Bidenomics and You

You might think that the more than 13 million jobs created under President Biden are just recovering the jobs lost in the pandemic, but even if you exclude the 10 million jobs that got us back to pre-pandemic level, job growth since then has been about twice as fast as pre-pandemic job growth under Trump.

Something often overlooked is the incredibly low unemployment rate during this recovery for veterans. Nationally veteran unemployment hit a record low of 2.2%, and has been under 3.5% for 19 straight months, the longest such stretch on record. Workers without a high school diploma and workers with a high school degree who did not attend college are also seeing extremely low unemployment rates. Adjusted for age, a larger share of our population, 16 or older, was working at a job last month than anytime in the last 45 years, or probably ever. Unemployment in 24 states is at or below 3%, a new record. Texas is not among them, we're at just over 4%.

Private business investment in facilities and equipment accelerated, contributing 1 percentage point to second quarter growth. Private construction of facilities alone, such as factories, contributed about 0.4 percentage point, this category’s largest growth contribution since 1981.

The recovery under President Biden has been significantly stronger than Congressional Budget Office (CBO) projected when he first took office. In 2023, the CBO says there will be more than 3 million more individuals employed than they projected when Biden took office. The latest data shows we’re on track to have the first, second, and third best years for new business applications on record, all under President Biden.

It’s not just government agencies making these claims, Morgan Stanley has revised its economic projections upward. Here’s why, infrastructure spending is surging and manufacturing is booming. Both of those forces, manufacturing and infrastructure, are the key parts of President Biden’s economic agenda, which the media is beginning to call Bidenomics.

There’s been a shift in economic arguments that have gone on for many years to one that says investing directly in American workers and American families, via the expanded Child Tax Credit, was the right thing to do in bad economic times. Then in 2021 and 2022, as we moved from relief to recovery, the administration pushed Build Back Better which was not just a slogan, but an actual idea premised on a better way to manage the economy, the Biden team made an affirmative decision to invest in America directly, including over a trillion dollars in infrastructure. And even more cutting-edge was their decision to build safer, stronger supply chains: bringing jobs back home through laws that would build everything from semiconductors to wind and solar to cars and batteries, mostly here at home.

This is Keynesian economics all over again; that’s the Depression era policy that President Roosevelt used to start the country on the road to recovery.

The experience of the past 2.5 yrs shows that we have the tools to avoid painful spells of unemployment and to keep workers empowered with a strong job market. President Biden has been focused on using these tools, and American workers and the American economy have reaped the benefits.

In short Biden’s and the Democrats he leads have been incredibly good for workers in this country and all indications are it will only get better while he’s in office.