Private sector can be trusted
September 15, 2011 Leave a comment
The recent address that President Barack Obama devoted entirely to the employment crisis positively proves that job creation will be one of the most important issues for anyone participating in the 2012 election. So far a major theme of some of the candidates has been to declare, in typically vague terms, their plans to mobilize the government to create jobs and restore prosperity.
Our president’s speech highlighted this trend, especially when he provided a lengthy list of new government jobs without addressing the concerns he recognized as coming from other government leaders. Particularly entertaining features of the speech included his repeated authoritarian statements of “This is a good bill; you should pass it.”
While this is all very fine rhetoric for political elections, it is based off the brute assumption that the government has a helpful role to play in this situation, which the simple state of our economy seems to immediately contradict.
I would like to explore the possibility that our government is not prepared to improve the economy at this time, and that rather our nation’s citizens hold the key to solving the problem.
The nation’s issues with the national debt prevent it from doing much to create jobs. Right now the U.S. government is already the nation’s highest employer, paying roughly 17 percent of America’s population according to a Gallup study.
Already this creates a major drain on our national funds that we can’t simply get rid of. Increasing the number of citizens on the national payroll will work not only to further public debt, but to also worsen the economy.
Under the current cycle, as the government creates more jobs it will, by consequence, have to increase the amount of funds with which to pay for these jobs, further driving the country into debt. This will, in turn, depreciate the value of the money earned by all jobs in the public sector.
While the unemployment rate, which stands at about 9 percent according to the Bureau of Labor Statistics, is certainly a problem to deal with, the increasing public debt, at almost $15 trillion according to the U.S. Debt Clock, is a far greater problem that effectively cripples the government’s ability to make a positive impact on this issue.
As difficult as it may be, it is up to the private sector to right this by trying to create jobs. Private enterprise has a vested interest in making sure employment rates increase, considering the fact that only employees who earn a certain salary can become potential consumers of their products in the future.
Independent from government involvement, necessity will dictate that the citizens of our country find more innovative ways to better themselves, thus bettering our national economy. Under this system we see a different cycle, one in which private business works to better the economy, which then creates an economy that can plug money into its government.
This system, rather than accelerating the debt crisis, will work to slow and eventually stop it. If there is to be a solution to both the job crisis and the national debt, it must start from the citizens up, not from the government down.