Conservative News & Commentary

Apr 7, 2012 — by: A. Smith
Categories: Economics, Government

How to Create JobsIt's amazing how many smart candidates we have this year. It doesn't matter whether they are running for County Commissioner, County Sheriff, State Representative or State Senate. Almost everyone is saying the same thing: 

In order to solve government's fiscal problems, we need to create more jobs.

Seems like a simple statement. Seems like the right thing to do. But here's where the rubber meets the road — how? The way someone answers how they would "create jobs" tells you much more about them as a potential government official, than does their statement that we need more jobs in our local economy. That part is easy. Just say it. Now you are brilliant too.

But how does government create jobs? Well this is where we hear either confusion or some real bad ideas. Some suggest the way we will increase jobs in our county is to focus on Public Safety. This way companies will know our community is safe and then come here to do business. So in order to do that, we need to raise taxes. Others think education is the answer. If we would fully fund education (by passing a "temporary" ballot measure) then businesses will see we have good schools and flock to our county. But these ideas have a serious flaw concerning job creation — this is not how companies think. Sure businesses are concerned about crime rates and education for children, but these ideas are not the driving force behind business decisions. Successful companies are singularly focused on one idea and one idea alone — profit.

Businesses do not open new locations or expand current operations in order to create jobs. If you didn't catch that let me state it again. Businesses do NOT open new locations or expand current operations in order to create jobs. Jobs are the by product of profits. Businesses hire more people when they can see that additional employees will create more profit. Without profit, there are no jobs. If hiring one more person makes a business less profitable, then that person will not be hired (unless forced by some government regulation to do so).

Therefore, the real question to those seeking office is,

What policy or policies will you put in place that will allow local businesses to become more profitable?

A different way of asking this question is,

What taxes or regulations are you going to lower and/or remove in order for local companies to show more black at the end of each month?

Increasing profits are the only way jobs are created in a sustainable way. Until a candidate understands this principle, and is willing to stand behind it, then they do not understand how companies think and will only cause more problems.

2 Comments

  1. Christine Hankins ~ Apr. 8, 2012 @ 8:25 pm

    Right on! It's about time we started thinking of profits as the good thing they are, the engine of growth. The watermelon commies (green on the outside, red on the inside)that control this administration have made profit a dirty word, and the media (that ironically depends on profits)have played their tune and reinforced the concept. #
  2. Brian Smith ~ Apr. 9, 2012 @ 7:27 am

    Great article....you should add changing our Economic Development focus to businesses and industry that will create long term viable opportunities for themselves and our community, something our current Economic Development programs have not done for over seven years. #

Leave your reply (* = required field)

* :
* :
:
*
* Comment: