151 online
 
Most Popular Choices
Share on Facebook 32 Printer Friendly Page More Sharing
OpEdNews Op Eds    H2'ed 7/11/15

Jeb Bush wants us to work more for the collective good. Who's the socialist now?

By       (Page 1 of 1 pages)   3 comments

Dean Baker
Message Dean Baker
Become a Fan
  (42 fans)

Reprinted from The Guardian

Jeb Bush's remedy for struggling Americans is to work more hours.
Copyrighted Image? DMCA
>

Former governor Jeb Bush's announcement this week that he thinks people should work more hours puts him in direct opposition to the two leading contenders on the Democratic side -- both of whom are pushing proposals that will allow people to work less. This could mean that 2016 will be an election in which work hours play a central role.

Bush's comment came during a speech in which he listed the things that Americans need to do to reach his target of 4.0% annual GDP growth "as far as the eye can see": increase labor force participation, work longer hours, and increase productivity. (It was not the first time that Bush said that he thought people should work more -- he previously argued for raising the normal retirement age for Social Security.)

The sight of someone who was raised in privilege and relied on family connections to make his careers in business and politics telling the rest of the American public that they have to work more will make good fodder for Bush's political opponents. But this position is actually held by many people in policy circles in both political parties.

Even if almost no one thinks that Bush's 4.0% permanent growth target is remotely plausible, those that agree with his premise that Americans need to work more argue that we need more workers in order to sustain economic growth at all. In particular, they posit that, as our population ages, we will have to keep people in the work force beyond the current retirement age and get more hours of work from them each year until they do retire.

This view is striking given that the United States -- and most of the rest of the world -- has been suffering from the opposite problem for the last eight years: we don't have enough jobs for the people who want them. The United States, Europe, and Japan all have fewer people working than would like to work because there is insufficient demand in the economy. Obviously we can't both have a shortage of workers and a shortage of jobs at the same time.

One of the theories that is getting widely (and wrongly) repeated is that none of us will have work because robots are taking all the jobs. But, while the robots taking all our jobs story is an exaggeration, the basic point is right: we are seeing rising productivity, which means that we can produce more goods and services with the same amount of labor. Productivity, including that spurred by technological innovation, is the basis for rising living standards.

Historically, the benefits from higher productivity are higher pay and more leisure -- if we go back a century, for instance, work weeks of 60 or even 70 hours a week were common. But while the American work week has been largely fixed at 40 hours a week for the last 70 years, other countries have pursued policies to shorten the work week and/or work year through paid sick days, paid family leave, and paid vacation.

Several European countries have actively pushed policies of work sharing as an alternative to unemployment: the government compensates workers, in part, for a reduction in hours rather than paying unemployment insurance to someone who has lost their job. Germany has led the way in pushing work sharing policies, which is an important factor in its 4.7% unemployment rate. And, as a result of work sharing and other policies, the average worker in Germany puts in almost 25% fewer hours each year than workers in the United States, according to the OECD. Most other wealthy countries are similar to Germany: in the Netherlands, the average work year is 21% shorter than in the US and, in Denmark, it is 20% shorter.

The leading Democratic contenders are proposing policies to bring the US more in line with the rest of the world's work weeks. Secretary Clinton indicated that she will support paid family leave and paid sick days, although she has not yet produced specific proposals. Senator Bernie Sanders, the other leading contender, also supports paid family leave and paid sick days, and he recently offered a proposal that would guarantee all workers two weeks per year of paid vacation. That might seem like small change compared to the five to six weeks a year that is now standard in Europe, but it would be a huge gain for tens of millions of workers.

There is a long way yet before the parties select their nominees, but if the general election ends up being a contest between Jeb Bush and either Clinton or Sanders, it will present the country's workers with an unusually clear choice. We will have one candidate who wants to ensure that people can work less but keep the same standard of living, and another who wants people to work more hours and retire later for the good of the country's economy -- and the latter candidate is the one who doesn't identify as a socialist.

Must Read 3   Funny 2   Valuable 2  
Rate It | View Ratings

Dean Baker Social Media Pages: Facebook page url on login Profile not filled in       Twitter page url on login Profile not filled in       Linkedin page url on login Profile not filled in       Instagram page url on login Profile not filled in

Dr. Dean Baker is a macroeconomist and Co-Director of the Center for Economic and Policy Research in Washington, D.C. He previously worked as a senior economist at the Economic Policy Institute and an assistant professor at Bucknell University. (more...)
 
Go To Commenting
The views expressed herein are the sole responsibility of the author and do not necessarily reflect those of this website or its editors.
Writers Guidelines

 
Contact AuthorContact Author Contact EditorContact Editor Author PageView Authors' Articles
Support OpEdNews

OpEdNews depends upon can't survive without your help.

If you value this article and the work of OpEdNews, please either Donate or Purchase a premium membership.

STAY IN THE KNOW
If you've enjoyed this, sign up for our daily or weekly newsletter to get lots of great progressive content.
Daily Weekly     OpEd News Newsletter
Name
Email
   (Opens new browser window)
 

Most Popular Articles by this Author:     (View All Most Popular Articles by this Author)

The Federal Reserve Board and the Presidential Candidates

The Deficit Hawks Target Nurses and Firefighters

The Attack of the Real Black Helicopter Gang: The IMF Is Coming for Your Social Security

The profit on the TARP and Bernie Madoff

Poverty: The New Growth Industry in America

The Real Reason For The Government Shutdown

To View Comments or Join the Conversation:

Tell A Friend