Education Leadership: January 2009 Archives
Dear President Elect, What do Economists Know?
By Dr. Edwin Weaver
January 3, 2009
Today President Elect Obama said, "Economists from across the political spectrum agree that if we don't act swiftly and boldly, we could see a much deeper economic downturn that could lead to double-digit unemployment and the American dream slipping further and further out of reach," (AP News on Yahoo. Com http://news.yahoo.com/s/ap/20090103/ap_on_go_pr_wh/obama ) This was in reference to creating new jobs.
Creating jobs will help, but the psychological effect of losing one's job demoralizes. Have you ever lost your job? It hurts. It takes months, years to fully recover from losing one's job.
I have worked for Rescue missions and other organizations which help the needy and homeless. I have seen men, women and families hit hard times. It demoralizes them completely. Even after they got work it would take months, even years before they started to get back to normalcy.
Yes Mr. Obama, you may create jobs and the person may be working again, but they are still demoralized and will not return to their old habits until they have fully recuperated from the stigma. That means they will not return to their old spending habits for quite some time, which also means a long recovery from this recession.
I have watched these people. I have worked with them. They did not want to spend money for fear of what might happen. They bought only what was absolutely necessary. They feared going back to the streets again. Their self esteem was destroyed and it took time before they felt confident that they could succeed again.
Dear Mr. President Elect, a great leader worries about the people, not only that they are working and that they have food and money, but the great leader worries about their morale also. Their moral is the highest concern.
Economists know about numbers, not people and feelings, that is why economists are not leaders. President elect Obama, you know that it is the people who will make or break this recession. Mr. President, you must focus on keeping the people working at their present jobs. Keep them from falling into a demoralized state which will hurt the recovery of the country.
I am not an economist, but I know people. I have worked with and helped people for over 30 years. Mr. President Elect, you need some people on your team who know the common man and how he/she thinks and feels. If you want our country to recover soon, keep the people working in their current jobs and create jobs for those who are out of work. You will kill two birds with one stone.
You will keep the income taxes coming in from those who are still employed. You will keep their morale up and their spending up, which will help to create new jobs. You will put the unemployed to work giving them a little hope. Between the enthusiasm and the spirit of those who are still working and the chance at a new position by those who are unemployed, the country will take on a new hope. With your charisma leading them, they will pull together to make a new
However, if you let the people become unemployed, they will lose hope. Even your charisma will not excite them. The road to recovery will be long and hard.
Best regards and best of luck
Dr. Edwin Weaver
