On The Road with Dave: The Job Creation Atmosphere
“A wise and frugal government, which shall leave men free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned – this is the sum of good government.”
Note: Below is a brief summary of this week's video. Please click the link above to view the entire topic.
Jobs Are Not “Natural” Things…
Any discussion involving jobs and employment recovery efforts must start with an acknowledgement that government does not—and cannot—create jobs. Entrepreneurs do. Government’s sole obligation in the job creation realm is to set the proper atmosphere for entrepreneurs to flourish…and this means creating a favorable risk environment based on tax and spending policies. The more government taxes and spends, the greater the entrepreneur’s risk toward creating a profit, and, in turn, the less likely the entrepreneur is to create new jobs. Conversely, conditions are favorable for such risk when government lowers taxes and reduces spending…which is the exact opposite of our current climate.
Put simply, jobs are not “natural” things—they’re not created unless a very specific and favorable atmosphere is present…and unless government interference and influence is absent.
Government’s Vested Interest in Staying Out
Government has a vested interest in making sure the atmosphere they foster is “job-friendly.” First, when an economy is strong (and growing) and people are employed, they’re generally happier and are able to provide for their own basic needs and wants. Secondly, because it provides a set of services that are otherwise infeasible for us to afford individually (such as military protection, fire/police services, etc.), government does need to create tax revenue to pay for these programs. When the economy is weak and unemployment is high, tax revenue is significantly harder to raise…and raising taxes or imposing new government spending (like on health care programs) severely exacerbates this problem.
It’s going to take leaders with integrity and character to eliminate government programs and cut taxes in Washington so we can start creating jobs again. And with the right people, ideas, and energy in public office to get government out of the way of the people, ideas and energy in the private sector, there’s no limit on what this great country can accomplish!
I hope you enjoy the video and I look forward to seeing you on the road…
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Paid for by Westlake for Senate, Tim Beine, Watertown, WI, Treasurer