Friday, January 22, 2010

Why isn't this surprising?

Massachusetts unemployment took a jump from 8.7% to 9.4%.

While some economists think the recession is technically over, the jobs picture in Massachusetts continues to worsen, with the unemployment rate jumping to 9.4 percent last month from a revised 8.7 percent in November, according to new data.

Employers slashed 8,400 jobs last month.

“It’s an unpleasant surprise,” said Northeastern University economist Alan Clayton-Matthews. “At first glance, it looks dismal.”

Unpleasant surprise? Well it sure is unpleasant but it isn't much of a surprise. Employers cut jobs when taxes are increased. That's called common sense. Or they just leave the state completely. Raising taxes, like Deval has done, is the worst possible thing that can be done in the middle of a recession. How is taking money out of the peoples pocket going to stimulate anything?

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