Tuesday, September 6, 2011

Jobs Creation: Do Republicans see anything beyond cutting taxes for the Rich?

Keywords or Terms: Republican Party; Gov. Romney Jobs Plan; China; India; Trickle-down Economics; Corporate; Tax Breaks; Foreign Wars; NAFTA; President Obama; Infrastructure Spending; Tax breaks; and Bold and Revolutionary jobs’ creating strategy.

Within the Republican Party, are conservatives, ultra-conservatives, moderates and believe it or not, some liberals. Each of these groups has its favorite candidate among the slate of aspirants for the office of the Presidency in 2012. When each group member listen to any aspirant render a speech, each hears his or her own biases. But Governor Romney’s Speech on jobs' creation beats so many hollow to a point that some plainly said, there is hardly any thought or revolutionary reasoning in the aspirant’s proposal on the endeavor. In one sentence Romney wants to cut taxes for the rich, expand corporate welfare, drill more oil and slam down China for monetary policy. The blog today makes a case that it is going to take more revolutionary and earth shaking strategy than the old worn and unresponsive Republican mantra for resolving America’s problem of unemployment.

Given to the usual mantra of Republican strategy for governance, cut taxes, cut government to the bare bones, expand government corporate welfare, exploit more natural resources and go after the exclusionary communist state, Romney exhibited laziness of thoughts, absence of understanding of the reality of globalization in the new world order and a genuine understanding of what is going to take to turn this economy around. Governor Romney repeated the same things previous Republican Presidents advanced and romanticized with, which hardly yielded positive results for job creation in similar economic environment; or, offered solid solutions for unnerving the writhing grips of high unemployment. Romney identifies with the old Republican hollow mantra: Trickle-down Economic Theory or Reaganomics. This is a policy that Reagan himself relegated to the back waters, as he increased spending on some social welfare programs that were once criticized as bloated and reason for the nation’s huge deficit in late 70’s and early 80’s. Romney failed to address some short comings of NAFTA, which many observers of public policy denounce as one of the reasons, why unemployment is so high in today’s America. Although I do not share that last observation, as I am not so much of a protectionist, I still believe that there are some issues with NAFTA that are not working completely in the interest of America’s economy.

Republicans are completely focused on unseating President Obama; hardly taking cognizance of what it takes to address the jobs crisis in America. A survey taken recently by the Pollster found President Obama’s job approval rate at 62%; implying 38% are still likely to give him the benefit of doubt. The reason for his poor score card has been associated with how he has handled the economy. There is the argument that our congress and senior politicians, from both aisle of congress, have failed to address policy issues in bills that could have saved the nation from the pains and pangs of unemployment. Republicans have remained the stumbling block all the way, failing to stand up for what the people want: jobs, jobs and jobs, again. Democrats have not fared much better, considering that their jobs creating initiative has not been huge enough to create the required dent in the nation’s unemployment. From recent polls come the optimism of 38% percent of Americans; that, the President has stood firmly in support of America’s interest and showing commitment to grow this economy by creating jobs; but it seems that the nation’s tax laws reward more overseas investments by corporate America. The tax loop holes have made it somewhat difficult for the nation to grow jobs at the rate necessary to deal with high unemployment or a cyclical economic regime. The argument is for a revised tax codes among others, to help kick start the economy and grow jobs in America. The challenge for President Obama in his forthcoming speech to the joint session of congress on jobs’ creation is how to engage the 62% of Americans who are not so fund of his administration’s effort on job creation. It is up to the President to deliver and save his chance at a second term in his forthcoming speech to the joint session of congress and the nation.

According to Warren Buffet, it is about time the rich pay their fair share of the nation’s revenue shortfall by accepting increased taxes; and, better shared sacrifice from people like him. Similar observations have been made by the GAO, which indicate that if the nation allows President Bush’s tax cut for the rich to expire this coming January, the nation will be able to cut its deficit in half, that has so much been the concern of the Republicans. President Obama may only succeed by going beyond a small planned infusion of government’s investment in jobs creation. The Professional Association of America Engineers has indicated that there are about two and half trillion dollars infrastructural spending needed now to keep pace with our national needs and future expansion. Investing money in infrastructural refurbishing, rebuilding and enhancement are best bets for creating immediate jobs in the economy. Protecting seniors’ retirement portfolios and keeping them in their homes are essential ingredients for unraveling the current economic depression. Now, does Romney’s Plan or pseudo plan scratch the surface of these problems; or attempt to accomplish anything worthy of note? The answer to that question is a resounding no.

