What is the best method for creating new, long-term jobs in the U.S?

The Obama administration seems to believe that more government spending on temporary projects is the best way to create jobs. Common sense suggests that recovery and growth of the private sector is the way to go. Government projects only raise the deficit and create economic uncertainty among the segments of the private sector who have the capital to create real jobs.

It is thus not surprising that the Obama administration has put off deciding on a large-scale private sector project that would create both temporary and long-term jobs and lower the cost of oil in the U.S.--the Keystone XL pipeline. The environmental concerns have already been addressed. See the linked article by a well-known Texas economist.