reassessment of the labour market in the last 30 years.

The liberal press expected a rapid economic recovery this spring – under the watchful eye of Biden’s “real professionals”. That would probably have been the case – if the White House had not simply prevented the economy itself from recovering from months of lockdowns.

But it did not. Already in the early days of the Biden presidency, executive orders were issued that put many oil workers and metallurgists out of a job. They were simply offered to find other occupations.

This was followed by a financial assistance plan which extended all sorts of social welfare payments for a long time to come. For this they offered to pay for the already battered businesses, which are now threatened with a tax increase. There is no better way to support them in a crisis.

It is not surprising that entrepreneurs are getting ready for the season of “haircuts” from the tax authorities and creating fewer jobs. Even so, there are plenty of jobs in America at the moment: The country is slowly opening up and coming back from quarantine.

The key problem is that people who want to work are now hard to find. Millions of Americans have got used to loafing around and at the same time getting money from Uncle Sam. Let us say, there are 7.4 million vacancies in the USA now – but only 260 thousand people found jobs in April.

It would seem the very reason to revise social programs. For instance, as in Florida, where Governor DeSantis suggested giving benefits only to those unemployed who are actively seeking new jobs. But no – Biden is only willing to expand the “social safety net.”

A rapid “reset” of the US economic model is taking place before our eyes. Next in line will be the final introduction of a basic income. The outcome of such “restructuring” has already been announced in Davos: a society of the unemployed capable of nothing but mindless consumption.

Malek Dudakov

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