REALITY CHECK DOUG CLARK. MEDIA SPINNING OUT ON JOBS

Posted on 29. Jan, 2015 by in Uncategorized

Since 1920,the National Bureau of Economic Research has provided a Nonpartisan forum where economists can publish and debate their studies of economic trends.

A new analysis finds Congress’ December 2013 decision to scrap President Obama’s extended (up to 99 weeks ) of unemployment benefits was responsible for creating 1.8 million jobs last year as expiring benefits gave an incentive for people to accept jobs.

Larry Summers, President Clinton’s Treasury Secretary and an Obama adviser, has also found high unemployment benefits contribute to longer periods of unemployment.

Facing billions in debt in the Unemployment Insurance Fund, Governor McCrory and the new conservative majority in the Legislature reduced unemployment checks in July 2013,six months before Congress did . Over the next six months while the rest of the country kept extended unemployment benefits, North Carolina produced jobs at twice the national rate.

And that job out performance was the rub because the media has a hard time admitting conservative reform might be working. Take the News and Record’s Doug Clark who complained in December 2013 “North Carolina’s unemployment rate plunged to 7.4 percent in November from 8 percent in October, the state Department of Commerce reported yesterday.

It’s down a full 2 points in a year.

Republican leaders tout their regulatory and tax reforms.

Most credit, however, seems to belong to the state’s incredible shrinking workforce.

But to make his political point, he ignored the fact we were creating jobs at twice the national average or that our unemployment rate was among the biggest decliners even when adjusted for labor force dropouts.

Last year, North Carolina job gains of 114,000 exceeded the nation by nearly 30% and the region by 50%.

And Doug Clark is still complaining and distorting, writing “Year over year, from December 2013 to 2014, the number of people employed in North Carolina grew by just 25,339.”

However, the none too Republican friendly News and Observer gave the more accurate job figure of 114,000, four times what Clark said, and reported ”Since December 2013, total nonfarm jobs gained 114,500, with the total private sector growing by 119,900 and government decreasing by 5,400. North Carolina trailed only Texas (457,900), California (320,300) and Florida (230,600) in the number of nonfarm jobs added in 2014, according to the Bureau of Labor Statistics.

“What that tells you is we’re fully recovered from the recession,” said James F. Smith, an economic forecaster and chief economist for Parsec Financial in Asheville. “We’re below the national average in unemployment and doing very well in total employment.”

It’s hard to look at North Carolina’s job growth and argue the conservative majority’s balanced budgets, tax cuts and regulatory reform have hurt our economy. The National Bureau of Economic Research has proven reducing checks for not working, where North Carolina made the tough choice first, led to 1.8 million jobs. The spinners like Doug Clark have spun out.