Politicians Get Too Much Blame — and Credit — for Economic Trends

Partisan interpretations of economic data harms policy development

By James M. Hohman | December 11, 2019

Six years ago I criticized a chart that President Obama published about job growth. It implied that he was single-handedly responsible for ending the Great Recession. In presenting the same information in a slightly different manner, the data suggested that the recession continued to intensify for months after the president took office. It’s worth a second look with new data and a new administration.

Policy is important and can improve or hamper the direction of the economy. And presidents also have the ability to wreck the U.S. economy through the vast regulatory, trade and military powers that Congress has deferred to them. But growth comes from the ground up, from individuals finding better ways to give people what they want. Presidents cannot do that for them.

This updated chart of the exact same phenomenon emphasizes that job growth is less partisan than is appreciated. Job growth has remained within a consistent monthly growth range over a period that spanned three different presidential administrations and includes the Great Recession.

And this graph displays the similar data in a different format. It shows a steady increase in the number of private sector jobs in America — a trend that no one politician can take credit for over the period.

Sure, partisans can interpret from these data a narrative about how their party is responsible for the positive development and the other party is responsible for the negative ones.

Another interpretation could be that people are open to a change in government leadership if more people are losing jobs than gaining them. This would mean that changes in job growth cause changes in presidents more than presidents create jobs.

Regardless, presidents receive too much credit and too much blame for changes in monthly job reports. Their policies matter to the economy, but so do entrepreneurs and business managers who do the heavy lifting of economic growth. It would be better to stop providing instant partisan interpretations of job trends.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.

Follow us on social media!

Push back on big government “solutions” by becoming a fan of us on Facebook and X. Plus you can share free-market news to your network!

Facebook

I already follow CapCon!

Oakland County’s New Chief Diversity Officer To Get Up To $143k

Brooks Patterson got $201,193 a year

By Dawson Bell | December 11, 2019

Oakland County government appears poised to create a new, high-level position that will “cultivate a welcoming, diverse and inclusive culture throughout all aspects of the County’s internal and external community.” That’s according to a resolution county commissioners will consider on Thursday, Dec. 12.

The position, to be called the county’s chief diversity, equity and inclusion officer, would receive a salary of $106,000-$143,000, placing the person who holds it in the upper pay range of county employees.

Oakland County spokesman Bill Mullan said the newly created position, sought by County Executive David Coulter, would be responsible for amplifying opportunities for underrepresented ethnic and racial minorities in county employment and county-sponsored programs such as economic development ones.

“We want to make sure we are giving everyone a chance,” he said. “Diversity is our strength.”

Mullan said the job description is modeled on one increasingly used as a best practice in both the private sector and in government agencies. According to a memo prepared by Deputy County Executive April Lynch, the diversity officer will “establish a process to achieve accountability and coordination of diversity, equity and inclusion efforts to drive positive change in all aspects of the County.”

Oakland County’s population is about 14% black, 8% Asian and 4.2% Hispanic, according to the Census Bureau. Minority employment in county government is currently about 8% among supervisory positions and 15% among nonsupervisory ones, Mullan said.

Mullan said specific job qualifications for the new post will likely be developed after the commission approves the resolution.

It was not immediately clear what authority the diversity director would have over operations not directly under the auspices of the county executive. Some of those operations are under the direction of other elected officials, such as the sheriff and prosecutor.

But whatever experience and academic credentials are established for the office, it will be among the highest-paid in county government. Coulter, appointed by commissioners to the job in April after L. Brooks Patterson died in office, receives a salary of $201,193 a year. The county sheriff, clerk and treasurer all had salaries of $154,797 in 2019. Circuit judge salaries were set at about $145,500.

According to the resolution, the total cost for the new diversity officer, including fringe benefits, could top $180,000 a year but would be offset by reductions in contracted services.