‘Obama’s jobs plan will be sold as new program’

The situation with jobs in America resembles that of the Great Depression in 1930s, says Max Fraad Wolff, a senior analyst at Greencrest Capital, while the government program to tackle the problem appears to be an old one turned inside out.

­In America, where 24 million citizens have been officially registered as unemployed or under-employed, the news that no new jobs were created in August came as an alarm bell.

“The last time that happened was in 1945,” comments Wolff, adding that youth unemployment is as high as 18 per cent of the average 9.1 per cent unemployment level in the country.

“The American public is sort of fed up with the official rhetoric and promises to tackle unemployment in the country. With the new presidential cycle already begun, the Obama administration has to act feverishly to present a positive picture of working hard in this direction.”

President Barack Obama is preparing to present a program before Congress designed to put an end to the job crisis in the US. But the $300 billion Jobs Act proposed by the Obama administration actually amounts to a mere one per cent of US GDP per year and is about a half the amount spent to save the financial sector two years ago.

“We will be seen this sold as a new program while in fact it is sort of an extension of an existing programme,” he said.