Comments (11) | Add a comment
EDITORIAL
Giving the business
Tools
Making payroll in Washington is pretty simple stuff. When the federal government can't make its nut -- which happens every month -- it borrows big bucks to cover operating expenses. Businesses, though, can't put payroll on a credit card for long before inviting bankruptcy.
Deficit spending has been embraced by Republicans and Democrats alike for decades, but taken to new extremes by the economically disconnected Obama administration. The White House, from top to bottom, is loaded with academics, agitators and lifetime public employees, and lacking anyone with significant experience starting, running or working for a business.
All of which helps explain the latest attempt by President Obama and Democrats to paint themselves as advocates for the squealing private sector. They're convinced that if only small businesses had more access to borrowing, they could start hiring.
The president used a Wednesday visit to a New Jersey sandwich shop to tout a bill that would let community banks tap a $30 billion government fund (all borrowed from somewhere else, of course), and use that capital to extend up to $300 billion in loans to small businesses. The legislation also includes limited tax breaks for those businesses.
Perhaps if Mr. Obama or any of his advisers had actually talked to struggling small business owners, they might have learned that the last thing any limping enterprise needs or wants in this economy is more debt.
Yes, some credit-worthy companies might be able to grow sales by purchasing new equipment or refinancing existing debt. But most are looking for the same two things: lower taxes and paying customers with jobs. And the Obama-Reid-Pelosi cabal is instead promising higher taxes, which will cost even more Americans their jobs.
Senate Republicans succeeded in blocking the bill Thursday because Democrats wouldn't consider GOP amendments to extend other tax breaks -- relief that might actually help businesses.
The hypocrisy and election-year posturing of Washington Democrats is pretty galling, even by the low standards they've set over the past four years. They demand that businesses start hiring the unemployed, yet they're relentlessly pursuing an economically destructive agenda that piles new regulations and uncertainty on employers and the investors they depend on. From health care reform to financial reform to cap-and-trade, from the looming expiration of the Bush tax cuts to talk of a national sales tax, they're giving businesses more and more reasons not to hire.
Businesses have to increase their sales before they even think of hiring, let alone borrowing. What good is a tax break for restaurants and retailers that remodel their locations or open new ones -- as this new legislation proposes -- when they don't have enough customers to cover the debt payments on all those new costs?
If the president and Congress are serious about helping small businesses, they need to cut taxes and quit spending money they don't have.
Trending topics:
Comments
Terms & Conditions
The following comments are provided by readers and are the sole responsiblity of the authors. The Review-Journal does not review comments before publication nor guarantee their accuracy. By publishing a comment here you agree to abide by the comment policy. If you see a comment that violates the policy, please use the Report Abuse button.
Some comments may not display immediately due to an automatic filter. These comments will be reviewed within 24 hours. Please do not submit a comment more than once.
Note: Comments made by reporters and editors of the Las Vegas Review-Journal are presented with a yellow background.
RSS
Twitter
Facebook
More brilliant insight from Steven.Alexander- Blame Bush.
Smart money don't bet unless the game is rigged; they LOVED the bush administration.
10 years of bush tax cuts .greedy business owners have had their chance to put that money to work . it isn't working . tax their millionaire asuz
To Justin - My understanding of this is as follows: You cut taxes for small businesses...that gives them more capital to work with to potentially hire more people. If many small businesses are able to hire more people, that means more people are becoming employed (in the private sector, which is crucial) and they will have money to spend at other businesses, thereby increasing profits, which may lead to expansion, remodeling type of activity, thereby creating new jobs for more people...and on and on and on. But, that is just my understanding.
The racist Obama Administration continues their romp in the White House with piles of ill gotten taxpayer cash forming the back stops for many a basketball game.
As minions of the fascist/globalist banksters, the O-R-P triumvirate are only doing what they're told to bring about the choreographed collapse of our economy. Of course, now that Obama has announced his "stroke-of-the-pen" amnesty, the Democrats are set for a lot more party members looking for government dependency.
Dean Heller is the only incumbent I will vote for. He has done a good job for conservatives.
Obummer and Reid have ALREADY raised taxes in direct violation of Obummer's campaign promise.
1. Cigarette taxes.
2. Tanning taxes.
Oh, those don't count? How about the new bank tax? No? Those don't get paid by the little guy either?
How about the energy tax Harry and Barack want to enact? Big time tax. On ALL of us.
Yes, get ready for BIG tax increases in 2011.
Whoa, Justin, you must not have gotten the memo. BIG TAX INCREASES ARE SCHEDULED FOR JAN 2011. Note that's AFTER the elections. Another good reason to vote against ALL encumbent congress critters.