We hear a lot about climate change and climate gate.
What we really could use now is a climate of confidence.
There’s so much uncertainty on every front, at every level. Whether it’s the economy, the deficit, unemployment, health care reform, or taxes, we just don’t know what to expect next.
That uncertainty is hampering our economic recovery in a big way.
We often hear that consumer spending drives our economy. Well, consumers aren’t spending like they did before. You’re no doubt spending less if you’re unemployed or under-employed.
Even those that make up the 90% with jobs are spending less than they use to. I know I am, as are most people that I know. And why is that? Like I said, we just don’t know what to expect next.
We do know what small businesses mean to our economy. A 2009 report from the U.S. Small Business Administration tells us that small firms represent 99.7% of all employer firms, employ over 50% of all private sector employees and have generated 64% of net new jobs over the past 15 years.
Many small businesses are “on the fence” right now when it comes to capital spending or hiring new employees. But that would change if business owners were confident in what lies ahead.
And the confidence level would rise dramatically with a stable tax policy, the prospect of lower taxes, not higher taxes, less government regulation, not more regulation. You get the idea.
A climate like that would get small business off the fence and help jump start this economy.
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