Austrian Theory

Back to Austrian Theory, most of the jobs 'created' are govt jobs. Govt jobs do NOT create economic goods and services. It only serves to take away potential employment from beneficial private sectors and keep the wage rate at a fake high. Some may argue that the jobs created may be long term jobs and in previously private sector / similar to private sector jobs and that the agency is behaving like a private firm. It could be but we must understand a manager installed by a bureaucracy can never be the same as an entrepreneur who puts forth his money and time to invest. In this sense any jobs in this govt private firm only will steer people away from producing true goods that are demanded by the market. This kind of mal-investment will increasingly require support from govt and become a weight to the administration. And when the govt decides to stop supporting, those ppl in these jobs are already trained and have to be trained in other jobs again, thus creating structurally unemployment.