February 6, 2020
ICYMI: AAF President on the Performance of the Economy
In this morning’s Daily Dish, AAF President Douglas Holtz-Eakin examined claims that the economy is not performing as well as it did under the Obama Administration. The arguments that the economy is performing worse now than previously are largely based on selective comparisons, he notes.
The main problem here is that job increases are not comparable at different points in a cyclical recovery. Early on, it is relatively easy to put large numbers of unemployed workers back on the job. As the expansion ages, the low-hanging fruit is gone, and the only way to keep job creation at the same pace is to attract those disconnected from work into the labor force. That’s a much harder policy challenge.