Thursday, February 13, 2014

The truth about political job creation promises.

I hate to "burst the bubble" of the Blue, Orange, Red and Green parties, but all citizens need to understand what governments CAN and CANNOT DO when it comes to job creation.  

  1. Governments DO NOT create jobs. Jobs are only created when a legitimate demand exists for them AND when the economic and regulatory conditions exist to make them viable.
  2. Governments can create demand by spending taxpayer dollars on publicly-funded projects such as subway building, but there is nothing written in stone that says infrastructure projects must be funded publicly.
  3. Governments can also create demand by spending taxpayer dollars on politically –motivated initiatives that could not otherwise be justified in economic terms. Many of these jobs fit the category of “make work jobs”  which provide little of no benefits to taxpayers but exist in the thousands as a way to pad the “fiefdoms” of senior public administrators who use this ‘padding” to leverage ever-increasing budgetary responsibility each year. 

Let’s dissect the job creation plans of politicians such as Cindy Hackleberg of the NDP.  Cindy claims to have a job creation plan which involves subsidizing businesses who hire new staff.

Consider the mechanics of this promise carefully. For example:
  • Where is the money going to come from in order for the NDP to make these job subsidy “investments” ( This is the popular term uses by the Social Engineering type of politician found in all of the major parties) . There are only 3 possible money sources – taxes, debt-financing (aka deferred taxation + interest), and cost-cutting in other public spending areas (aka  these are still tax dollars but shuffled from one spending target to another).
  • Why is it necessary for an NDP government to collect and shuffle your tax dollars in order to make these job subsidy “investments”?  One obvious motive is to create more work for their unionized public administration  work forces because, with increased workload, they can justify hiring more public administration “tax dollar shufflers”  who  will generate more Union Taxes (aka “union dues”) for the NDP’s heavily favoured political supporters  - union leaders.


Now consider the Libertarian plan for jobs.
  • Drastically reduce or eliminate the existing regulations that support government services monopolies and their monopoly labour hegemonies. This will remove the barriers to entry that all Citizen Entrepreneurs currently face who wish to offer innovative, competitive and cost-effective service alternatives in the service domains currently monopolized by governments at every level.
  • Libertarians are not central planners and, as such, do not recognize the public administration “tax dollar shufflers” job category as one that provides value to taxpayers.  In stead, we believe that the public administration “tax dollar shufflers” that will be needed in the government bureaucracies of the Orange, Red and Green parties will enjoy much more rewarding and productive employment as employees of Citizen Entrepreneur enterprises or as their owners. After all, who best to employ in these enterprises than the same employees who know first hand about the mind-numbing, inefficient and politically manipulated jobs within public administration?

·      Money is very fluid - it will always find its own way to the most promising work-related investments without the unneeded cost and red tape overhead imposed by meddling public administrators whose role is to essentially control the flow of public money to politically–expedient recipients. Free market investments are much more pragmatic, purposeful and dynamic than any “investments” made by government, and the occur thousands of times every day within private enterprises without public fanfare such as Premier Wynne’s recent announcement of a $400 million subsidy to the horse-racing sector in the Niagara region.

There is only one real choice in this election. Vote for yourself and the wisdom that you all possess to manage your own affairs without the cost or interference of a public babysitter provided by the Blue, Orange, Red or Green parties.

Vote Libertarian.




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