Joe Biden has pivoted back to promoting his “Build Back Better” multi-trillion-dollar budget reconciliation spending bill now that he has secured passage by the House of his $1.2 trillion infrastructure bill. One selling point that Biden will certainly not make about his spending spree package will be further federal subsidization of unemployment to continue tanking America’s economy.
The latest piece of evidence that will surely go ignored by Biden and the Congressional Progressive Caucus is the Department of Labor’s report on Thursday that showed labor productivity in the third quarter fell back much more than projected.
Nonfarm private sector productivity fell by 5.0 percent in the third quarter of the year, with output increasing by 1.7 percent and hours worked going up by 7.0 percent. It is the lowest quarterly productivity measure since the second quarter of 1981 when productivity fell by 5.1 percent.
Labor productivity is defined as the “real output” of goods and services per labor hour. Growth in this index indicates that workers can produce more goods and services per hour. Declines likewise indicate that the economy is getting less “bang for the buck” because production per hour is falling.
Even though the index shows the worst number in more than 40 years, the Biden administration appears bent on making it even worse. Despite the rebuke of current economic policies that Tuesday’s elections should have given Democrats, Biden cheered the passage of the infrastructure bill and is dead set on getting the most extensive possible spending package passed along party lines.
e Saturday, Biden said that the passage of the infrastructure bill by the House Friday evening had been “long overdue” and said, “we’re just getting started.” As six progressive caucus members refused to vote for the infrastructure bill because it was not paired with the budget reconciliation package, 13 Republicans allowed it to be passed by casting “yes” votes.