In your mind
what is the most important thing effecting
our lives right now?
For many the
answer will be health care, others the deficit, unemployment and still others
is our involvement in Afghanistan. In your estimation what are our elected
politicians doing about the most important thing you have listed as number
one?
In my mind
the answer to all of the above is full employment, stop and think about it, what
does it mean when we have what the government calls full employment: When you have everyone who wants to work working,
the tax rolls bring in maximum revenue.
It means corporations are making a profit and family owned
establishments who hire more employees than any other form employer are doing
well, the outflow of cash from the government in the form of unemployment and
welfare dependency are reduced significantly.
We don’t need more laws and
regulations, to stay competitive companies are forced to include a form of
healthcare for their employees and the income revenue that is based on the taxes
coming into the government is increased tremendously. A country like the United States is much less
vulnerable when the economy is at it highest.
How do we
achieve this full employment? It starts
with money, ever since the banks have been forced to live in the world of new
regulations and restrictions things have turned for the worse, we seem to sometimes
forget that we are a capitalistic country.
These laws though well intended have had a reverse affect on
business. A businessperson normally starts
with a concept, in the past he would talk to his bankers, selling them on the
wisdom of his plan. The bankers would do
a risk management assessment of the plan and put a value on his idea and if
they agreed it was worthy they would loan against it. In the 60’s and 70’s the idea of the venture
capitalist became the rage. Now that the
Venture Capitalist have pulled in their horns and the banks are wary because of
so many new regulations, capitalization money for new business has pretty much dried
up. In
the heart of this last recession long established businesses that required flooring
(loans against inventory) such as appliance companies, furniture stores and
auto dealerships found themselves between a rock and a hard place due to
increased equity requirements. Many of
these firms just closed their doors leaving many unemployed.
The
government controls the reins on our financial recovery, if they loosen up
regulations and offer tax incentives for hiring, the employers of the country
would respond positively. Many
corporations are sitting on large sums of money but are afraid of the onset of
Obama-care and new taxes that will require capital to survive. I think a good government program would start
with the big cities by offering extremely lucrative long term tax relief for
businesses who bring manufacturing jobs back to America. Many of the these cities have an abundance of
vacant properties they could put up to encourage new investment. It’s
a double win whenever a new job is provided, first the person becomes a tax
payer and secondly they’re off unemployment. They go from being a burden on the State to an
income provider for the State. If unions are to survive they need to partner
with these new businesses and instead of adversarial attacks they need to
become employment providers again a double win.
The Union gains membership and these companies
have a long range source of workers.
That’s what
I think, what are your ideas?
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