Skip to content

Competition and Green Jobs

September 24, 2012

Have your unemployment benefits run out?  Are you tired of waiting tables or visiting day labor sites for part time jobs?  Maybe you’re tired of living in your parents basement after you moved back home.  Competition for jobs is tough, and where are the jobs we were promised?!

Speaker of the House Nancy Pelosi said all of us could start new companies now that she passed Obamacare and we were unchained from our old corporate jobs.  President Obama said we’d see more private investments once companies were not held down by burden of medical insurance payments.  He said his stimulus would jump start the economy.  My Governor Jerry Brown said his new taxes and regulations would bring a flood of green jobs.  Yeah?  Well where are these new companies and new jobs they promised?

labor participation rate

They lied.  We have a larger population today, but a smaller fraction of us are working than back in 1984.  The reason is competition.  Let me explain what it means to compete.  Competition means lots of people are trying to satisfy you.  Competition means you have choices.  Employees compete to be hired and companies compete to sell their products.  In good times, companies compete to hire talented employees.  States and even nations compete to attract investment.  Welcome to the adult world of competition.  We have winners and losers.

Increased regulation and taxes crushed profits in the United States.  Obamacare is only one example.  Other countries can keep their air and water clean without high costs to business, but that isn’t the way we do it in the US.  Here we need a huge unelected bureaucracy to provide patronage and campaign contributions to politicians.  That takes high taxes and fees to pay for those government salaries, government healthcare, government overhead and government retirement benefits.  That requires even more regulation to justify our huge public workforce.  (It is said that we have more people in the county, state and federal Departments of Agriculture than we have raising crops.  I have not verified that.)

Some nations and states are more competitive than others.  Half of all jobs created in the US from 2009 to 2011 were created in Texas.  California continues to lose jobs and US citizens.  California and Hawaii are rated as two of the worst states in which to start a business.  Idaho and Texas are rated the as the best.  The US is rated 18th when compared with other nations in which to do business, but it is the 4th easiest nation in which to start a new business.  We didn’t make it easier; we made it harder to do business here.  We have to compete, and your jobs left the country.

Producers compete with other producers, and that competition is as intense as billions and billions of dollars can make it.  (and that is pretty intense!)  We don’t have green jobs in California because green companies have to make money just like any other business.  We used to have automobile plants, and steel plants in California.  California once produced more oil than Texas.  California used to have aircraft plants and ship building.  Now we have Starbucks.

Green jobs left California for the same reason that other industrial jobs left the state.  Even green companies have to compete.  Everyone competes, and no one wants to start at a disadvantage.  Green companies set up shop in states where they could make money.  That is also why green firms opened factories overseas.  That is why there are no jobs in California, green or otherwise, and that is why we have high unemployment in the US.  We have to compete, everywhere, all the time.

This is easy to fix.  We have people who want to work and people who want to do business.  Now we have to get the politicians out from between us and our job.


Rob the competitor

No comments yet

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: