Job Creation Silliness

Job Creation Silliness

It must be the time of year for some to engage in the kind of intellectual vacuity that represents total abandonment of reason. The Keystone Research Center just released a study purportedly showing Pennsylvania’s employment situation to be worse than the 7.4 percent current unemployment rate depicts. Fair enough. Everyone who follows the labor market knows there are lots of folks who are underemployed or have dropped out of the work force because they have become discouraged. That is not news.

But come on. Pennsylvania’s unemployment rate is well below the national average-for several reasons. First, because the state has been such a slow performer for many years prior to the recession and did not have a housing boom as did many states, the housing induced downturn was not as dramatic in Pennsylvania. Second, the industry mix of jobs in Pennsylvania has changed substantially over the decades away from goods producing jobs that are subject to recessions toward industries that are more recession resistant. Third, the state is in the midst of a booming growth in the natural gas business thanks to Marcellus Shale that is greatly improving the labor situation.

There is no mention in the report of the reasons Pennsylvania has been a perennial slow growth state. That list would include punitive anti-business labor laws, lawsuit abuse, environmental regulations, business taxes, prevailing wage requirements and a generally unfriendly business climate.

But the report does have recommendations on how to grow jobs. More government spending, especially on infrastructure, extending jobless benefits and job training.

How predictable. Government spending of money the state does not have to create prevailing wage jobs to support union workers. Job training to do what? To learn how to work on roads that are in endless need of repair?

Not a word about addressing the obstacles to growth in the state. There is no talk of Right to Work, ending teacher strikes, eliminating prevailing wage and getting environmental regulations under control. In short, this is nothing more than the failed policies that have crippled Pennsylvania’s economy for decades. It is stunning to see how resistant to facts and reason some people can be.