Economic Stimulus: Where Will Jobs Be Created?

As President Barack Obama seeks to get Congressional approval for an economic stimulus package by mid February, it is interesting to look at where the proposed stimulus would create jobs. The Wall Street Journal has released information about where jobs would be created, as released in a report by the Bureau of Labor Statistics. The total number of jobs expected to be created is 3,675,000.

Obama Is Seeking Congressional Approval For An Economic Stimulus Package
Obama Is Seeking Congressional Approval For An Economic Stimulus Package

The most jobs will be created in government jobs as government spending increases. Construction jobs, which will increase by almost 7 million jobs, will experience the largest percentage increase in jobs.

Industry Jobs Created Number of jobs in industry* Percent increase
Mining 26,000 802,000 3.0%
Construction 678,000 6,833,000 9.9%
Manufacturing — Total 408,000 12,981,000 3.1%
Wholesale Trade 158,000 5,909,400 2.7%
Retail Trade 604,000 14,965,500 4.0%
Information 50,000 2,933,000 1.7%
Financial Activities 214,000 8,104,000 2.6%
Professional and Business Services 345,000 17,450,000 2.0%
Education and Health Services 240,000 19,104,000 1.2%
Leisure and Hospitality 499,000 13,468,000 3.7%
Other Services 99,000 5,467,000 1.8%
Utilities 11,000 564,400 1.9%
Transportation and Warehousing 98,000 4,393,800 2.2%
Government — Total 244,000 22,514,000 1.1%

Obama Urges Congress To Take Quick Action on Stimulus

President-Elect Barack Obama gave a major economic address today at George Washington University, urging Congress to quickly pass his economic recovery plan.

The American Recovery and Reinvestment Plan he is proposing hopes to create or save 3 million jobs over the next few years and spur economic growth as the economy continues to slide.

President-Elect Barack Obama
President-Elect Barack Obama

This speech comes one day after reports saying the government would run a $1.2 trillion deficit. The plan will expand government spending even further through a combination of public works projects and government investment into specific industries.

Throughout the speech, which was directed to Congress, Obama stressed the urgency of this particular plan, hoping to get this plan passed before his Inauguration. Festivities surrounding the Inauguration can tend to delay Congressional actions.

“If we act with the urgency and seriousness that this moment requires… we can jumpstart the economy,” he said. “At this particular time, only government can break the cycle that is crippling our economy. That is why we need to act boldly and to act now.”

Obama, with this proposal, seeks to save or create at least 3 million jobs over the next 3 years by investing in health care, education, and energy. Most of the new jobs will be created in the private sector, in industries like energy. Building solar panels, windturbines and creating energy efficient cars are jobs that Obama said “cannot be outsourced”. The plan seeks to save jobs in public sector for teachers, fire fighters and other public servants.

Obama is also proposing that within 5 years, all medical records be computerized because it could save jobs, money and lives by providing a consistent standard for personal medical information.

He also proposed investing in new computers, classrooms and training for teachers to make our students more competitive and an expanded electricity and broadband infrastructure.

Additionally, in order to get people spending again, 95% of working families would get a $1000 tax cut under the plan..

In his speech, Obama also criticized corporate leaders and politicians whom he blamed for putting the country into its current financial state.

“This crisis did not happens solely by some accident of history or some normal turn of the business cycle.” We arrived at this point due to an era of profound irresponsibility from the corporate world and politicians looking to score political points with corporations.