Wisconsin Approach To Job Creation Working
During February 2009, President Barack Obama was in his second month in office. After winning election the previous November, President Obama had a lofty approval rating. While he was well liked, not all was well for the president. The national unemployment rate was at 8.1 percent, higher than at any point during the last 25 years.
Clearly, something needed to be done.
President Obama’s approach was to use government and taxpayer’s money to solve the problem, ignoring the fact the country was trillions of dollars in debt and in the midst of a recession.
When President Obama pushed through the failed, $800-plus billion stimulus plan during 2009, he touted shovel ready jobs that would put people back to work immediately. The implication was there were holes ready to be dug and roads ready to be built as soon as someone grabbed a shovel and started digging.
History tells a different story. The stimulus ended up costing $278,000 per job, and very few of those shovel ready jobs were actually shovel ready. Two years later, national unemployment is a point worse than at the time the stimulus was approved. Economists warn of a double-dip recession. Billionaire liberal benefactor George Soros says the double-dip recession has already started.
Clearly, President Obama’s big government job creation economic policies failed.
Contrast that with Wisconsin’s job creation plans. Wisconsin Republicans began this legislative session with job creation as our number one priority. Instead of throwing taxpayer money at the problem by creating limited-term public works employment, Republicans are going about fundamentally reshaping the business climate of the state to one that attracts long-term job growth and development.
The Wisconsin Economic Development Corporation replaced the Department of Commerce. Instead of concerning itself with oversight of volunteer fire departments and elevator maintenance, as the Department of Commerce did, the Economic Development Corporation’s sole focus is on improving the economy and getting Wisconsin residents back to work.
Legislative action was taken to prevent frivolous lawsuits, provide incentives for businesses to bring jobs to Wisconsin and grow business within our Wisconsin borders, and simplify bookkeeping by mirroring federal law.
Most importantly, Republicans approved a truly balanced budget that provides a structural surplus.
There is evidence job creation efforts are working. Since January 2011, Wisconsin businesses created a net 30,000 jobs. The state improved 17 places in Chief Executive Magazine’s annual ranking of the best and worst states to do business. A survey by Wisconsin Manufacturers and Commerce (WMC) revealed 88 percent of WMC members felt Wisconsin is in the right direction. Economic indicators from the Federal Reserve Bank of Chicago reveal Wisconsin has the best rate of growth in the five-state Midwest region.
Wisconsin is clearly doing something to heal our anemic economy.
Now the President is offering more government solution and more taxpayer’s money in the form of another big spending jobs bill. This time he aims to use some $1.5 trillion in tax increases to fund a jobs program that promises to, “… put people to work right now.”
Not so fast. According to an article on Politico, a politics website, “… infrastructure experts doubt that billions in emergency spending will be the quick jobs fix the president is promising.” Keep in mind the adage about doing things over and over the same way and getting the same results. The last thing we need is a triple dip recession resulting from a second stimulus plan. Instead of throwing more money at the problem, the President should look to Wisconsin and make real reforms to get the economy in the direction of success. Government regulation, government bailouts, government spending, and government stimulus got us into this mess. Did we not learn from the first stimulus that government-exacting money from taxpayers and spent at the wisdom of the federal government is not going to solve this economic crisis?