America is a melting pot of concerns and of people dynamically and distributively acting to improve our nation. But when any one issue overwhelms the others, it drowns out their focus and support. A lack of Jobs has become that screaming voice. While Government’s role is far more than just support of business, with an entire nation affected by 25 percent un and under employment, the focus is on helping them to create employment. It is the equivalent of a Maslow’s theory of Government.
Within that Maslow’s theory concept, the sooner we right our course, the sooner we can expand our collective consciousness again. The following is a win-win, Middle America construct for dramatic economic turnaround that can quickly right our course, that is Government proactive, yet balanced with pro-business, private initiative, free market principles.
A lot more must be done than the following to right our course but as a focus on a quick turnaround, the following is a good start. First, we have to restart the economy with increased consumer demand and business credit and elimination of debt overhang:
Job placement
• Implement distributive job placement through small business job voucher plan
• Place all able Americans in jobs through voucher program
• Guarantee voucher program will exist for a minimum of 24 months before any reductions
• Guarantee reductions based on unemployment figures
Debt isolation and swap for equity:
• Require voluntary complete appraisal of all commercial and residential properties – owner pays
• Enforce mark down of all properties to appraisal by banks if accepted by owners
• Allow banks to swap ownership equity for debt to the amount written down
• Require banks that cannot carry higher equity to merge or restructure
Credit repair
• Institute a credit amnesty program
• Enforce the credit institutions raising credit scores 20 points and eliminate bad credit info two months in arrears for every clean month
• Eliminate foreclosures, workouts, and bankruptcies with 30 months clean record
Business loans and grants
• Provide business grants to small business to cover equity portion of SBA business loans tied to guarantees to hire new full time employees
• Assuming a business loan requires a 200,000 per employee, grants of $40,000 per new job would be required. 15 million jobs would cost an investment of up to $600 billion of which half would return in personal and corporate taxes over a two year period.
• Increase government guarantees on bank loans to small business to 100 percent for first two years of originations
• Provide direct SBA loans for businesses unsuccessful at finding bankers to accept 20 percent
Second, we have to right our long term course. Ideas that are being touted by Republicans [with caveats to ensure savings are not funneled offshore], and **a few additional ideas** will help our longer term economic position.
Budget
• Cap and trade budget
• Require trade of budget within same time period for all new initiatives including salary adjustments
• Require a phased in balanced budget
Taxes
• Reduce corporate tax rate [for domestic business only] and eliminate tax loop holes
• [Eliminate tax deferral of profits that stay overseas]
• [Eliminate taxes for all overseas funds that are re-invested in American business infrastructure]
• [Reduce death taxes that are reinvested in American enterprises]
• **Do not implement Romney’s regional tax plan**
Regulations
• Place a moratorium on regulations
• Cap regulation costs
• Enforce a regulatory prioritization cap and trade of regulation costs
Trade
• [Require economic impact study and public review and comment period for all proposed trade treaties, and a minimum of net nuetral benefit excluding corporate profit]
• Enforce existing treaties with China
Energy
•**Invest in research and development of solar and wind in areas that most promise cost reductions**
• **Build solar and wind economic zones large enough for a 20 percent supply of energy needs**
• **Invest in transmission to those zones**
• **Provide 100 percent, interest free loans for all conservation projects that can show 5 year payback and require payback only from energy savings**
Clif Carothers
Job Voucher Plan 