Obama's jobs summit is an exercise in futility

Small businesses employ the majority of American workers.

Internet photo

President Barack Hussein Obama hosted a jobs summit at the White House this week. Attending were Joe Biden, Democrat politicians, a bunch of academic eggheads and economists, a gaggle of nonprofit execs, a whole flock of union flacks including Obama’s SEIU allies, ACORN thugs and … oh yes, a handful of corporate CEOs who have shown support for Obama in every aspect of his presidency. In other words, he has invited to the summit a pack of his own yes men .

One group that truly represents the people who employ most Americans, the National Chamber of Commerce, was not invited to attend that summit. I’m convinced that none of those who visited the White House will provide a solution to our failing economy and rising unemployment rate because most of them never ran a company, never had to hire workers, make payroll, provide health insurance for their employees, or address the costs associated with doing business.

You will recall that Obama touted himself (he always touts himself) as the only candidate with real solutions to our national ills. At the jobs summit he asked attendees what he could do to get America working again. What could he do? He ran his presidential campaign with the bold claim that he knew exactly what to do. But it is becoming obvious that he doesn’t have a clue and he is in way over his head. That’s why all the goofy ideas he has pushed through Congress; auto company bail outs, bank bail outs, Cash for Clunkers, and the economic stimulus program, have served to make matters worse. He even misspent Bush’s TARP money. Even worse, he is pushing hard for national health care and Cap and Trade which most Americans oppose and will cost trillions during a major recession. That’s why joblessness continues to climb upward, the dollar’s value continues to sink, and American worker’s morale has been diving toward an all-time low.

The jobs summit is an exercise in futility. If Obama really wants the economy to thrive and employment to climb, he should be talking to the people who have made our economy vibrant for over a century -- small business owners.

I founded and managed my own retail business for eighteen years. Today I am a sales representative for a merchant services company in Milwaukee. I meet with business owners every day to try to find ways to reduce their operating costs. Any of them can provide valuable information that, if heeded, will turn this economy around on a dime and get Americans working again.

Here are just a few of the things I gleaned from speaking with members of the small business community:

When more money is required for life’s necessities, less discretionary income is available for everything else. The solution is an immediate and permanent federal income tax cut. John Kennedy, Ronald Reagan, and George W. Bush used cuts in the personal income taxes to drive economic recoveries and set the stages for the economic booms that followed. After cutting taxes the government experienced an influx of revenue from increases in commerce.

Uncertainty is death to small businesses. One common thread runs through the business community. Business owners are unsure of the future. Will inflation rear its ugly head? How much will they be penalized for not providing health insurance for their employees? If they do provide health insurance what will the cost be? Will they be able to secure a business loan in the future to address expansion needs? Will rising costs on goods and equipment become so prohibitive that they can’t compete in the marketplace? Will there be additional job-killing taxes? And numerous other unknowns that keep business from hiring new employees or investing in their operations. Business owners must be willing to take some risks, but the inability to foresee what is ahead makes the risks so great that many are hesitant to consider future growth and expansion.

Rising energy costs hurt business. Cap and Trade legislation assures that all energy costs will skyrocket. That means fuel for running cars and trucks will dramatically increase the cost of delivering goods. Fuel is also required for the machines needed to plant and harvest crops. Food will become more expensive. Green energy sources are so inefficient that they aren’t worth mentioning as a possible solution. Heating and air conditioning, necessary for every business, will also increase in price. That means that the American people will have to pay more for everything they purchase.

Inflation is nothing but another insidious tax. Our government is spending money at an unbelievable and irresponsible rate. To compensate the Federal Reserve is printing carloads of money with nothing of value to back it up. As the dollar drops in value costs of all goods rise, especially imported products. It used to take a purse full of money to purchase a wagonload. It won’t be long before it takes a wagonload of money to purchase a purse.

Capital gains and inheritance taxes freeze investment. Many business owners want to use the profit they gain from the sale of property or their businesses toward larger expansion, for security after retirement, or for their children’s secure future. But high capital gains and inheritance taxes are forcing them to hang onto the property they have, which serves to restrict the flow of capital that could be freed up to help our economy grow.

Obama should have sent the job summit attendees home and spent a little time visiting the small business owners across America to find his solution. Government got us into this mess, and only the marketplace can get us out.

Mr. Obama, instead of trying to find ways to increase jobs, get out of the way and let small businesses do what they do best. Job are sure to follow. The next time you want to know how to fix the economy and increase employment, invite the National Chamber of Commerce to a summit along with a bunch of small business owners.

They’ll show you how it is done.