NJ-04: The Bush-Smith Economy

Cross posted at Blue Jersey.

American families are hurting because our economy is hurting. Just in the past six months, we’ve seen almost half a million American jobs disappear. To take a longer view, George W. Bush’s administration has seen the weakest job growth, less than half of one percent per year, of any President since Herbert Hoover. The Bush-Smith record on jobs is abysmal. By contrast, under Bill Clinton jobs grew at five times that rate (2.5% average growth per year). And no one can accuse Chris Smith of having supported Bill Clinton.

More after the jump.

Job losses are one problem, and inflation is another. During the past twelve months, wages have risen by 2.8%. While that sounds good, inflation has jumped 4%, which means that the average person who has actually had a job has had his or her salary cut by more than 1% over the past year. It’s worth mentioning that the average American family’s annual household income is actually lower now by about $1000 compared to when George Bush took office seven years ago, while health insurance premiums have doubled (from $6000 to $12,000 per year) and, as we all know, the price of a gallon of gas has tripled. American families are losing ground. We need to do something, and we need to do it now.

President Bush and his allies in Congress blocked an attempt by progressives to extend unemployment benefits, on a temporary basis during this difficult time, by an additional twenty six weeks. All they would allow is thirteen more weeks. When breadwinners lose their jobs, families lose more than money, they can lose health insurance, they can fall behind on mortgage payments, they can lose a sense of security and well-being. That’s why I opposed George W. Bush, and support extending unemployment benefits by an additional twenty-six weeks.

One of the other key problems hurting families and hurting the broader economy is the housing and mortgage crisis. Homeowners, too many of whom were sold mortgages by brokers using deceptive practices, can’t make their payments because they lose their jobs or because of rising costs of living (or both). This leads to more foreclosures, which then hurts the value of everyone else’s homes, leaving many of us with negative equity. We have a vicious cycle that has to be broken.

It didn’t have to be this way. George Bush and his supporters in Congress, like Chris Smith, turned a blind eye to the excesses in the housing and mortgage market. Smith voted to deregulate the financial services industry in 1999, opening the door for the Wild West lending practices of the Bush years that helped bring about the subprime mortgage crisis [S. 900, Vote #570, 11/4/99] Smith, Christopher (NJ/R) Y. It’s par for the course when dealing with Republican mismanagement.

More broadly, we need to have an economy that grows, and whose growth does not only benefit those who are already wealthy. I know that working people’s energy and productivity drive economic growth, and I’ll fight to make economic growth work for all families. That’s why I’m running for Congress.

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