Experts Confirm: American Jobs Act Will Create Jobs

Last night, President Obama laid out the American Jobs Act – a set of ideas supported by both Democrats and Republicans that will put people back to work and put more money in the pockets of working Americans.  He urged Congress to pass it right away. 

Today, we’ve seen reports from economic analysts and statements from CEOs.  All of their statements underscore the same message: the American Jobs Act will create jobs and is good for the American people.  It will grow the economy, help middle class families and strengthen communities across the nation.  

Here’s a quick rundown from the experts:

Moody’s Analytics Chief Economist Mark Zandi: “The fiscal boost from the jobs package next year would be larger than in the first year of the 2009 economic stimulus, said Mark Zandi, chief economist at Moody’s Analytics Inc. Zandi, who was briefed on the plan before the president’s speech, forecast passage of the entire jobs package would add 2 percentage points to economic growth next year and bring down the unemployment rate by 1 percentage point compared with current policy, under which a temporary payroll tax cut and an extended unemployment benefits both expire Dec. 31.”

This morning Economic Forecasting FirmMacroeconomic Advisers issued a report: “We estimate that the American Jobs Act (AJA), if enacted, would give a significant boost to GDP and employment over the near-term. The various tax cuts aimed at raising workers’ after-tax income and encouraging hiring and investing, combined with the spending increases aimed at maintaining state & local employment and funding infrastructure modernization, would: Boost the level of GDP by 1.3% by the end of 2012, and by 0.2% by the end of 2013. Raise nonfarm establishment employment by 1.3 million by the end of 2012 and 0.8 million by the end of 2013, relative to the baseline.” 

On CNN last night, Pimco CEO Bill Gross said, “Well, I think it's significant, Piers. I mean, it's $450 billion in terms of a proposal. That is 3% of GDP. If it's passed, you know, it could lead to hundreds of thousands of jobs.”

In a statement last night, Citigroup Chairman Richard Parsons said, “The President's proposed combination of personal and business tax relief, targeted spending to support infrastructure, and aid to states offers several direct and innovative ways of creating jobs and bolstering our economy. The President's focus on assisting small business is spot on, since small business is the engine of job creation.”

The President will continue to make his case directly to the American people about the importance of passing the American Jobs Act. He discussed his strategy to rebuild the economy at University of Richmond this afternoon and he’ll travel to Ohio and North Carolina next week. 

This package will keep cops on the beat, first responders on the job, and teachers in the classroom.  This package will put folks back to work by rebuilding our roads and upgrading our schools.  Plain and simple, this package will create jobs and help rebuild the economy.  The time for obstruction and gridlock is over. Congress needs to put country ahead of politics, and pass the American Jobs Act.

Find out more about the American Jobs Act

Dan Pfeiffer is White House Communications Director
Related Topics: Economy, North Carolina, Ohio