Posted by: whatsreally | May 17, 2011

The Politics of Job Creation

The President needs to fix the job market! Mr. Governor, create some jobs! I would be employed if it were not for those idiots in Washington! The EPA is killing jobs! Lower Taxes and you will create jobs! Its taxes idiot!

These are all popular sentiments circulating throughout the American populace. The state of the job market in the United States is all the topic of the moment. People are out of work, angry, and ready for change. They want answers and they want action, they want jobs and they want them now. In short, they are mad as hell and they aint gonna take it anymore.

Now that the problem of anger and joblessness has been identified let’s look at solutions. Gripes and accusations are cool, but we need answers to the perplexing issue that is the state of the job market in the United States. What can be done, what can politicians do, where should we go? I hope to shed some light on the real problem with the job market and unveil the public so that they can see clearly, what is in front of them.

The political solution

The President is endowed with great powers but creating a sustainable job market is not one of them. The job market is an amalgamation of things and no single factor controls whether companies decide to hire more employees. The current political speech says that taxation, regulation, and uncertainty are job killers. That is simplified rhetoric made to excite the masses and it is intellectually dishonest.

Jobs are not necessarily created nor destroyed as much as they are shifted from one place to the next. It is no coincidence that there is a jobs boom in China and other Asian countries at the same times that there is a shortage in the U.S. Are the tax structure, regulation, and level of certainty better in China than the U.S.? No. The thing about the Chinese situation that is superior to the U.S. happens to be the wages that the Chinese worker will work for, they are willing to work for less and put up with more than the average person in the U.S. The World Bank states that in 2006 the average income in China was $2,025. Would you do your job for $2,025 dollars? Could you afford the fuel to get to and from work if you had to live on $2,025 a year? What can your government do with taxed and regulation to make it possible for you to live off $2,024 per year? Nothing! What can your government do to promote certainty? Install a king. So long as there are elections there will be political change and with that change comes uncertainty and it has been that way since the founding of this great country.

Where do jobs come from?

Jobs are created for one reason, and that need. Employers are not hiring for the sake of hiring someone, to increase the employment rate, nor to help the unemployed. Employers look for employees when they believe that they can be used to improve their (employers) bottom line, when they are relatively certain that one more employee will increase their profits by a margin that will justify the hiring.

An employee is an asset or a liability, improve the bottom line and you are an asset, fail to increase the bottom line and you are a liability. The average American worker earned over $40,000 in 2005, when compared to what the average Chinese worker makes it becomes obvious that American worker is a liability and the average Chinese worker is an asset, in regards to the bottom line.

Remember automation?

A computer/machine is going to take your job! In fact, for many people they already have. Many of the lost jobs are not shipped out of the country but the humans were replaced with machines and robots. If your job is based on physically interacting with things, you are in danger of being replaced with a machine that does not get sick, take vacation, or receive a wage. You are replaceable. Your value to your employer is probably a lot less than you earn and you might want to learn something that will transfer you worth from your physical ability to your cognitive ability. Come one, robots are doing brain surgery and I am certain that they can do your job.

What to do?

I cannot pretend to know your particular circumstance but I think that you should take back the power you put in others by placing blame on them and take that power for yourself and solve your own problems. If you cannot find a job make one, surely there is something you can sell that someone is willing to buy. Do something for yourself and stop looking to government and corporations to save you.

What is stopping you?

You are stopping you. Do not blame your age, Colonel Sanders did not succeed with KFC until he was in his late 60’s. Do not blame it on your level of education, there are no rules against learning and what you already know can be packaged and sold. Do not blame it on your race, Arthur George Gaston, a Black man born from the segregated south was able to become one of the richest men in Birmingham, Alabama during the 1950’s. Do not blame it on your gender. If you are unemployed and or unsuccessfully take a long hard look in the mirror and ask the person you see what can be don’t to improve your circumstance.

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