Kevin Price
Free enterprise, not government bailouts, creates long-term jobs
By Kevin Price
September 6, 2009

Both last year and in the early part of this year there was great enthusiasm by some (mainly in government) about the prospects of huge numbers of jobs that were going to be created by "stimulus" packages. Furthermore, voters were warned that, failure to provide such would lead to significant job loses and an unemployment rate as high as 8.5 percent. We were even told about police departments that would lose personnel short of serious government action.

Fox News reported of just such an example, but also provided the "rest of the story." "One hundred days ago President Obama signed his $787 billion stimulus package into law. On February 17 in Denver, Colorado he said the plan, 'includes aid to state and local governments to prevent layoffs of firefighters or police recruits — recruits like the ones in Columbus, Ohio, who were told that instead of being sworn in as officers, they would be let go.' On March 6, the president traveled to Columbus, Ohio to watch the recruits being sworn in as officers. He said jobs, 'all across Ohio will now be saved because of this recovery plan.' But it appears he spoke too soon. The Columbus Dispatch reports if voters turn down a proposed income tax hike in August, nearly 300 police officers would lose their jobs. The 25 new officers who shook the president's hand would be among the first to go. White House press secretary Robert Gibbs acknowledged the Columbus situation during today's briefing, admitting the recovery plan is temporary."

This strikes at the heart of the problem. Every job created by government "bailouts" and "stimulus packages" are all temporary without continuous funding. This is the beauty of market created jobs. Employment created by profit is typically long term employment and self-generated. Jobs that creates profits for the ones that created them, gives those employers an incentive to create more jobs. It is simple economics. The debate on stimulus should have focused on the real source of jobs. That would lead to the passage of competitive tax rates that would make the US the most attractive country in the world for job creation and not through excessive government programs that would lead to burdensome taxes on wealth (and thus job) creation.

© Kevin Price


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Kevin Price

Kevin Price is Publisher and Editor in Chief of

His background is eclectic and includes years of experience in both business and public policy, as well as two decades of experience in broadcast journalism. He was an aide to U.S. Senator Gordon Humphrey (R-NH) and later went on to work in policy areas with some of the nation's leading think tanks including the National Center for Public Policy Research and was part of the Heritage Foundation's Annual Guide to Public Policy Experts... (more)


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