All Commentary
Thursday, July 15, 2010

Profitable Firms Still Aren’t Hiring


“Nonfinancial companies are sitting on $1.8 trillion in cash, roughly one-quarter more than at the beginning of the recession. And as several major firms report impressive earnings this week, the money continues to flow into firms’ coffers. Yet all the good news from big business hasn’t translated into much promise for jobless Americans, leading many to wonder: If corporations are sitting on so much money, why aren’t they hiring more workers?” (Washington Post, Thursday)

Robert Higgs calls it “regime uncertainty.”

FEE Timely Classic
“Government Must Stimulate to Avoid a 1937-Style Recession? It Just Ain’t So!” by Ivan Pongracic Jr.