By: Allen West
This morning I flew on a USAir flight out of Charlotte to Ft. Lauderdale and had the chance to speak with a gentleman who owns several Chick-fil-A franchises in the Charlotte area. He was coming to Ft. Lauderdale for a cruise.
I asked him about the impact of the current economic policies of Obamacare, the $15 minimum wage proposal, and other tax and regulatory policies. Without hesitation, he said he’ll have three options if this tsunami hits; reduce his staff (in other words, fire employees), pass the costs to consumers, or shut down franchises – none of those are what I would call good options for a small business franchisee.
I’m not sure why people don’t understand businesses are in business to provide a product or service people actually want and make a profit (and a living for their families) — and don’t exist simply to provide jobs.
The government doesn’t need to provide a service people actually want (i.e. Obamacare) because they can just force you to buy it. Chick-fil-A on the other hand needs to provide customers with a tasty, economical meal all the while competing with every other fast food restaurant.
If the cost of doing business goes up, the restaurant owner has to adjust for it one way or the other. Your chicken sandwich might end up costing you six or eight dollars, instead of $2.99 – or your son or daughter (or you) might lose your job completely. Fewer employees mean slower service. When the minimum wage goes up, employers look for candidates with slightly more experience or maturity who are worth the extra money, and more entry-level jobs disappear for young people. For young blacks, with unemployment around 40 percent, it’s a recipe for disaster.
We all want this economy to turn around but let’s be realistic, it is not happening, no matter how much pixie dust twinkle bell spreads. We need to get back to sound economic policies, and a trustworthy president would also help.
If you’re old enough to recall, at this point in the President Reagan economy we were experiencing approximately 7.2 percent GDP growth. Under President Obama, we’re limping along barely at 2 percent. I know, the progressive socialists are going to point to the Dow Jones Industrial average record numbers as a measure of success. But I would dare them to stop printing money to the tune of $85 billion per month, and then see what happens to the market. And Obama’s pick to run the Federal Reserve is committed to continuing the horrifically misguided monetary policy. That alone is a major indicator that our economy isn’t strong enough to stand on its own.
So instead of staying in Washington DC and working on viable solutions, President Obama is off to campaign and spread more pixie dust – make sure ya’ll put on your masks and don’t inhale.
Do you believe the $15 minimum wage is good for the struggling economy? If you’re a small business owner, we want to hear from you. Go here.
By: Allen West
This morning while running, I was thinking about the recently released unemployment figure for October, down from 7.3 percent to 7 percent, the lowest in five years. Sounds good on the surface, right? In addition, the workforce participation rate ticked up slightly from 62.8 percent to 63.6 percent, but it’s still below the 30-year-average of 65.8 percent.
But here’s the kicker. According to Terence Jeffrey in a report from CNS News, fully 41 percent of net new jobs were created in government.
Things are pretty good in government these days. According to the report, “unemployment for government workers fell from 4.4 percent to 3.2 percent.” That’s half of what it is in the private sector. Where are this president’s priorities? Clearly not in encouraging growth in the free market.
Because there’s been such a proliferation of lies and deceit, no matter how good the news may appear on the face of it, you always feel the need to question.
Case in point, consider the re-launch of healthcare.gov, America has been told how great the second coming of the website has been for those seeking health insurance coverage. But now we find out some 30 percent of those applying actually have no verification of getting insurance coverage. Imagine if you were to place an order on Amazon believing it has been received and processed — oops, for 30% of Americans going to healthcare.gov, no one is on the back end.
Further, the Obama administration is touting record numbers of signups, to the tune of 29,000 the first two days of December. The sad reality is that President Obama needed 55,000 per day to sign up between October 1st to March 1st in order to hit the magic number of 7 million to stabilize Obamacare and redistribute the wealth. Chairman of the House Ways and Means Committee, Rep. Dave Camp (R-Mich) issued a statement saying because of the delays, Obama now needs to have 100,000 sign up per day. Ouch.
We all REALLY want our economy to be restored and for our fellow Americans to get back to work — and I mean quality career full time work. Could it be that the Bureau of Labor Statistics is counting more of the part-time employment as part of this improved unemployment number? Is it possible that this number reflects a seasonal hiring period as we enter into the Christmas (yeah, I said THAT word again) shopping season? I guess eventually the truth will come out.
Oh – the SEC Championship game just kicked off and Oklahoma State just got upset by Oklahoma. They do call that game “Bedlam” after all.
I’d like to hear from you in between commercial breaks or during halftime. If you’ve been unemployed, how long has it been and do you see any prospects? Go here.
Hat Tip: BB
Hat Tip: BB
Hat Tip: BB