American Unemployment

The issue of unemployment in America has been one of the most significant political topics. In August of 2001, the unemployment rate of the US was approximately 4.9%. Now, 10 years later, the unemployment rate has nearly doubled, and is currently 9.1% ("U.S. Bureau of Labor Statistics."). Unemployment has become a major problem today because of its negative effects on the economy overall. The American Recovery and Reinstatement Act was passed in 2009 by President Barack Obama with the aim of reducing unemployment rates and improving the economy through increasing unemployment benefits and government spending on infrastructure (Burtless). These actions were supposed to have stimulated economic growth and reduce the unemployment rate, but have been ineffective overall (Geewax). In a new effort to combat the unemployment which plagues the US, President Obama proposed the American Jobs Act to a joint session of Congress on September 8, 2011 ("Fact Sheet: The American Jobs Act."). Harry Reid, Senate majority leader, introduced the bill to Congress on September 13 ("S.1549: American Jobs Act of 2011").In his televised speech on September 8, President Obama stated that the purpose of the American Jobs Act was to " to put more people back to work and more money in the pockets of those who are working" and "provide a tax break for companies who hire new workers, and it will cut payroll taxes in half for every working American and every small business (Obama)." The American Jobs Act will cost nearly $447 billion, which will be financed through additional deficit reduction ("Fact Sheet: The American Jobs Act."). The overall goal is to cut taxes for small businesses to encourage them to hire new employees, prevent current workers from losing jobs, and spending more on infrastructure to provide work for the unemployed ("Fact Sheet: The American Jobs Act."). There are several major views and beliefs on job creation and high unemployment rate solutions. Democrats, like