Newsletter: Straight Talk with Sam - Economic Mixed Bag

Statement

Dear Friends,

I remain optimistic about the great potential of the American economy, but concerned about the mounting evidence that Washington policies are preventing a full-strength recovery. Last month's jobs report brought welcome news, but also shows we're not out of the woods yet.

One major concern is labor force participation, which is among the lowest levels since the Carter Administration. The fact is that if the labor force was back to the level it was before the recession, the unemployment rate would actually be 11.1%, not 6.1%. In 49 of the last 50 months, more Americans have stopped looking for work than those who found jobs. A related concern is the high long-term unemployment rate -- those 3 million Americans who have been without jobs for 27 weeks or more. Last quarter's shrinking economy, which lost ground at -2.9 percent, is yet another signal that many Americans are still struggling.

This mixed outlook is apparent in this week's latest survey from the NFIB, which showed that small business expectations slipped. Small businesses need more economic certainty and less burdensome government. The House has passed 40 bills in this Congress that address many aspects of economic growth, from creating jobs to lowering energy costs; however, the Senate has not acted on any of them. The American economy has vast growth potential, but government still needs to get out of the way.

Sincerely,

Sam Graves
Chairman

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