Sunday, November 8, 2009

Ohio jobs: a shocking view of the numbers

The Kasich for Governor campaign blog has published an internal memo giving the unemployment statistics in Ohio over a period of years:

TO: John Kasich

FROM: Ben Kanzeg, Deputy Policy Director

DATE: October 21, 2009

SUBJECT: Latest Jobs Numbers

Just an update on Ohio’s jobs numbers for September.

Notice that while the unemployment rate went DOWN to 10.1%, Ohio actually LOST 5,900 jobs in the month of September.

September Numbers

UNEMPLOYMENT- U.S. Unemployment was 9.8% in September, up from 9.7% in August.- Ohio’s unemployment rate was 10.1% in September, 12th highest in the nation, down from 10.8% in August, and up from 6.8% in September of 2008, one year ago- Ohio’s unemployment rate of 10.1% is the highest it’s been in 25 years (Jan 1984)- The number of unemployed workers has increased by 190,000 in the past 12 months.

JOB LOSS/GAINS AS OF OCTOBER 21, 2009- Ohio lost 5,900 jobs in the month of September:
- Ohio lost 155,000 jobs in 2008
- Ohio has lost 174,600 jobs so far in 2009
- Ohio has lost 258,100 jobs over the last 12 months.
- Ohio has lost 329,600 jobs since Ted Strickland became Governor.
- Ohio has lost 388,900 jobs since the last national recession ended in November of 2001. Twenty-two states lost jobs during this period, and only Michigan fared worse than Ohio.
- The last national recession ended in Nov 2001, the most recent recession started in Dec 2007. During this period of time Michigan lost 250,000 jobs and Ohio lost 58,000 jobs. Every other state added jobs to their economy.

At this writing there were 28 comments to this entry, most of them very thoughtful. Five of them are worth reproducing here (Emphasis added):

Mike Slone:
The numbers above indicate that most of the 2008 jobs loss occurred in the last couple months of the year.It would appear that much of this loss was due to the failed work of our congress and senate over the last several years, despite many warnings from people like Senator McCain our country refused to direct financial responsibility towards wall street. Now our country is actually encouraging fiscal irresponsibility to the American public asking them to take out loans on cars they can not afford, and then encouraging finance companies to make those loans. Our government is also taking a role in the private sector, and closing more auto plants than ever in history. Easy fix, get Gov out of Business and make them do their jobs.

The problem with jobs in Ohio is serious, but it is not going to be fixed with political pablum. Until the legislature and governor get away from the pervasive attitude that it is the government’s role to take care of the citizens, there will never be enough will to cut the unnecessary spending and overburdening control that hamstrings the Ohio economy. The same is true for the US economy – every “stimulus” bill puts us further in debt, further down the road to ruin. If you’re serious about fixing Ohio, then quit trying to make government be the fix. Instead, just get rid of the burdens government places on the economic engine – people and their businesses.

If you consider just central Ohio and ask what has made it prosper over many years you would have to conclude that the area has witnessed the start of a lot of small companies which ultimately became large employers. The Limited, Worthington Industries, Cardinal Health, Wendys, Bob Evans, Bank One, Huntington Bank to name a few.

The one thing that all of these companies have in common is that they were brought public by little local firms with capital that was raised, for the most part, from the local community. In short, the local community raised equity to support local employers. Now ask yourself, when was the last time that a central Ohio company came public?

Becasue of excessive government regulation the companies that did this work have all sold out to major, primarily New York, investment houses who are not interested in Central Ohio. We need a governor who will lead us back to what works, the same thing that has worked in the past. Lets not look to Washington for help. A governor needs to get the government out of our way.

Carol Bensing:
One of the main things each state has to do is fight for its sovereignty against the Federal government. Number two is a balanced budget done by going through every state pay out and eliminating any programs that are redundant and especially those that are pure pork payouts for votes. Instead of getting casinos to take up the slack in revenue the state should be cutting spending across the board. If public schools aren’t educating our children we should be using vouchers, Many states have successful programs that could be copied instead of starting from scratch.These are in addition to some of the great comments already posted here.

Dr. Thomas Pampush:

Ohioans are so oppressively taxed that I have urged the younger members of my extended family to flee as soon as they graduate college. If they want to engage/start up in business, do it elsewhere. (this is, of course, true of the whole US. Taxes make our goods so expensive to make here that, to remain competative, industry must move offshore.) * ...

Eschew “hands across the aisle.” This is just Republican capitulating to Dems.

I really think that Ohio could be made an economic oasis by reducing taxes to a realistic level. Our present government attitude kills the goose that lays the golden egg.

Thank you, Kasich campaign, for sharing the memo with us; and to the commenters. Ohio has always had a wealth of practical wisdom -- the problem lies with those who would ignore or suppress it. I know the idea of independence runs against the grain of many good, practical, people; but reading the above, what better solution exists for the excesses of government? What else hasn't been tried and failed?

* If that isn't a call for independence, I don't know what is!

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