Saturday, November 05, 2011

Repubican's Jobs Plan Will Cost US Jobs and Revenue.

RIPublicans claim that their American Job Creators legislation is being stalled by the Senate, and if only they would pass it, we could be back on the road to recovery. Yet their plan really calls for reduced regulations, many of which create jobs, and more importantly protects workers and the public from harm. Included among the regulations they would end are preventing the EPA from regulating greenhouse gasses, the FCC from enforcing net neutrality, and "burdensome pesticide regulations."

Their plan calls for reduced taxes for "job creators", reducing the top corporate rate from 35% to 25%. This can only mean that more companies will receive tax refunds each year. As it is, the largest US companies pay no taxes, and many receive refunds now. So where are those jobs? Giving them more money will not create new jobs. They also call for ending tax on foreign earnings. The last time there was a "tax holiday" no new American jobs were created, rather CEO bonuses went up, dividends increased and more jobs were shipped out of the country.

The RIPublicans think that "free trade" agreements will bring more jobs to America. That has been anything but the truth. NAFTA, CAFTA, and other trade agreements have seen a net loss of jobs in the US. MAybe if these agreements were "Fair Trade", ones that equalized import tariffs on both side and standardized regulations on products to meet our higher standards, then maybe there would be job created here. 

There ia a backlog of 700,000 pantent applications.  The Patent office is overwhelmed, eyt the plan by RIPublicans to fix it is to "discourage frivolous lawsuits, expedite reviews, and provide better protection for job creating entrepreneurs. Streamlining the system will make it easier for existing businesses to grow and allow more start-up companies to flourish." How are they going to expidite reviews when the USPTO is so overwhelmed now?  Surely they don't plan on increasing the filing fee of $1000, or hiring more government employees? Hank Nothhaft, CEO of Tessera Technologies, told CBS News recently, that "Medium-sized and profitable companies like ourselves -- we'd be willing to pay a significantly higher fee in order to fund the patent office correctly."  Congress sets the fees charged by the patent office. The legislative branch also does not permit the patent office keep all $2 billion in its annual revenue, by diverting $200 million dollars a year for other federal budget items.  Legislation that would end fee diversion and empower USPTO to adjust its own fees, as well as other reforms, is working its way through Congress. A bill sponsored by Senator Patrick Leahy of Vermont has passed his Judiciary Committee but has not come to the Senate floor for debate.

RIPublicans call for changing the visa system to allow more "highly shilled" foreign workers into the country, because of a shortage in this country.  This is counter productive, and does not create jobs, rather gives those jobs to foreigner.  It would be in the interest of this country to improve and promote those jobs to high school students to encourage them to seek those degrees.  Helping to finance education in those skilloed jobs would create more jobs in the long run than it would cost to fund the education.

RIPublcians claim that speeding up the approval process for the FDA would also increase jobs in the US.  That somehow this would also improve efficiency and transparency in the process.  As it is now, drug manufacturer and medical device manufacturers do not have to report every study they make.  They only have to report those studies that support their claims.  Unless RIPublicans are going to force companies to report every study conducted, this plan is worhtless.

American Energy Initiative legislation is designed to expand energy exploration and production, or so they say.  What it will do to prevent this country from becoming the leader in renewable energy, keep this country from developing new techologies, and not create anywhere near the job growth that renewables would.  Fosil fuels is a dead end.  Renewable will require build a new infrastructure, form generation to delivery and possibly to develop new end use products to use that energy more efficiently.

Finally, RIPublicans point out that non-defense discrestionry spending has increased 80% since Obama has taken office.  What they won't say is that they destroyed the economy during the Bush Administration, driving people out of work, out of their homes and onto the dole to survive.  They also won't talk about the increase in military spending during that same time.  The US now spends more money of "defense" that the entire world combined.  If we used that money to fix the economy, to rebuild our infrastructure, we would not be in the position we are in today.

In short the RIPublicans plan will not create more jobs.  What it will do is shift more the this country's wealth to the richest 1%.

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