Resolving unemployment

There are 26 million unemployed in the EU, and no improvement is predicted for several years. But at the same time there are many unremitting needs in social housing, education and culture, nurseries, health, correct treatment of psychiatric patients, care for the elderly and handicapped, personalized help to youngsters in closed institutions, rehabilitation of convicts, public transport, protection of the environment and clean energy, integration of immigrants, more efficient internal revenue services, justice departments and the fight against crime. Publicly funded jobs should be created in these areas that are largely neglected by the commercial sector. The wages paid to the novel jobs will flow immediately into the commercial economy, since families of previously unemployed have many unfulfilled needs. This will raise demand, corporate earnings, private employment, and tax and social security contributions. By the concommitant rise of GDP, the debt ratios will decrease. Poverty and insecurity will disappear for millions of families, and inequality will decrease.The funding required can be assembled by taxing corporations more effectively,by a financial transaction tax of 0.1%, and by European legislation taxing the revenue that is now parked in tax havens. In an immediate step, the ECB should finance governments and agencies at the interest rate offered to banks (0.25%). In the first year the expenditure would be of the same magnitude, or smaller,than the present interventions of the ECB, EU and US governments, or QE by the American Fed and Bank of England.Objections to this proposal are discussed; they are mostly ideological, not economic. Compared to other policies, this proposal is more efficient in creating jobs, and at a cheaper cost for the taxpayer.There are 26 million unemployed in the EU, and no improvement is predicted for several years. But at the same time there are many unremitting needs in social housing, education and culture, nurseries, health, correct treatment of psychiatric patients, care for the elderly and handicapped, personalized help to youngsters in closed institutions, rehabilitation of convicts, public transport, protection of the environment and clean energy, integration of immigrants, more efficient internal revenue services, justice departments and the fight against crime. Publicly funded jobs should be created in these areas that are largely neglected by the commercial sector. The wages paid to the novel jobs will flow immediately into the commercial economy, since families of previously unemployed have many unfulfilled needs. This will raise demand, corporate earnings, private employment, and tax and social security contributions. By the concommitant rise of GDP, the debt ratios will decrease. Poverty and insecurity will disappear for millions of families, and inequality will decrease.The funding required can be assembled by taxing corporations more effectively,by a financial transaction tax of 0.1%, and by European legislation taxing the revenue that is now parked in tax havens. In an immediate step, the ECB should finance governments and agencies at the interest rate offered to banks (0.25%). In the first year the expenditure would be of the same magnitude, or smaller,than the present interventions of the ECB, EU and US governments, or QE by the American Fed and Bank of England.Objections to this proposal are discussed; they are mostly ideological, not economic. Compared to other policies, this proposal is more efficient in creating jobs, and at a cheaper cost for the taxpayer.