GOP spending plan would cost 700,000 jobs, new report says

by Ben Hoffman

A Republican plan to sharply cut federal spending this year would destroy 700,000 jobs through 2012, according to an independent economic analysis set for release Monday.

The report, by Moody’s Analytics chief economist Mark Zandi, offers fresh ammunition to Democrats seeking block the Republican plan, which would terminate dozens of programs and slash federal appropriations by $61 billion over the next seven months.

Zandi, an architect of the 2009 stimulus package who has advised both political parties, predicts that the GOP package would reduce economic growth by 0.5 percentage points this year, and by 0.2 percentage points in 2012, resulting in 700,000 fewer jobs by the end of next year.

His report comes on the heels of a similar analysis last week by the investment bank Goldman Sachs, which predicted that the Republican spending cuts would cause even greater damage to the economy, slowing growth by as much as 2 percentage points in the second and third quarters of this year.

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So much for Republicans’ promise to create jobs. The bastards are intentionally DESTROYING jobs. These people are bad for America.

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4 Comments to “GOP spending plan would cost 700,000 jobs, new report says”

  1. Republicans: “Snake oil Salesmen”.

  2. The CBO “estimates that the legislation, on net, will reduce the amount of labor used in the economy by a small amount—roughly half a percent—primarily by reducing the amount of labor that workers choose to supply”, which is more than 788,470 employees.

  3. February 11, 2011:
    Testifying today before the House Budget Committee, Congressional Budget Office (CBO) Director Doug Elmendorf confirmed that Obamacare is expected to reduce the number of jobs in the labor market by an estimated 800,000…

    …Rep. [John] Campbell: Thank you, Mr. Chairman, we’ll — and Dr. Elmendorf — and we’ll continue this conversation right now. First on health care, before I get to — before I get to broader issues, you just mentioned that you believe — or that in your estimate, that the health care law would reduce the labor used in the economy by about 1/2 of 1 percent, given that, I believe you say, there’s 160 million full-time people working in ‘20-’21. That means that, in your estimation, the health care law would reduce employment by 800,000 in ‘20-’21. Is that correct?

    Director Elmendorf: Yes. The way I would put it is that we do estimate, as you said, that…employment will be about 160 million by the end of the decade. Half a percent of that is 800,000.

    That is the CBO, liberals – your gold standard of what is going to happen. You’ve been telling us for the past two years that what CBO says, goes…and now the CBO is saying that 800,000 people won’t have jobs once ObamaCare is fully implemented. Have you got an answer for this? Or will you run and hide, and essentially admit that you were just cherry-picking data you liked vis a vis ObamaCare?

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