(WNY) As many advanced economies of the world suffer unnecessarily through self-imposed austerity – where government spending is cut in the mistaken hope of spurring economic growth through lower deficits during a time of poor economic performance, there is evidence in government statistics to show that austerity is happening locally in the Buffalo area. The chart shows seasonally-adjusted employment by all levels of government in the metro area. One quick glance at the chart reveals that since the onset of the recession (the shaded area), government employment here is down.
Recent discredit brought to the policy of austerity through poor economic outcomes and bad supporting analysis requires of policy makers that they disavow support for further austerity, and consider how each issue brought to their short-term attention affects the overall trend for government purchases and employment. More austerity, whether by design or by accident, is not what the (economic) doctor ordered.
NOTE: WNY-WJ will continue providing analysis to show how the policy failure of austerity – government spending cuts in a time of poor economic performance, is contributing to the weak recovery locally.