January 9, 2012
It’s Simple Math
All I hear lately is people complaining that there aren’t any jobs out there and how we need to create jobs. They all seem to be under some kooky delusion that this would somehow improve the economy. If you know anything about economics at all then you know this is quite contrary to reality. Labor is, by far, the greatest expense for any corporation. Therefore if you can eliminate jobs, or at least outsource them to some third world country for pennies on the dollar, you increase profit potential. Higher profits mean greater dividends and greater dividends mean more income flowing into your trust fund. Assuming your daddy’s attorney structured it properly, you get to take larger distributions in years when your portfolio generates more income. In plain English, that means you get a raise and, when you get a raise, you spend more. Spending drives the economy and the more of it you do, the more the economy grows. It’s simple math.
In light of this, I’ve mailed a letter to my Congressman containing a draft of what I call the Jobs Elimination Act of 2012. My proposed bill will grant tax incentives to firms that eliminate or outsource jobs. Thus, we will provide Corporate America greater opportunity to improve their bottom line which, of course, trickles down to us all. If President Obama has any aspirations for a second term, I urge him to sign this bill immediately when it comes before him.