Thursday, December 03, 2009

President Obama's "Jobs Summit": Propaganda Without Solutions

Obama's "Jobs Summit" being held today is a cynical photo-op meant to distract the unemployed during the holiday season when hardship is most keenly felt.  Obama wants to be seen as "doing something" about jobs even though he hasn't a clue what to do.  Nevertheless, maybe his "summit" will blunt the effect of the jobs report due out tomorrow, which is expected to be dismal.

That is the opinion of Andrea Tantoros of the New York Daily News.  She writes:
Today, the White House will host a Jobs Summit featuring 100-plus business leaders, union chiefs, academics, mayors and representatives of nonprofit groups.
Obama's goal is to show he's serious about taking action on the backsliding economy and to convince the electorate that public activity means real policy action.
...summits are giant publicity stunts where loads of taxpayer money is spent on fancy backdrops, flower arrangements and so much glad-handing and back-slapping that the participants leave with calluses and whiplash.
Read it all here.

Rush today played a soundbite of Obama blaming the lack of jobs on small businesses.  Basically, Obama opined that the small business owners were more interested in profits than in hiring people.  Obama is right:  profits are the reason people go into business and without profits, the businesses fail and cease operations.  The purpose of businesses is to make profits for the owners; if the businesses are adequately profitable and growing, jobs grow too as a result.  Businesses hire workers when by doing so they increase their profits, not decrease them.

The way to grow jobs is to provide the milieu in which business prospers.  Vast budget deficits, the threat of higher taxes, inflation and schemes like cap and trade and nationalized health care suppress business growth and prosperity.  Obama's policies scare the hell out of business owners and entrepreneurs.  Who would want to invest in risk-taking ventures while this loose cannon is at the helm?  It's better to wait.

Obama's belief that small business owners should hire workers they neither need nor can afford shows how little he knows about economics.  Let me use a simple analogy to show you why his idea cannot work.

A small farmer has a garden of vegetables.  Obama wants this small farmer to give away all of the vegetables to the needy, without leaving any for the farmer and his family to eat.  The vegetables needed by the farmer for his family are the profits.  If he doesn't keep them for himself, he and his family starve...and he doesn't much give a sh*t if Obama likes it or not.

Related articles:
Left Coast Rebel:  The Obama Job Summit:  More Bread Line Solutions


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