With almost exactly one month left till the election, the government reported Oct. 5 the unemployment rate plummeted to 7.8 percent in September. While media outlets like The New York Times called the number “unexpected good news for Obama,” both liberal and conservative economists were quick to tear it apart.
The labor force jumped in one of the two government employment surveys – “the government said the total number of workers employed surged by 873,000, the highest one-month jump in 29 years,” wrote The Wall Street Journal. The Journal’s forecast had predicted an increase to 8.2 percent.
Apparently CNN considers the stating of cold, hard economic realities to be risky partisanship now. Take the case of Papa John’s CEO John Schnatter claiming that ObamaCare will increase costs for his company.
Papa John's is not the first company to claim Obamacare will raise its costs, but it is the first to be viciously attacked by CNN. [Video follows page break; MP3 audio here.]
About 45,000 fewer jobs were added in April than economists expected, and the unemployment rate dropped to 8.1 percent due to more than a half million people giving up the job search. CNN Money reacted with the headline “hiring fizzles.”
University of Maryland Economist Peter Morici wrote in response the jobs report, “The economy added 115,000 jobs in April - much less than expected and not enough to keep up with natural population growth. The unemployment rate fell to 8.1 percent because another 522,000 adults quit looking for work and are no longer counted.”
MSNBC anchor Dylan Ratigan believes the recent developments in the GOP – including the rise of the Tea Party – have shredded the party of its "political traction" in the Senate.
When asked by guest-host Peter Morici, an economist and professor of business at the University of Maryland, how much the Tea Party has set the Republicans back in their bid to retake the House and Senate, Ratigan answered that the Tea Party has more than hurt their chances.
The developments in the GOP and the conservative movement in the past two years, Ratigan said, "made it almost impossible for the Republicans to find any political traction in the Senate – and that is something that is largely believed."
Of course, Ratigan forgot to discuss the Tea Party's populist contribution to the Republican Party – or what connection it may have to the GOP's predicted victory despite the party's overall poor ratings.
While Senate Democrats scurry to pass an unpopular health care reform bill by Christmas Eve, CNN did something rare on Dec. 22: they offered two different perspectives on the bill, including a critic's view.
That critic was University of Maryland economist Peter Morici, who expressed skepticism of the assumptions built into the health care reform bill, projected that it would raise costs for many average families and it would add "substantially" the federal deficit.
"There's a lot of assumptions in this bill that are kind of nefarious, uh, and I believe that the typical American family will pay $1,000 to $2,000 more for coverage for a family of four," Morici said.
Let's hope we haven't seen the last of economist Peter Morici on CBS. The University of Maryland business professor, appearing on the Early Show this morning, put the blame for the failure of Big Three bailout squarely on the shoulders of the UAW for its refusal to accept pay cuts putting its members on par with non-union workers at US plants owned by foreign car manufacturers. The Early Show did manage to balance things with some Dem demagoguery from the mayor of a Michigan city.
Morici singled out UAW president Ron Gettelfinger, calling him "unrealistic" and "selfish." Comic relief was later provided by Virg Bernero, mayor of Lansing, Michigan, who seemed to confuse South Carolina with South Korea.
When This Week assembled a round-table of four liberals versus one conservative yesterday, I kvetched. Maybe I should have cheered. ABC's idea of balance looks good compared to that of CBS. This morning's Early Show preview of the Bush admin's plan, to be announced later today, to regulate the financial industry was essentially conservative-free. OK, to be absolutely accurate, there was a brief clip of Treasury Secretary Paulson saying the plan would protect the Fed's balance sheet and US taxpayers.
But in her set-up piece, CBS's Kimberly Dozier emphasized the negative: "critics say it's win-win for banks, not the consumer. Less regulation, but no new legal limits to stop questionable lending practices or to stop the shell-game financial structures that led to the current mortgage debacle." The only expert she aired was University of Maryland economist Peter Morici who griped that under the plan: "[banks] can still engage in sharp practices that got them in trouble. There's no reason to believe that this regulatory format will keep the kind of crisis we just had from happening again. Nor will it get us out of this recession."
Co-anchor Maggie Rodriguez took the baton from there. She first interviewed Sen. Chris Dodd (D-CT), who claimed Congress had already given the Fed "massive" regulatory authority. Dodd predictably blamed the current situation on "a failure of leadership." Then it was on to Rodriguez's in-studio chat with CBS News biz correspondent Anthony Mason who--surprise!-- was also a critic of the plan.