Obama is right; private sector is OK

President Obama was right ("Obama gets grief over saying private sector 'fine,' " Page A-1, June 9). The only mistake he made was not properly defending his statement. Corporate profits are up 58 percent since 2009. Big business is sitting on trillions of dollars. The CEOs of S&P 500 companies averaged 6-percent raises last year. Since their average salary exceeds $10,000,000, their raises exceed $60,000. The majority of working people don't make that much in a year.

The private sector hires people for one reason: Current staff can't keep up with the demand. Corporations increase profits by firing people and forcing the rest of the employees to take up the slack. Employees are on the wrong side of the ledger.

Demand for corporate products will only increase when the economy improves. The quickest way to increase demand is to have the federal government invest in infrastructure and education. Money can be borrowed at 2 percent. Taxes resulting from the new jobs should produce new tax revenues in excess of 5 percent. This is the approach President Obama has recommended. Again, President Obama is right.

BOB GOULD

Groveland