11.24.2009 Policy Points

Measuring Job Creation

One of the more contentious issues surrounding federal recovery efforts is how to measure job creation and retention. In the current context, a job saved arguable is as good as a job created, yet analysts argue over how to measure the number of jobs saved.

In a recent research brief, economist Heather Boushey of the Center for American Progress discusses how to measure the number of jobs saved under the recovery package and how public policy can retain more positions. Concludes Boushey:

Over the past year, policymakers have taken often extraordinary steps to avert economic collapse and to stop the economy from hemorrhaging jobs. That has been successful. But even so, the economy crossed the threshold into double-digit unemployment in October, with unemployment now at 10.2 percent. Employers have slowed the pace of lay-offs—saving somewhere between 1.1 and 1.5 million workers from losing their jobs—but they have yet to begin hiring anew.
Stepping up policies that focus on job creation will all make a difference in generating job growth in the months to come. These should include filling in the budget gaps for state and local governments so they can avert job losses and maintain necessary services; focusing on direct job creation, especially for younger workers; and continuing investments in our infrastructure development and clean energy economy.

Over the past year, policymakers have taken often extraordinary steps to avert economic collapse and to stop the economy from hemorrhaging jobs. That has been successful. But even so, the economy crossed the threshold into double-digit unemployment in October, with unemployment now at 10.2 percent. Employers have slowed the pace of lay-offs—saving somewhere between 1.1 and 1.5 million workers from losing their jobs—but they have yet to begin hiring anew.

Stepping up policies that focus on job creation will all make a difference in generating job growth in the months to come. These should include filling in the budget gaps for state and local governments so they can avert job losses and maintain necessary services; focusing on direct job creation, especially for younger workers; and continuing investments in our infrastructure development and clean energy economy.

Print Friendly, PDF & Email
Facebooktwittergoogle_plusredditpinterestlinkedinmail

Comments are closed.