That video from Nick is all the rage with the lefties this week. Nicks point about the cyclical nature of consumers and business makes sense but all that video is us some new window dressing on going after the rich. Just more class warfare.
As I said, necessity creates jobs, not capital. "I need that meat so my job is to kill the beast with a spear". Maybe I make the spear myself, though.
1. And then along comes a guy name Colt. People did not know they needed 6 shooters. Then did not know they need Ipads when then were called tablets. They did not know they needed itunes when they were called mp3s. Jobs get created by entreprenuers who satisfy a need in a better way or create a new product. 2. I have a small interest in a venture which just raised a second round of 5 million dollars to buy and flip foreclosures. The guy who runs it just hired two more people. Had he not shown greater than 20 percent returns after taxes on his previous flips he would not have raised the money. He would not have created two new jobs in the office. he would not have hired two fix up crews... he would not have made me extra money which I just used to buy a small related business which has two employees yesterday. Was Itunes a necessity.. how about video games. How about big screens. How about music. how about expensive clothes and shoes from hot designers. The leftist line about demand is mis used. There are supply demand curves... and innovative supply creates demand. Entrepreneurs create jobs.
C'mon guys, yes - customers can create jobs. First you need customers. How can we get customers? Pass a law that requires everyone in the state to get their auto's inspected once a year, woo hoo, millions of owners of registered autos are now customers. This law will create public and private sector jobs and provide public safety. For all practical puposes various laws create customers.
What role do the wealthy play in the arts? The weathly create jobs for artists, musicians, authors, charities, etc.
Fer chrissakes, It just came to me, Obama did create jobs. He wrote a book ( i think it was called "wet dreams of my father"), someone had to write the fucker. But he didn't have any customers so the state dept bought 70k of obama's book. I don't thinnk obama was "rich" in the monetary sense I think he "saved" one job when he had a busted lip fixed (playing basketball) at a walk in clinic.
If governments could produce a "net positive jobs impact" through legislation, we would always be at full employment. Unless net new wealth is created, one person's gain is another's loss. For example, smog tests in California create jobs in one industry and take away from another. If I have to pay $50 for a smog test, that's fifty dollars less I have to spend elsewhere, let's say the local coffee shop. If everyone in my neighborhood has to pay $50 for a smog inspection and spends spends fifty dollars less at the local coffee shop, the coffee shop suffers and lays off employees. Smog inspections may be benficial if they produce better air quality, but smog inspections will not produce net new jobs, just a transfer from one sector to another or a reduction in wealth as people tap their savings (transfer of wealth) to pay the new cost. Caifornia has more regulations than any other state in the country, yet has the third highest unemployment in the nation. Greece has more government employees per capita than any other country in Europe, yet their overall unemployment rate is 20%. If we want smog checks to improve air quality, that's fine. But let's be honest about it. It doesn't create any net new jobs. Smog check fees are actually a tax that transfers money from indivuals to the goverment and their agents (smog inspection stations). The individuals paying the tax can't spend that money at the coffee shop. You're describing what's known in economics as the "Broken Window Fallacy." http://freedomkeys.com/window.htm The glazierâs gain of business, in short, is merely the tailorâs loss of business. No new âemploymentâ has been added.