Not all Republican’s response to getting the nation’s economy back on track are dismissive; however, when a candidate attempting to unseat the current President is engaging in demagoguery like growing our economy will be achieved by cutting taxes for the rich and not growing government, or offering loose statements about a foreign country’s currency regime, most of which Democrats have insistently made effort to correct in the past few years, you begin to wonder: where has Governor Romney been in the past decade, when Republicans opened up government coffers to the rich through huge tax cuts and engaged in lousy and contestable foreign wars? It is about time that Republican aspirants begin to make the most of the available economic advisers within their campaign ranks or team. Instead of improvising plans that have previously been offered and found wanton in fighting unemployment, Republican aspirants have to show a noticeable way to unravel the unemployment problem, if they want any voter to look their way come 2012.

For instance, President Obama’s last stimulus plan was close to fifty percent tax cut; yet we have not been able to make a huge dent in the unemployment rate. This same ineffective and somewhat loose strategy is being proposed by a candidate presumed to be a front runner among some Republicans for nomination to be the flag bearer for their party. I’m a proponent of effective economic public policy, which can make a difference in solving challenging national problems. Take investments in infrastructural spending to boost job creation for example; it isn't really a completely hot solution for resolving the huge unemployment problem; but, it stands the best chance at bringing about million of jobs in building, construction and manufacturing. This is the type of revolutionary and responsive initiative that is needed to engage this problem. Now, for this strategy to make a remarkable difference, the infrastructural spending must be huge enough to cut into unemployment rate across the board. As much as it is probably going to add to our deficit in the short-term, it stands a better chance of bringing about change in the number of jobs available to Americans, fifteen million of whom have been out of work one day too many. Yes, this concept may push so many fiscally concerned or conservative voters out of their comfort zone; however, it is probably the best or the most powerful to engage the unemployment problem that has beleaguered the nation’s economy recently.

Any job plan at this time in the nation’s effort or dilemma, must not only be revolutionary, it must be huge enough to make a noticeable difference in the unemployment problem and the challenges facing middle class America. Governor Romney’s plan looks more like an improvising plan to what Democrats have already tested and found insufficient to take on the problem. Romney’s plan makes so many Republican candidates that may be running behind him for the party’s flag bearer, awkward and utmost lousy in their efforts. Cutting corporate tax rate, expanding exploitation of carbon-based fuel sources, giving more tax cuts to the wealthiest among us and bashing a foreign country for her currency regime are not as revolutionary for any candidate seeking to unseat President Obama. A former Massachusetts governor that touts his 25 year experience in the private sector ought to do better than the plan advanced by Romney on jobs' creation.  Some critics have indicated that buying up failing firms or investing in companies to make quick monetary returns as characteristic of Romney’s past experience in the private sector, hardly translates or means experience in creating jobs; especially, when he had actually specialized in laying workers from his newly reconstituted firms after a buy out or take over. As the governor’s experience has involved, merging companies, cutting wages and unloading labor force after buying those companies on the cheap, it is really hard to believe that such a candidate can address the issue of jobs creation as we now need in America.

If Governor Perry is the Republican front runner by some polls out there, the ideal question for Mr. Perry now is: Where is your job plan or, when is he going to lay out his plan? The demand for work in America today is limitless. America is badly seeking plans and strategies that create opportunities for the skilled and unskilled labor force. Leadership in jobs creation is essential for the nation to match the challenge at hand. One half of the nation’s retirees’ wealth has evaporated and there is probably a glut of 4 million foreclosed homes and another five million in the pipeline, if the unemployment problem does not budge. The nation is not seeking a smooth talker or a wishful thinker, what the nation needs, is a leader who can get Americans jobs, allow them to hold on to their mortgages and rebuilding their lives once again! It is unlikely that Americans voters will simply improvise anyone for the current President just because he or she says he has the experience to create jobs out of merging companies or buying them on the cheap for a quick turn around; or that their state has the lowest unemployment in the past years. All those out of work seek employment and hardly care about promises or past achievements of any candidate for the White house’s oval office, at this time.
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