Tuesday, April 1, 2014

The Economy - Employment

There is no reason for businesses to hire people. People are not spending money (or they don't have the money to spend or the credit). If no one is hiring, what is going to drive spending? The government can prop things up through transfer payments, but that will not produce prosperity. You can't create a vibrant economy through welfare. You just can't extract money from the productive side of the economy and give it to the unproductive and expect prosperity to happen. What you need to do is encourage the productive side to grow and it will pull the rest of the economy up with it. You also need to stop messing with the market and let it figure itself out. The role of government is to provide a fair marketplace and get out of it's way. You need to protect the market for manipulation and monopolies and fraud. That is the governments role. Well, that would be ideal. To bad it will never happen.

What do you think?