Short Term
The very first thing that must be done is establish both consumer and business confidence. Consumers are holding back from buying. Businesses are holding back from investing and hiring due to the uncertainties and financial threats to their business.
Consumers are faced with not only uncertainty, but all kinds of increased costs for basic needs, including taxes, hidden taxes and fees, energy costs and threats of dramatic increases in energy costs, healthcare cost increases, and more. Real inflation to the consumer for necessaries is running from 10 to 15%, or higher.
Both businesses and consumers would like to see fiscal responsibility at the state and federal levels of government. States and the federal government are bordering on bankruptcy and what this causes is a pull for money to pay for it from consumers in one form or another, and it is occurring.
Regulatory agencies are all over businesses. This causes both the threat of increased costs, and well as real cost increases. In addition it causes uncertainty. The federal government needs to back off significantly in this area and work with business in a cooperative, non threatening, way in regard to real issues (not purely ideologically driven) with the environment, energy, etc. Most businesses want to operate in a responsible manner.
The continual threat of increased taxes on business must stop. Both the state and federal government can gain revenue from volume, i.e., increased business growth. This needs to be understood and also what it does is give business the confidence that they can invest and hire.
Sending the message alone would have an immediate impact on business and consumer confidence.
Long Term
The United States should immediately embark on an energy independent plan. This should include responsibly tapping into the vast amounts of oil deposits domestically and off-shore. We should continue with rational conservation. Clean coal, safe nuclear energy, natural gas, hydroelectric power, solar energy, and wind turbine energy can also be pursued so that we are not totally dependent upon oil. We have in our grasp the ability to be 100% energy independent, all that it needs is a committed plan and action. This will lead to the creation of millions of jobs. Further, the standard of living for all Americans would increase, not decrease as with the current path. The cost for energy would surely be less.
We should bring manufacturing back to America. Manufacturing is the core strength of our country with an excellent labor force; an abundance of raw materials; domestic energy sources; readily available transportation through rail, roads and waterways; and a huge market right here in America...tariff free, as well as the ability to ship overseas. Many of the reasons for manufacturing overseas, or giving up manufacturing, are based upon false economics, and a failure to look at ALL factors. Consumers would flock to buy "Made in America". Corporate executives need to re-think where to manufacture, and there needs to be incentives to manufacture in the U.S. This would also lead to millions of jobs in the United States.
There needs to be a "skills gap" study to determine what skills or professions are needed in America. From this determination we should then offer incentives to fill the skills needed through job training and colleges. Lack of needed skills drives up costs, results in lack of service, and results in a lower standard of living. Skills that match job needs increases employment.
Just announcing the above short and long term plans would cause an immediate impact on consumer and business confidence. Immediate job creation would begin and as we followed through with the plans millions of jobs would be created. All of this would also be a huge boon to the economy and would put America back on track.
Tuesday, September 6, 2011
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