It would help a lot of the government wouldn’t keep stomping them down.

But you can’t waste a crisis, and if you haven’t accomplished everything you want with it yet politically, you have to sustain it, just as the Roosevelt administration did, for years. Let’s hope that we’ll be on to them this time around.

[Update a few minutes later]

Will we be saved by California?

The California morass has Democrats in Washington trembling. The reason is simple. If Obama’s health-care plan passes, then we may well end up paying for it with federal slips of paper worth less than California’s. Obama has bet everything on passing health care this year. The publicity surrounding the California debt fiasco almost assures his resounding defeat…

…The federal picture is so bleak because the Obama administration is the most fiscally irresponsible in the history of the U.S. I would imagine that he would be the intergalactic champion as well, if we could gather the data on deficits on other worlds. Obama has taken George W. Bush’s inattention to deficits and elevated it to an art form.

The Obama administration has no shame, and is willing to abandon reason altogether to achieve its short-term political goals. Ronald Reagan ran up big deficits in part because he believed that his tax cuts would produce economic growth, and ultimately pay for themselves. He may well have been excessively optimistic about the merits of tax cuts, but at least he had a story.

Obama has no story. Nobody believes that his unprecedented expansion of the welfare state will lead to enough economic growth. Nobody believes that it will pay for itself. Everyone understands that higher spending today begets higher spending tomorrow. That means that his economic strategy simply doesn’t add up.

Well, it does to some of the economic illiterati in my comments section. As I said, let’s hope the rest of us figure it out by next November.

Ask the manufacturers:

More than 17 percent of those who answered said they would have to shut down their business because there is no way they could handle the kinds of increases being predicted.

The unscientific poll taken of Manufacturing & Technology eJournal readers from June 28th through July 1st drew 943 responses.

OTHER CHOICES INCLUDED:

Would raise the price of my product or service to customers (22 percent);

A combination of price increases, personnel cuts and reductions in pay and benefits (20 percent);

Switch to a 4-day workweek (15 percent);

Layoff workers (14.5 percent).

But hey, what do they know?

Speaker Pelosi was right that that is what this is all about. And she and the Congress continue to destroy them and prevent their creation:

…millions of full-time workers are being downgraded to part-time, as businesses slash labor costs to remain above water. Because people are working less, wages have fallen by 0.3% this year. Factories are operating at only 65% capacity, while the overall jobless rate hit 9.5%. Throw in discouraged workers who want full-time work, and the labor underutilization rate climbed to 16.5%.

The news is even worse for young people, with nearly one in four teenagers unemployed. Congress has scheduled an increase in the minimum wage later this month, which will price even more of these unskilled youths out of a vital start on the career ladder. One useful policy response would be for Congress to rescind the wage hike to $7.25 an hour (from $6.55) that is scheduled for July 24. But the union economic model that now dominates Washington holds that wages only matter for those who already have jobs. The jobs that are never created don’t count.

This is right out of the New Deal play book. Price labor out of the market by government fiat. And keep kids (many of whom live with their parents) from climbing on to the first rung of the employment ladder. Teenage unemployment is 24%, and they raise the minimum wage. Brilliant.

And then there’s this (part of a huge grand indictment of Waxman-Markey):

Naturally, Big Labor gets its piece of the pie, too. Projects receiving grants and financing under Waxman-Markey provisions will be required to implement Davis-Bacon union-wage rules, making it hard for non-union firms to compete — and ensuring that these “investments” pay out inflated union wages. And it’s not just the big research-and-development contracts, since Waxman-Markey forces union-wage rules all the way down to the plumbing-repair and light-bulb-changing level.

Via Kaus, who also notes that if this insanity is extended to health care, you can kiss any hopes of cost savings goodbye. We’ve got to put the brakes on all this economic vandalism, somehow. I hope that we can finally stop it in the Senate.

[Update a few minutes later]

The dog will hunt, but it can’t find anything.

[Late morning update]

The worst job market for teens since 1965. But let’s be sure to raise that minimum wage.