In his State of the Union address, President Obama has perfectly defined the Administration’s approach to the current economic situation. The primary proposal is to provide businesses a financial incentive to hire additional employees. No statement could more clearly delineate the difference between a government solution and a market based one. The Administration seems to believe that it would make sense for a business to hire a worker to obtain a $5,000 government grant. That would only be true if the worker made less than $5,000 and the government subsidy continued for as long as the employment.
In the real world, businesses hire more people when more people are needed to make/sell more product to meet demand or to expand markets. As Steve Martin discovered in The Jerk, “It’s a profit deal”. Hiring someone that is not necessary is something only a government would do and only people completely ignorant of the how businesses operate could possibly think would work.