jake towne - jobs talk at moravian (apr 2010)

8/9/2019 Jake Towne - Jobs Talk at Moravian (Apr 2010)

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TowneForCongress.com
http://towneforcongress.com/http://towneforcongress.com/


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Common Sense Fixesthe Job Market

Effective Solutions to the Unemployment Problem

by Jake Towne

April 2010

An invasion of armies can be resisted, but not an idea whose time has come.- Victor Hugo


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Explain Current Figures

Labor Economics Basics

List of Government Interventions

Solutions

Agenda

http://towneforcongress.com/platform-issues/jobsText of lecture available at
http://towneforcongress.com/http://towneforcongress.com/platform-issues/jobshttp://towneforcongress.com/platform-issues/jobshttp://towneforcongress.com/


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Bureau of Labor and Statistic Figures

http://www.bls.gov/news.release/empsit.t15.htm


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Unemployment Rates 1930-1941


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The Unemployment Rate is >17%


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Economic Transactions

= ?


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Austrian View of Transactions

OrangeOwner

MoneyOwner


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Austrian View of Transactions

? ? ?


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PA/US Corporate Profit Tax of 42%Social Security Flat Tax of 12.4%Medicaid/care Flat Tax of 2.9%

PA State Income Tax of 3.07%Local Payroll Tax of ~1-2%FUTA/SUTA Unemployment Tax of ~2-8%Workman's Compensation Tax of ~1.5%Federal Income Tax of 15-25%Inflation Tax of ~8%Federal Minimum Wage of $7.25/hr

Gov't Interventions in the Labor Market(just SOME of them)


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The Cost of Gov't Intervention

$0

$2

$4

$6

$8

$10

$12

$14

$7.04

$0.40

$1.80

$0.77

$0.55$0.77

$1.12

$0.72

$1.00

Employer Profit

Profit Tax

Inflation TaxEmployer FICA

Workmen Comp/

FUTA/SUTA

Employee FICA

Federal Income

Tax

Local and State

Income TaxTake-Home Pay


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Take a $10/hr job. Firm desires $1/hr profitCorporate profit tax means ~$2 profit need

Employer-paid taxes raises costs $2Employee-paid taxes costs about $3

End Result: Worker must generate

$14+/hr but take-home pay is just $7

The Cost of Gov't Intervention


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Repeal Sarbanes Oxley ActSaves over $100 billion/year

Zhang, Ivy. 2005. "Economic Consequences of the Sarbanes-Oxley Act of 2002." pp. 22-23/68. Zhang also notes that the equity market loss may have been as high as $1.4 trillion.http://w4.stern.nyu.edu/accounting/docs/speaker_papers/spring2005/Zhang_Ivy_Economic_Consequences_of_S_O.pdf

Solutions

Slash the $1.1 trillion per year costs offederal regulatory compliance.

Crain, W. Mark. 2005. "The Impact of Regulatory Costs on Small Firms." p. 8/95.http://www.sba.gov/advo/research/rs264tot.pdf


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Slash the 9.99% PA state corporate tax.

Remove laws that threaten firms with frivolouslawsuits when firing workers.

Remove laws that prevent firms from hiring workersby mandating criteria outside of the only question thatreally matters can they do the job?

Remove the unfair labor union laws that forbidemployers to hire new workers who would do the samejobs for less.

Solutions


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Remove the Workman's Comp. mandate

Remove payroll tax withholding for employeesMake Social Security and Medicaid voluntary

Abolish the federal income tax

Solutions


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Abolish the Federal Income Tax:It's Immoral!

The Income Tax is a Marxist idea implemented in1913 as retribution against the "evil capitalists" who had

caused the Panic of 1907. The end result of thispractice has been to heavily tax everyone.

1. Abolition of property in land and application of all rents of land to public purposes.2. A heavy progressive or graduated income tax.

The First 2 Planks from Karl Marx's Communist Manifesto

The government has no right to the firstclaim on your labor. Only you should.

Plundering those who have acquiredproperty in a just manner only serves todeter them from acquiring more.

http://towneforcongress.com/platform-issues/income-tax
http://towneforcongress.com/http://towneforcongress.com/platform-issues/income-taxhttp://towneforcongress.com/platform-issues/income-taxhttp://towneforcongress.com/


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Abolish the Federal Income Tax:

It's Unnecessary!2008 Federal Inlays in Billions of USD

$1,220 B or 41%Federal Income Tax

$910 B or 31%Social InsuranceTax

$345 B or 12%CorporateIncome Tax

$410 B or 14%Deficit Spending

$68 B or 2%Excise Tax

Total 2008 Federal Budget was over $2,900 Billion

2008 Federal Outlays %

Large cuts in the overseas militaryempire, projected at $1 Trillion annuallywould help eliminate the need for afederal income tax.

Source: http://www.whitehouse.gov/omb/budget/fy2009/pdf/hist.pdfJust $67 Billion needed to run judicial,executive, and legislative branches.


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Restore Sound Money

Reduce or abolish the federalminimum wage

Solutions


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Replace the Socialistic Keynesian GovernmentStatus Quo with the Austrian Free Market

The Money Power is held by theGovernment & Bankers

Government 'Commands' the Economy

Renown for Deficit Spending andStealing via Currency DebasementRedistributes Wealth to the Military-

Industrial Complex, Banking Cartels,Special Interest Groups & Corporations

Allows and Rationalizes Government

Takeovers of Private BusinessesMay promote capitalism and the freemarket in word, but in deed functions asCrony Capitalism, Vulture Capitalism, theCorporatocracy or Disaster Capitalism

Keynesian Economics

In the long run, we are all dead.

- Lord John Maynard KeynesBritish Economist and

Central Planner


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Replace the Socialistic Keynesian GovernmentStatus Quo with the Austrian Free Market

The People own the Money PowerGovernment Plays No Role in

Economic PlanningPromotes Honest Money & BalancedBudgets

Highly Rewards those who CreateWealth and Shares it with All

Government Does Not Takeover

Private BusinessesPromotes Free Market Capitalism

and laissez faire, or let them be!economics

Austrian Economics

All those intent uponsabotaging the evolutiontowards welfare, peace,

freedom and democracy,loathe gold.

- Ludwig von MisesFounder of the modern

Austrian School


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Q&A


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Graphics Acknowledgements

Unless listed below, all photos are either mine or public domain.The Towne 2010 As Good As Gold logo was created by Derek Wyatt The Jake Towne for United States Congress logo was created by Anthony Geist

Copyright Jake Towne, 2010. Any portion of this presentation that could becopyrighted is owned by myself and I hereby released it to the public domain. Igrant full permission to use any of the ideas or material within. You may republishthis work. Attribution to myself is appreciated but not required.

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