I agree with your point, but I think directing it at the White House program is somewhat harsh. Judging by its description[1], it seems to me more like a program to alleviate the problem of frictional unemployment[2] (something that even the most conservative economists would agree is a policy problem[3]). Sure, getting rid of regulations would increase the demand for labor (more businesses => more jobs available), but that still leaves the problem of whether the supply of labor is correctly trained/prepared/etc. for the jobs available.

[1] http://www.dol.gov/SummerJobs/

[2] http://en.wikipedia.org/wiki/Frictional_unemployment

[3] http://books.google.com/books?id=-X6YnkmadD4C&pg=PA214&#...