Posts Tagged ‘smal businesses’


October 20, 2011

It is just incredible that one simple redirection of federal funds could dramatically increase new jobs in America.  Lloyd Chapman, president of the American Small Business League,  said on CNBC today that the federal government, by law, is mandated to channel 23 percent of federal contracts to small businesses. He also said that small businesses create a hundred percent of net new jobs, but that most of the federal money is going to the Fortune 500 companies that have not increased the number of net new jobs in 30 years. 30 YEARS! No doubt they have shifted tons of jobs to China and other low-pay countries, FOR CRYING OUT LOUD  – sorry for the screaming capitalizations, but, if true, this is insane – start channeling that money to small businesses where the jobs are created.

He says the president’s jobs program simply is about cutting taxes, and that study after study by the nation’s Nobel Prize winning economists have shown that cutting taxes does not create new jobs.  If what he says is true,  it is immoral not to give small businesses the 23 percent of federal contracts they are supposed to be getting. In fact, the percentage should be greatly increased.

Why hasn’t this happened? The obvious answer is that the big corporations have the money to buy the government. It costs a fortune to win a congressional or presidential election. It  seems that BOUGHT GOVERNMENT is the reason we are in the economic mess we are in right now. BOUGHT GOVERNMENT is what we have. It has to change or things will simply go from bad to worse for America’s middle class.