We understand the concept of a sustainable environment.
Wikipedia defines Sustainability as "...the capacity to endure. In ecology the word describes how biological systems remain diverse and productive over time. For humans it is the potential for long-term maintenance of well being, which in turn depends on the well being of the natural world and the responsible use of natural resources.
We can use this same concept to define economic sustainability in terms of jobs.
What jobs have the capacity to endure? In the environment, a predator that eats all of its prey will die. A logging firm that clear cuts a forest will run out of timber (plus destroy other ecosystems). Jobs need to have the capacity to endure and add value to the economic ecosystems. This means that when I create a product or service it adds MORE value to your life than the money you give me for it. The money that you gave me came from a job where you created more value for someone else. This is an amazing process. Everyone is adding value to everyone else.
A sustainable job can be defined as work that produces goods or services that add more value to the customer than it extracts from the economy.
OK, the government wants to create more jobs. How does it do this? A jobs program? A program requires funding. So first, it must either tax and remove money from the economy or borrow it and remove capital from the economy. Both of these activities destroy jobs. (Well the third option is to print money, and destroy jobs in the future.)
Now, we have destroyed jobs to create jobs. Jobs in the private sector must add value or they go out of business. Jobs in the public sector have no such feedback loop. They can keep taking resources out of the economic ecosystem and give nothing back.
The other idea is to create public service jobs. This is like importing non-native plants. They can soon overwhelm an ecosystem and destroy it because the natural feedback loops in a local economy can't destroy them. They soon develop a constituency in Washington that lobbies for additional resources and funds. These jobs do not need to add value to your life or my life because they are funded with taxpayer dollars with the taxpayer having no control over how they are spent.
The other way to have a jobs program is to give tax breaks to businesses. Now, this leaves more capital in the economy and can create jobs. Good idea! However, the plan is to "target" certain businesses and jobs. The problem here is that these targets may or may not match the shifting preferences of the the American people. A good idea, but let's extend it.
What if we were to cut taxes on ALL business activity?
Public service jobs and jobs programs increase taxes and reduce the sustainable jobs that add value to our lives.
I would like to see a healthy sustainable economic ecosystem. A jobs bill will destroy sustainability. Reduced government spending, borrowing, taxing and targeting will allow sustainable jobs to grow that have to meet your needs.
in reference to:
Wikipedia defines Sustainability as "...the capacity to endure. In ecology the word describes how biological systems remain diverse and productive over time. For humans it is the potential for long-term maintenance of well being, which in turn depends on the well being of the natural world and the responsible use of natural resources.
We can use this same concept to define economic sustainability in terms of jobs.
What jobs have the capacity to endure? In the environment, a predator that eats all of its prey will die. A logging firm that clear cuts a forest will run out of timber (plus destroy other ecosystems). Jobs need to have the capacity to endure and add value to the economic ecosystems. This means that when I create a product or service it adds MORE value to your life than the money you give me for it. The money that you gave me came from a job where you created more value for someone else. This is an amazing process. Everyone is adding value to everyone else.
A sustainable job can be defined as work that produces goods or services that add more value to the customer than it extracts from the economy.
OK, the government wants to create more jobs. How does it do this? A jobs program? A program requires funding. So first, it must either tax and remove money from the economy or borrow it and remove capital from the economy. Both of these activities destroy jobs. (Well the third option is to print money, and destroy jobs in the future.)
Now, we have destroyed jobs to create jobs. Jobs in the private sector must add value or they go out of business. Jobs in the public sector have no such feedback loop. They can keep taking resources out of the economic ecosystem and give nothing back.
The other idea is to create public service jobs. This is like importing non-native plants. They can soon overwhelm an ecosystem and destroy it because the natural feedback loops in a local economy can't destroy them. They soon develop a constituency in Washington that lobbies for additional resources and funds. These jobs do not need to add value to your life or my life because they are funded with taxpayer dollars with the taxpayer having no control over how they are spent.
The other way to have a jobs program is to give tax breaks to businesses. Now, this leaves more capital in the economy and can create jobs. Good idea! However, the plan is to "target" certain businesses and jobs. The problem here is that these targets may or may not match the shifting preferences of the the American people. A good idea, but let's extend it.
What if we were to cut taxes on ALL business activity?
Public service jobs and jobs programs increase taxes and reduce the sustainable jobs that add value to our lives.
I would like to see a healthy sustainable economic ecosystem. A jobs bill will destroy sustainability. Reduced government spending, borrowing, taxing and targeting will allow sustainable jobs to grow that have to meet your needs.
in reference to:
"But right now there is no way to sustain a recovery unless millions of jobs are created soon — and the private sector alone cannot do that."
- Editorial - No Jobs, No Recovery - NYTimes.com (view on Google Sidewiki)
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