If Anyone Wonders Why the Economy Isn’t Adding Jobs

First, there’s the news that a deal to extend the Bush Tax Cuts is unlikely to pass Congress before year-end. I expected that (this Congress hasn’t shown any ability to pass anything useful). While both Democrats and Republicans have publicly stated they’ll pass an AMT patch, that hasn’t happened yet (though this is the one item that I actually expect Congress to deal with before year-end).

For business, that means uncertainty. Here’s what that does to businesses:

Meanwhile, here’s what happens to many individuals who want to start businesses today:

Finally, I’ll point out that I’m impacted by all of this. With California facing a $30 billion budget deficit, and Democrats in full control of the legislature and a new Democratic governor about to come on board, I expect tax increases here in the Bronze Golden State. For those who want to hear some different (edgier) music, that brings to mind this tune:

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