Jobs Report Presents Mixed Blessing for Obama

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  • ASHINGTON (AP) — President Barack Obama got new figures Friday to buttress his argument that he's presiding over steady, if slow, economic growth. But the government's report that the overall rate of unemployment actually crept up to 8.3 percent allows Republican rival Mitt Romney to keep pressure on Obama to defend his record.

    The new unemployment numbers showed that private employers added 163,000 jobs in July, the best pace of hiring in five months. The jobless rate rose, however, to 8.3 percent from 8.2. percent in June. And Romney jumped on it, calling the figures a "hammer blow" to middle-class families.

    No U.S. president since World War II has faced re-election with unemployment over 8 percent.

    Obama was expected to comment on the new jobs numbers later Friday morning at a White House event on middle class tax cuts. Romney was campaigning Friday in Nevada, the state with the nation's highest unemployment rate, before heading to fundraise in Idaho.

    Romney released a statement shortly after the Bureau of Labor Statistics announced the new figures for July.

    Romney says Americans deserve better than an unemployment rate that stays stubbornly stuck above 8 percent. He says Obama "doesn't have a plan" for boosting growth and said that his economic plan would create 1.2 million new jobs by the end of his first term.

    The candidates sparred from afar on the economy Thursday. Romney, campaigning in Colorado, said his economic program would create 12 million jobs in the next four years. Obama told voters in Florida that his rival favors "trickle-down tax cut fairy dust" that has failed to fix the economy in the past.

    Romney's plan for job growth included several broad ideas but few specifics. He said he would help small business owners, cut spending to reduce the deficit and cut taxes.

    Obama sought this week to draw a contrast with Romney on taxes, saying the Republican's call for extending cuts for upper-income earners would mean higher tax bills for the middle class. The president's new television ad made the case with a highly personalized message: Romney has paid a lower proportion of his income in taxes than many people of lesser means.

    Obama planned to hammer his tax message again on Friday by calling on Congress to extend tax cuts for families making less than $250,000 a year before those cuts expire at the end of the year. The president wants to end the tax cuts, first enacted under President George W. Bush, for families making more than $250,000.

    While the overall race for the White House remains deadlocked, several polls show Romney with an advantage over Obama on economic issues. A USA Today/Gallup Poll conducted in late July found 50 percent of Americans said Romney is the candidate who would be better at job creation, with 44 percent siding with Obama.

    Economists set modest expectations for Friday's jobs report. They expected the economy to have generated just 100,000 jobs last month, which would likely keep the unemployment rate at 8.2 percent.

    The trajectory of late hasn't given the Obama White House anything to celebrate.

    The American economy grew at a listless 1.5 percent annual pace from April through June, even slower than the 2 percent rate in the first three months of the year.

    The economy added only 80,000 jobs in June, erasing any doubt that the United States is in a summer slump for the third year in a row. From April through June, the economy produced an average of just 75,000 jobs a month, the weakest three months since August through October 2010.

    The slide comes after the optimism of early 2012, when the first three months of job growth averaged more than 225,000 a month.

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    One thought on “Jobs Report Presents Mixed Blessing for Obama

    1. JOBS ARE NOT COMING BACK HOW CAN WE COMPETE WITH SLAVE LABOUR:
      This global economic system is a broken lie most of the european countries are in dept, even America is 16 to 20 trillion dollars in dept and the thing is the europeans manufacture money,therein lies the lie. And yet with all this dept Wall St. and greedy billionaires keep designing ways to keep this fake system alive just to continue to snatch what little crumbs are left. Cuts on social programs won’t help this economy that will only cause unnecessary pain on the people. Most people don’t wanna deal with this fact and I believe that’s because of this condition.
      The normalcy bias, or normality bias: refers to a mental state people enter when facing a disaster. It causes people to underestimate both the possibility of a disaster occurring and its possible effects. This often results in situations where people fail to adequately prepare for a disaster, and on a larger scale, the failure of governments to include the populace in its disaster preparations. The assumption that is made in the case of the normalcy bias is that since a disaster never has occurred then it never will occur. It also results in the inability of people to cope with a disaster once it occurs. People with a normalcy bias have difficulties reacting to something they have not experienced before. People also tend to interpret warnings in the most optimistic way possible, seizing on any ambiguities to infer a less serious situation. Truth of the matter is Europeans manufactured an economic system designed to enable them to amass and hold on to most of the worlds wealth. One way or another this global economic system needs to be changed from its rotten core. Or the cuts on social people programs will be on going unable to fix this economic illusion.

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