The Troubled Asset Relief Program, also known as TARP and the bailout fund, still has a reported $200 billion in funds and may be used to combat the unemployment problem. The unemployment rate is well over 10% despite the official numbers and with job creation seemingly nowhere to be found something needs to be done.
The private sector, small businesses and the government are being looked to for solutions, as many in the private sector aren’t looking to hire anytime soon and small businesses and entrepreneurs are finding it difficult to get loans from banks. So, the Obama Administration and Congress are looking for solutions and are considering using TARP money to aid in things like infrastructure projects and tax credits for employers who hire new workers.
What needs to be done for hiring and the job market to start moving along is confidence from employers and businesses. If people know that the economy is stable and they can risk hiring and expanding then unemployment will begin to fall, but until the economy is stronger many feel employers will not hire. However, by not creating jobs and allowing unemployment to rise there will be less money in the economy, which will be detrimental.
Perhaps, as with TARP big business bailouts, Congress will agree on a strategy that will get the job market back to full strength and allow the economy to prosper again. As with anything in Congress there will be disagreements and seeing as how we are a capitalist nation governmental involvement shouldn’t be overly strong in business. Yet, in a struggling economy that is still feeling the recession any aid at the present will be welcomed.
Struggling with unemployment can be difficult but the economy has gotten much better. Taking a little bit of time to create a budget and stick to it might be a good idea for those still struggling with money.