Obama: Create Jobs? No, We Can't

More

Government can create jobs. That's why the Census has accounted for an overwhelming percentage of 2010 job growth. But it can't "create" private sector jobs any more than a dog can give birth to a kitten (to use my colleague Justin Miller's phraseology). All it can do it create the conditions -- such as a payroll tax holiday and income support -- that make private sector growth more likely.

So I'm torn on Annie Lowrey's reaction to the administration's repeated stance that it can't literally conjure jobs out of this air. Her response: yes we can!

Of course, the government is far and away the biggest employer in the United States -- staffing the military, the postal service, fire stations, schools, museums, the regulatory agencies, the FBI, the National Institutes of Health, parks and numerous other institutions.

Moreover, it is strange to hear the lead economic voice in the Obama administration make a classic small-government argument, particularly as the Obama administration touts its "recovery summer" jobs programs.

This is basically right. But given that the administration has turned away from large scale public hiring, Geithner's quote is defensible. We've been stuck at 9 to 10 percent unemployment for a long time. If Obama went around saying he could create jobs, the reasonable response would be: Well why aren't you? Are you busy? Are you heartless? Are you inept? Are you waiting for a more convenient time? Honesty is the better policy, even when it requires powerful government officials to utter the hardest two words in politics: I can't.

Jump to comments

Derek Thompson is a senior editor at The Atlantic, where he oversees business coverage for TheAtlantic.com. More

Thompson has written for Slate, BusinessWeek, and the Daily Beast. He has also appeared as a guest on radio and television networks, including NPR, the BBC, CNBC, and MSNBC.

Get Today's Top Stories in Your Inbox (preview)

Video

More Video
Here's What Happens When You Light a Fire in Space


Elsewhere on the web

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register. blog comments powered by Disqus

Video

Miami: The Next Big Start-Up City?

How the city became a center for innovation

Video

Video

A Brief History of Romantic Comedies

From The Atlantic's Chris Orr

Video

Life in 'the New Arctic'

A moving portrait of a fading landscape

Video

Video

The Rise of New York City

A fascinating look at Manhattan in the 1940s

Video

What Is Methane Hydrate?

"Flaming ice" is a vast natural energy source

Video

NASA's Time-Lapse of the Sun

Now with epic dubstep music

Video

Shaken Not Tuned: Cocktail Experiments

Can a tuning fork improve a cocktail?

Video

Video

Is He Cheating? A 1950s Guide

'That little blonde secretary from the office?’

Video

New Yorkers: Vintage Vacuum-Tube Amps

Risking electric shock to restore old amplifiers

Video

The DIY Piano-Bicycle

Everybody needs a hobby

Video

What Does It Take to Make Real Craft Gin?

Tour the Green Hat Gin distillery

Video

What Straights Can Learn From Same-Sex Couples

New insight from decades of research

Video

The End of the Mall Rat

A tribute to that pillar of teen culture

Video

The Wonderful World of Capitalism

An adorable 1950s cartoon

Video

New Yorkers: Miss New York USA

An unconventional beauty queen.

Writers

Up
Down

More in Business

In Focus

Early Monsoon Rains Flood Northern India

Just In