I made some comments in several forums today that got me to
thinking about how to get unemployed people back to work. If we can get the unemployment rate down, I
believe that the economy will improve; investors will have more confidence,
buyers will spend more, people will be able to buy houses, and the republicans
will get richer (really, no matter what happens to the economy, they will get
richer).
The main problem I see with unemployment is that as an
entitlement program it gives away money, but there is no other gain from
it. By this I mean that the person
receiving it does not gain any new tangible knowledge, skills, or
abilities. All of the entitlement
programs should be restructured so that the person benefits in some other way
than just receiving a pay check.
Additionally, if the country could benefit in some way while disbursing
the money, we would all be better off.
In the 1930s FDR started several programs to ease the US out
of the great depression, including the Civilian Conservation Corps (CCC) and
the Works Progress Administration (WPA later re-designated as Works Projects
Admin). Both of these programs used
unemployed, unskilled labor to improve the infrastructure of the country.
The CCC was primarily responsible for the conservation and
development of natural resources, which included such things as: bridges, fire
towers, and buildings in national forest areas; irrigation, drainage, dams, and
other flood control measures; planting trees, collecting seeds, working in
nurseries, and related forestry work, building and maintaining camps and picnic
areas, clearing areas, developing and maintaining lakes and ponds; and miscellaneous
work such as surveying, large scale mosquito control, and emergency
relief. As many as 2.5 million men took
advantage of this program over about nine years. The WPA made use of another roughly 3 million
people over some 8 years on basic infrastructure improvements such as roads,
bridges, parks, and dams. Altogether
these two programs employed more than 5 million people that would otherwise
been on what we would today call welfare.
That 5 M people represented approximately 4.5% of the 1935 US
population. In 2011 the total unemployed
number is around 13 million or about 4.4% of the population. If we ran similar, proportionally sized projects
now, we could give jobs to all of the unemployed and satisfy important national
needs.
The question becomes: what projects should we tackle?
One possibility, right out of the 1930s, that would surely
help both the newly employed and others, is dam and levee construction and/or
maintenance. All along the Mississippi
river and its feeder rivers are miles of damaged or broken levees. We have seen in the last few years what the
failure of these river control measures can mean to those who live in the flood
paths. Homes and farms destroyed, cities
ravaged by the water, and lives lost when the levees break.
Another suggestion is repair of the 50+ year old interstate
highway system.
A third is fire prevention in the national forests by
clearing brush, creating new fire roads, even reforestation of recently burned
areas.
I slightly over 20 minutes I have come up with three
possible uses for millions of unemployed people. How many other possibilities are there?
This kind of work would seem to be a much more valuable
stimulus both to the individuals and to the country, than just giving people
money and saying “keep looking for work”.
I leave you with a few quotes by FDR – a man and president
that lived through the worst times that our country has ever seen, and brought
us out of it.
--“A
nation that destroys its soils destroys itself. Forests are the lungs of our
land, purifying the air and giving fresh strength to our people.”
--“The
test of our progress is not whether we add more to the abundance of those who
have much; it is whether we provide enough for those who have too little.”
--“Happiness
is not in the mere possession of money; it lies in the joy of achievement, in
the thrill of creative effort.”
--“True
individual freedom cannot exist without economic security and independence.
People who are hungry and out of a job are the stuff of which dictatorships are
made.
--“There
is nothing so American as our national parks. The scenery and the wildlife are
native. The fundamental idea behind the parks is native. It is, in brief, that
the country belongs to the people, that it is in process of making for the
enrichment of the lives of all of us. The parks stand as the outward symbol of
the great human principle.”
--“To
the Congress:
Unhappy
events abroad have re-taught us two simple truths about the liberty of a
democratic people.
The
first truth is that the liberty of a democracy is not safe if the people
tolerate the growth of private power to a point where it becomes stronger than
their democratic state itself. That, in its essence, is Fascism—ownership of
Government by an individual, by a group, or by any other controlling private
power.
The
second truth is that the liberty of a democracy is not safe if its business
system does not provide employment and produce and distribute goods in such a
way as to sustain an acceptable standard of living.
Both
lessons hit home.
Among
us today a concentration of private power without equal in history is growing.
This
concentration is seriously impairing the economic effectiveness of private
enterprise as a way of providing employment for labor and capital and as a way
of assuring a more equitable distribution of income and earnings among the
people of the nation as a whole.”
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