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Incapp’s Platform on Job Creation in the US

Monday, September 19th, 2011

Dear Friends,

It seems to me that the International Capitalist Party should propose a platform of job creation for other parties to emulate. To that end, here is our platform on job creation, explicitly for the US in 2011-2012, and implicitly for every time and place.

1) Eliminate Obama care in it’s entirety; Obama care has already hit against some hard Constitutional walls. Walls that were set up to protect the people from their government. Obama care has, at it’s core, a fundamental reshuffling of power from the people to the government. This is an evil that is magnified by the fact that it is phased in over an extended period… to protect the ruling Elite from the political consequences. Moreover, it creates ongoing uncertainty in employers, as to future costs per employee.

2) Streamline all regulation; Swimming through regulation is like swimming in water with molasses. The more molasses added the more likely a swimmer will drown. Even the guy, who mows lawns for a living, has to have more on the ball than anyone in the Obama administration. A person who mows lawns professionally, must have a zero turn mower, (to be competitive), a line trimmer, probably a push mower, a truck and trailer to haul the equipment around. He has to keep track of personal vs. professional use, if his truck is diesel then fuel usage for both, as well as several other regulations for diesel work trucks. If he has an employee he has to keep track and pay social security, workers comp, and all the other regulated expenses government adds to his cost of doing business. God forbid he or she run afoul of some arcane EPA regulation… The academics in the Obama administration have had to struggle, in college, with toga parties, and in academia, with peer reviewed papers…

3) Standardize medical paperwork across fields and companies as much as possible; The stated goal of Obama care was to lower the costs of medical treatment. But as we have seen with every try at command and control efficiency drops and quality diminishes. Standardization and capitalist specialization are the way to lower costs and improve quality. This has been the Capitalist model since the 1500s. Standardization is the first step. Were this done a great deal of work in doctor’s offices would be averted. The increase in efficiency would help offset the skyrocketing costs of medical care. If every doctor’s office had a single sheet form to access insurance no matter the illness, injury or company they could focus more fully on medical care as one example of standardization.

4) Implement Capitalist Social Security; This would be a real step towards moving the US national retirement system from government, where it is subject to the whims of political parties and factions, to the market system which, over time, has shown itself to be a true performer. In short; Capitalist Social Security is a system where, under special government tax laws, a special federal/national corporation would be set up, that would be funded by some of the money that would otherwise be sent to social security and money invested by individuals and corporations. That money would be invested in dividend stocks and AA bonds. The dividend and interest would be reinvested across national markets and industries, but only in dividend bearing stocks and AA bonds. If a stock ceases it’s dividend it is sold and another dividend stock is bought to replace it. When a person came of age, or by his, her or it’s contract, became eligible to collect he, she or it would get 50% of their share of the total net proceeds, the other 50% reinvested. When they died their portion would be inheritable and so go on indefinitely. Generation after generation building and building… instead of costing and costing.

5) Move from a system that taxes income to a system that taxes spending; The demand sider would scream like a scalded cat at the very mention. But if spending only were taxed then the poor would not necessarily pay any taxes but the wealthy would pay in proportion to their income in a far more equitable fashion. It is a presumption of the present societal ethos that income should be taxed at a progressive rate. That is a pernicious twisting of the underlying idea that the wealthy should pay more as a percentage of their wealth for the machine of government. The first punishes the job creator and protects the existing Elite the second rewards the job creator and punishes the standing Elite. In other words… It promotes class mobility.

If one adheres to the philosophy of Schumpeter and believes that the economic expansion/contraction cycle is entrepreneurial driven and the aggregate supply/aggregate demand model is over simplified, then one would also believe these are the primary sources of economic friction in the US today. To lower them would be to unleash the economic pressure that has been building. The result would be another roaring decade of economic growth.

Until some political hack of a demand sider starts calling for more “fairness”… to protect the new Elite and his political backer’s interests.