Quote:
Originally Posted by CuteOldGuy
The only way to create jobs is to foster a business climate friendly to their creation. That means people have to feel secure enough to spend, and businesses feel secure enough to expand. That's why we need a stable monetary system. People are unsure what's going to happen next, or what their next major expenditure will cost. Businesses can't plan, because they can't forecast what their taxes will be, or what regulations they may face. It really is executive branch policy that can create or destroy that climate.
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Exactly right.
Government has been an
impediment to job creation rather than a facilitator of it. A good example is the health care "reform" plan passed a couple of years ago. Employers have no idea how expensive the costs and mandates will be, or even whether the whole thing will be ruled constitutional. And it might be a better idea to implement a costly new entitlement program while the economy is strong, rather than when it's struggling to recover from a severe recession.
Another poorly-designed bill was Dodd-Frank, which imposes far more onerous burdens on smaller community banks than on their giant competitors. Few smallish businesses can get loans from the JPMorgans of the world. We need the job creation that small businesses have traditionally provided, and there's considerable doubt that community banks will be in a position to adequately serve them during the coming years.
It might also be worth noting that Dodd-Frank does little to meaningfully address TBTF, so "moral hazard" in the financial services industry will continue virtually unabated.
It's a hell of a "jobs program" for lawyers, though!
POP QUIZ: WHO HAS DESTROYED MORE JOBS, ROMNEY OR OBAMA??
