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Made in the USA

August 30, 2010

“Made in the USA” isn’t about the Big 3 automakers…

It’s time to put the brakes on government spending. The road to recovery lies with the success of small businesses, not with behemoth car companies and big labor. If we were going to bailout anyone, we should have bailed out the car dealerships and auto supply companies to allow them to remarket, retool and invest in new technologies. We should be growing our tax base, which is only going to happen if we fuel the small business private sector. Speaking of which, why are we not doing more to grow and keep promising small business technology companies and their technology jobs in the USA, where our best talent and our best jobs can remain right here at home?

“You will find men who want to be carried on the shoulders of others, who think that the world owes them a living. They don’t seem to see that we must all lift together and pull together.”    Henry Ford

We have Bill Gates and Microsoft, Larry Ellison and Oracle; and Eric Schmidt and Google, not to mention a plethora of phenomenal technology and software companies that started from nothing and today generate thousands upon thousands of high paying private sector jobs and tax revenues, all “Made in the USA.”

What’s more, most technology companies, in particular software companies, do little to harm our ecology (true green); they do not tax our ports, our roads, our bridges or our rail. This reduces our carbon footprint, while not adding to the tremendous and costly burden on the seemingly never ending and costly construction of our roads and our beleaguered transportation infrastructure.

Competition is increasing dramatically from foreign countries who wish to attract our talent, both foreign and domestic grads educated here in the USA, many getting their higher education with the help of US taxpayer dollars. The number of “propeller heads”, a.k.a., the savvy entrepreneurs and highly skilled workers “Made in the USA”, are leaving for a more favorable business climate or jobs overseas.

Our foreign competitors are offering much lower tax rates and hundreds of thousands of dollars in incentives to technology business startups and to their highly paid – highly skilled employees. They are advertising a better quality of life, improved infrastructure and a lower cost of living. Our foreign competitors recognize what we increasingly take for granted, which is the huge tax and revenue potential from small business startups, in particular in the technology field; with their disproportionately high numbers and high salaries as it pertains to job creation. This is coupled with the minimal impact on their country’s costly transportation  infrastructure.

The now and next generation of Bill Gates’, Larry Emerson’s and Eric Schmidt’s may find our politics too ambiguous, too costly and too unimaginative to breed success here in the USA. There are hundreds of thousands of small businesses and entrepreneurs right now who are losing the battle against a poor economy accentuated by high taxes and ever increasing regulation. There are hundreds of thousands of entrepreneurial ventures not even born yet that will never pass the incubation period.

Where should we, the United States of America, concentrate our efforts to keep our existing technology gurus and attract the next generation of “byte heads?” We need to provide education and programs that offer immediate and future tax relief to small businesses and their employees, like a payroll tax holiday. To do this we need to elect government representatives who want less government, who do less for Wall Street, who care less about big government and big union.

We need tech savvy, forward thinking, feet on the ground, “been there, done that” politicians who have missed a few paychecks like the rest of us and who want to do more for small businesses and the working class. Get started by offering existing small businesses and their employees, tax relief with a payroll tax holiday of 6 months or more. Offer new business start-ups, especially technology and software businesses who are Made in the USA and who are 1) less impactful on our transportation infrastructure; 2) provide green technologies; and 3) provide the high end wage earners, which is our future tax base, lower taxes and less government to stay and grow their businesses here in the USA.

“What’s right about America is that although we have a mess of problems, we have great capacity – intellect and resources – to do some thing about them.”
Henry Ford

3 Comments leave one →
  1. Ted Nohren permalink
    August 30, 2010 10:41 pm

    Nice article. The oxymoron is “we need more politicians that have ….”. No, we need individuals that understand economic fundamentals and how the real world works. The founders believed only a knowledgeable, moral and virtuous people could maintain and keep the republic. “Virtuous” in that day meant charitable as in people would give of themselves to serve their local communities and government. Politicians are opportunists and by the time they get into office, beholden to many.

    Capital (whether it be monetary, intellect, machinery, etc.) will always seek out and be put to its best and highest use. If you want to attract and retain capital, create a more friendly and productive environment and lessen or do away with the punitive tax code. No how much G.E. spent on taxes last year – $0.00 largely due to offshore operations. Tax return was 250,000 pages or some ridiculous amount.

    Most software systems are tools that greatly enhance efficiency and productivity. Products still need to be built and services provided. Only products that add value and where an economic gain can be realized can be justified. Building “feel good” products such as windmills for the green initiative is not productive and proven to be a significant net loss (spain, germany). Building compact nuclear power plants the size of a gas station for community application would be far more productive that only American ingenuity could deliver.

    We have successfully ruined the best health care system in the world and the incentive to take risks and innovate has greatly been reduced. Any innovation will be done with government grants thereby reducing the incentive and accountability and will only produce mediocre results.

  2. August 31, 2010 10:39 pm

    I don’t mind paying taxes so much when I know some of my hard earned taxes are going towards innovation, like the space program. Now the expression “shooting for the moon” has lost all its luster. I guess now I’m paying my taxes so we can explore ways not to innovate.

  3. September 1, 2010 7:53 am

    Thanks for taking the time to try to change the world for the better one reader at a time Mr Wiessner.
    The movement needs to continue so America could get to be a PROUD nation.
    How could one feel proud if they are handed everything they need and given surplus funds to then buy the garbage they want?
    Americans need to learn to “earn”!

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