Creating new jobs

President Obama claims that the number of jobs has increased in the United States and has been celebrating the fact that the country is now in a state of recovery. The jobs added to the nation’s job recovery numbers are only significant in government service jobs, particularly the Census Bureau.

I find it hard to believe that we are in a true economic recovery. When teachers are laid off across the country, after several years of belt tightening, it tells me that the economy is actually getting worse.

I don’t know how long it will be before we have true recovery, but I have a suggestion that might help the people in political office reconsider their economic policy.

When my youngest son was young, he was the banker for the other two children. If they needed to borrow money, they went to him. He charged them interest and they were able to get what they wanted.

Where do you go when you need money for something? You go to the person with money! The older children would create incentives for Charles so that he would lend them money. In practical terms, if we want to create jobs, who has the money to do it?

The answer is simple. People with money! We don’t go to the poor for investment capital because they don’t have the money. The government has to raise taxes if they spend. Who is left? The rich or middle class with a willingness to invest and take reasonable risks with their money.

To create jobs, we have to provide some type of incentive for people with money to invest their money. Without incentives, Charles would not have loaned money to his brother and sister. Without incentives, investors will not invest. Without investment, there are no new jobs.

The socialist concept of government being the ultimate employer only works to a limited degree. If the government wants to create real job growth, it will happen when people with money are rewarded for investing in the private sector and in technological innovations.