You have to admit that the people who own or operate businesses and have done so for any length of time are smart. Some like to think that those same business owners, to a certain extent, just got lucky. One definition of luck is the convergence of preparation and opportunity. The bottom line is that a company does not stay in business, nor employ people by accident. Everything about any business is being watched by somebody.
Recent unemployment numbers show that nationwide, we are at 7.2%. All of those job cuts are not due to loss of business, or an economic downturn. Businesses, small businesses in particular, are paying attention to what’s being proposed, from stimulus packages to tax increases. It’s no secret that any new spending has to be subsidized by somebody, and according to Obama and the democrats, it’s going to be the small businesses and and the people who are already paying more than their fair share. More than likely the victims of these tax increases will not even be able to benefit from the programs that their money went to.
These businessmen and women, knowing that added expenses are imminent, have simply chosen to preempt them. The results are fewer raises, lower pay, layoffs or job cuts, and closings. After all, the priority for any business is to stay in business and show a profit, not to provide retirement, healthcare, prescription drugs, or any other benefit that people think they’re entitled to.
The architects of these new stimulus plans and tax increases will simply ignore what is happening. Since votes seem to be more important than the economy, they will see that the benefits go to the people who voted them in, most of whom probably have no desire to ever own or operate a business or for that matter do anything other than collect benefits.
