Manufacturing 2.0
Rock River Valley manufacturing experts discuss the many facets of manufacturing: technology, education, training, events, people and any other aspects of this important segment of our economy. They’ll use this blog to get the word out and solicit feedback on local and global manufacturing. They hope to better engage our employers, employees and our future work force and increase their understanding of manufacturing.

Archive for January 16th, 2009

The Chamber Will Keep Its Voice at the Table

Add comment January 16th, 2009

 Interesting…

http://www.businessweek.com/magazine/content/09_04/b4117047413995.htm

Job Creation Analysis

Add comment January 16th, 2009

I haven’t seen the details of the latest proposal which now comes in at $850 billion, but I saw that $500 billion was targeted towards Job Creation.  Let’s see, in my world, labor accounts for about 10% ($50 billion) of the cost of industrial equipment.  If an average laborer makes $30,ooo per year this equates to about  1,600,000 jobs ($50 bil. divided by $30K)… IF ALL THE $500 billion is spent in one year.  If it is spent over 2 years, then the annual job creation is 800,000 jobs per year; if over 5 years, the it’s 320,000 jobs per year.

Obviously, if the labor content is more than the 10%, then the jobs per year would increase.  You can do the math, but I thought this might be of interest to those who wonder about Job Creation.

I’d be interested to see another approach.