The Wealthy Are Not Job Creators

Entrepreneur and venture capitalist Nick Hanauer demolishes the falsehood that we shouldn’t raise taxes on the rich due to their being “job creators.” Of course, the continuance of the Bush tax cuts for the wealthy has coincided with high unemployment with rates.  Hanauer focuses on the fact that businesses don’t “create jobs”; they fill jobs in response to consumer demand. It is that demand that results in jobs and fuels the economy. Shoveling more cash at the wealthy is misguided and wasteful, he argues; raising taxes on the wealthy will benefit the true job creators, the middle class, and ultimately the rich themselves:

…I’ve never been a “job creator.” I can start a business based on a great idea, and initially hire dozens or hundreds of people. But if no one can afford to buy what I have to sell, my business will soon fail and all those jobs will evaporate.

That’s why I can say with confidence that rich people don’t create jobs, nor do businesses, large or small. What does lead to more employment is the feedback loop between customers and businesses. And only consumers can set in motion a virtuous cycle that allows companies to survive and thrive and business owners to hire. An ordinary middle-class consumer is far more of a job creator than I ever have been or ever will be.

…That’s why our current policies are so upside down. When the American middle class defends a tax system in which the lion’s share of benefits accrues to the richest, all in the name of job creation, all that happens is that the rich get richer.

… It is mathematically impossible to invest enough in our economy and our country to sustain the middle class (our customers) without taxing the top 1 percent at reasonable levels again. Shifting the burden from the 99 percent to the 1 percent is the surest and best way to get our consumer-based economy rolling again.

…We’ve had it backward for the last 30 years. Rich businesspeople like me don’t create jobs. Middle-class consumers do, and when they thrive, U.S. businesses grow and profit. That’s why taxing the rich to pay for investments that benefit all is a great deal for both the middle class and the rich.

So let’s give a break to the true job creators. Let’s tax the rich like we once did and use that money to spur growth by putting purchasing power back in the hands of the middle class. And let’s remember that capitalists without customers are out of business.

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It Costs to Work in America

Wages, benefits, health insurance?  Many jobs in America, especially those “good middle class jobs” that Republicans talk about, could keep a couple or small family below the poverty line. But there are also costs in working – quite a few.  These costs are the major reason that many unemployed and underemployed  workers cannot “just take any job now, but keep looking for a better job.”  By the way, how much does it cost to look for work?  This calculator helps get a better picture of the real costs, but it does not mention taxes, social security or medicare deductions.  Transportation for much of America is tenuous with few public transportation options – and it’s expensive to own and insure an automobile, very necessary for many commutes.  There are also costs in the loss of time, not only for your work but travel time, breaks (mandatory or non-existent), preparation time for dressing and grooming, cosmetics for women.  These costs of time and transportation are particularly trying for workers in jobs with changing schedules, being sent home early, told to stay home or prone to further cuts in part-time daily hours.  And how about those employers who enforce an “on-call” schedule or mandatory overtime or split shifts or rotating shifts?  If you have ever had to work these kinds of jobs you are also probably afraid to join a union, if there is one, even though unions and minimum wage levels have crossed your mind.

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Plutocrats Create A Criminal Economy With Help of Congress

Best expose’ on US economics ever. Two researchers make good reading from a very serious analysis of past economic studies and history of the US ultra-wealthy that blows away arguments wrongly attributed to Founding Fathers and current economic propaganda- http://www.amazon.com/Winner-Take-All-Politics-Washington-Richer-Turned/dp/1416588698/ref=sr_1_1?ie=UTF8&s=books&qid=1299073387&sr=1-1

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Single Payer Health Good for Businesses!

Should the USA allow single payer medicare for all and relieve employers of the burden of providing health insurance??? Extra policies for insurance supplements, deductibles and copays as well as elective and cosmetic surgeries could still be sold by private corps! – – – http://ehbs.kff.org/

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Cicero Wanted Full Employment for Rome – Shouldn’t the USA?

“The budget should be balanced, the Treasury should be refilled, public debt should be reduced, the arrogance of officialdom should be tempered and controlled, and the assistance to foreign lands should be curtailed lest Rome become bankrupt. People must again learn to work, instead of living on public assistance.” -Marcus Tullius Cicero- 55 BC

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