$300 Billion in Public-Sector US Jobs Under Sanders Presidency

• Author: Jessica Williams
• Posted: 2024-05-08

Bernie Sanders joins every other politician to ever run for office in America, by pledging to create jobs. Unlike many other politicians, however, Bernie wants the taxpayers to foot the bill for this new job creation plan. As a man who has admitted his socialist leanings, preaching the importance of massive government for the betterment of society, Sanders’s latest hypothetical initiative calls for a US jobs program that will be launched by spending $300 billion to guarantee public-sector employment.

One adviser for Sanders actually called this proposal “modest,” based on the trillions of dollars that Bernie Sanders openly plans to spend if elected. Healthcare for everyone, including non-citizens; forgiveness of student loan debt; infrastructure spending; some people have cited Bernie’s plans to cost an estimated $20 trillion or more. So it stands to reason that this $300 billion proposal would be considered “modest” for Sanders.

On top of the $300 Bernie plans to spend, is also a jobs guarantee, which in effect creates numerous new public-sector positions and guarantees that anyone looking for a job can find one, which is taxpayer funded. While unpopular on a national level, Bernie Sanders’s crowd really loves the idea of wealth redistribution and equity among all citizens, so this is a smash hit with his supporters.

Stephanie Kelton, Bernie’s chief economic advisor, estimates that this $300 billion in guaranteed spending would only cost the US 1.5% of its GDP, while offering employment to every citizen who wants to work. While the numbers are questionable and will require further fact-checking, Sanders’s campaign has already started to run with them, as he faces off against Joe Biden, Elizabeth Warren, and other Democratic contenders for the upcoming nomination for the 2020 Presidential Election.

Sanders’s goal here, according to Kelton, is to offer guaranteed employment for every American, while they focus on America’s young adults by forgiving all $1.7 trillion in student loan debt. The ultimate goal is to also provide universal free childcare, rebuild infrastructure, and to make all education effectively free. Kelton did not comment on how much Sanders’s total vision would cost, only the public sector guaranteed jobs initiative.

Why Critics Oppose Such Plans

Critics obviously stand against Sanders’s policies for numerous reasons, though this one in particular because it does nothing to bolster the private sector. As many champions of capitalism and private industry suggest, only private sector jobs actually create anything. Public sector jobs include police, firefighters, teachers, and all government officials. While they might be needed and earn their money, opponents claim, they also do not produce anything to sell.

So, effectively, adding $300 billion to give to public employees creates a net negative in the economy, as the only way the government gets any money back is through taxes, which effectively only take back a small portion of what has been given. At least according to those opposed to the Sanders idea. Those who side with Sanders claim that this is a false way to look at it, as employed people still patronize businesses and are a boon to the economy.

Both sides feel they’re correct on this, of course, so it’s up to history to tell the tale on which side is right. Historically speaking, public-funded stimulus has only worked as a short-term solution, whereas bolstering the private sector has helped the nation long-term. See Obama’s stimulus plan versus something like the industrial revolution for a comparison. Both helped to spur the economy, but the method that sold products and created new wealth had a bigger impact per numbers than the plan that spread money around already in circulation.

Bernie’s Popular Ideas

While according to some polls from Gallup and other organizations, Americans are vastly opposed to socialism, Sanders’s public spending initiatives are still incredibly popular when Americans are asked about them. A majority of people seem to be fine with government offering guaranteed jobs, at a “living wage,” and that the money for these jobs will be taxed from the public. In fact, most of Sanders’s initiatives are individually popular. It’s the package in totality, the final price tag, that seems to scare people away.

Right now, it is unclear how exactly the program would work. Every Democratic candidate is giving vague details about healthcare, immigration, and other important issues, seemingly to work up a buzz running into the Democratic Primaries. The only thing known for certain is that Bernie Sanders is not shy about wanting to spend money with the intention of creating more of it. How that pans out is something only the future knows.