There is a famous saying in policy circles that the best social program is a sustainable job. In December, rosy administration talking points were contradicted when forecasts of additional jobs being created proved a pipe dream and 85,000 more American joined the unemployment line instead. Regardless of political affiliation, it is time for Washington politicians to make jobs their top priority.
Americans are rightfully angry but they are not naïve. There are no easy short-term solutions, but there are some things that must be part of a road back to sustainable economic recovery. As a candidate for Congress, let me set forth my views and some steps I believe we can take to get the economy back on track.
Like all sectors of the economy, small business has been losing jobs. But that doesn’t tell the whole story. Small businesses that are just starting up or are growing are also hiring far fewer people than they have in the past. Yet over the last 35 years, small businesses have accounted for the creation of two-thirds of the net new jobs in the country. This makes small businesses a critical element of any recovery plan.
A recent study by the National Federation of Independent Businesses cited spending weakness and lack of sales as the major economic problem confronting small business and inhibiting job creation. When you consider that consumer spending constitutes 70 percent of our gross domestic product, it is no surprise that declines in spending are hitting small businesses hard. If we want to grow our economy, reduce unemployment, and create jobs, we need to put more money in the hands of average consumers – not the big banks that have been giving huge bonuses to their corporate executives.