 |
| Image: Things you might expect to hear from Councilors regarding job creation. I had a brief talk with a couple of councilors last Friday. I asked them how the Chamber of Commerce gathering went. This was not the "State of the City", but was expected to be a forum where the public asked some hard questions. The councilors said there were a lot of questions along the lines of "what is the council doing to create jobs"? It seems to me that those questions indicate a lack of understanding of what the council can, or should, do. There are very few things that the City Council could do to actually "create jobs". They could direct the City Manager to cut all city employee pay in half, and then direct him to hire twice as many people with the resulting savings. That would violate 7 contracts and put the city in court for the foreseeable future. But they could do that, and if implemented would double the number of jobs at the city. It would also cause all existing city employees to file for bankruptcy. One councilor said providing good quality of life was a magnet for jobs. "Quailty of life" is a wishy-washy term, but let's assume it means clean streets, low crime, and happy parks. Good quality of life is certainly a magnet for retirees from the Bay Area. At least it was before they lost a decade's worth of equity in their homes. Many of the things that contribute to a high quality of life contribute to higher home valuations, which can act as a barrier to new employment. A ratio of low cost-of-living to quality of life would be more likely to increase jobs. Approving Wal-Mart's expansion probably would have increased jobs, but not to any significant degree. I think denying Wal-Mart's expansion does exemplify an unfair decision driven more by politics than reality. At the same time, that decision does not significantly impact our community. Had Wal-Mart been allowed to expand Chico wouldn't be all lollipops and rainbows today. And giving lip service to things like green jobs isn't going to do anything to put people to work. So how does a City Council create jobs? Improving business related infrastructure is about the only thing they could do. Allowing unfettered growth is another thing, although not one that is likely to occur. Zoning more land for industrial, light industrial, and retail uses would prepare Chico to support more jobs. Projects like the Cohasset Road widening dealio helps. Improving access to Hegan Lane business park would be a good idea. As far as I know there is movement along some of these fronts. The reality is that the Council can't do much to change the jobs outlook for Chico. The state or federal government could. They could cut taxes, giving people more money to spend on things they don't really need. It's interesting that the House of Representatives recently allowed donations to Haiti to be counted on last year's taxes. From Nancy Pelosi's web site... On January 20th, the House unanimously passed H.R. 4462 to provide an immediate benefit for those who have already given and incentive for those who are considering a charitable contribution and on January 22nd, the President signed the bill into law. We must do everything we can to help the people of Haiti and the aid workers working so feverishly on the ground to help them. The bill allows individuals making a charitable contribution after January 11th and before March 1st to victims of the earthquake in Haiti to claim these charitable contributions on their 2009 tax return. Absent this change, taxpayers would need to wait until next year to claim a deduction for these contributions on their 2010 tax return. The bill also includes a provision allowing those who text messaged a donation the ability to use a phone bill as proof of donation. Somehow allowing a tax-free donation is a recognized tool to free up funds for Haitian relief. If that logic holds for Haiti, wouldn't it also hold for the United States? Lower taxation frees up capital. Free capital purchases more goods and services. More goods and services being purchased creates jobs. |
Job Creation
2 Comments
Leave a comment
Lon
About Me: Fasten your seatbelts for an exhilarating trip through Chico's public policy; I guarantee it's marginally better than public access TV.
|
Lon
I agree with your economics -- but I really appreciate you letting me know about my accelerated $40 Haiti contribution being deductable!!! Why doesn't the mainstream media help me with my taxes?
Imagine how Sandra Bullock feels, I heard she donated $1,000,000 and she had to find out about it here.
Other Haitian donations... NFL $1,000,000, NBA $1,000,000, Saudi Arabia $35.72
Lon