Romney’s business record: Big profits for investors, but sometimes at the cost of jobs.
Well, that is the tease for the Washington Post’s article today on Mitt Romney’s economic record.
But here’s the deal: that is how capitalism works. Some jobs are lost, yes, but if business is thriving, other jobs will be created. Capitalism is not stasis; stasis is what we have now with a deathly still economy that added no jobs last month.
So I’d opt for Mitt’s program any day of the week over the ideology that has produced the suffering of today. Karen Tumulty, who wrote the Washington Post piece, however, portrays Romney’s record as something to fear for its coldness:
What Romney rarely brings up, however, is that the corner of the “real economy” where he excelled is a specialized, little-understood world known as private equity. It represents one of the most unsentimental sides of modern capitalism – as Romney’s opponents are sure to point out.
Without having made up my mind about Romney, I’d say it would be nice to have somebody unsentimental in charge of the economy about now. Labor unions often try to preserve jobs that are no longer needed, while capitalists are unsentimental about letting such jobs go. The result is a better economy where more people can find work.
Robert Reich, labor secretary in the Clinton administration, is quoted in the article saying that Romney has been “living off the financial economy and cutting jobs in the real economy” and that this is “not a recipe for victory, given where most people are now.” It may be that, given where most people are now, voters will be receptive to the argument that a vigorous, capitalistic approach is our best hope.
A few more Labor Day thoughts:
More troubling than Mitt Romney’s economy where jobs are lost and new ones created, is Barack Obama’s economy where “big name investors behind Obama failed green tech bet first in line to recoup losses.” Who are they ahead of? They are ahead of taxpayers, who did not have a choice as to whether to invest in Solyndra, one of the latest green fantasies to go under. (Green investments are fine-as long as they are made by investors, not taxpayers, who are willing to take the risks without assurances from an administration sentimental about green companies.)
President Obama is in Detroit for Labor Day, a traditional stop for Democratic presidential candidates. I’m afraid the president is not going to enjoy the editorial in the Detroit News:
Obama must move away from the blame-shifting and excuse-making that marked his prevacation appearances – tactics better-suited for the campaign trail – and establish himself as a leader willing and able to confront the employment crisis. This is a time for confidence building, not more partisan sparring. The best re-election strategy the president can pursue is to revive the economy.
That requires a plan with a strong focus on private sector growth. The initial $1 trillion in stimulus spending was heavily weighted toward government initiatives and political priorities. We won’t quibble over whether the stimulus kept the nation from depression, as the president claims. But it is indisputable that it is not working now to generate the growth Obama promised and the nation needs.
If you really want to ruin your barbecue, here is a President Glumkins talking to kid reporters, who want to know about the economy. He advises them to go to college–no doubt with a government-backed loan–but I think they wanted something more immediate. They look like maybe fifth graders.