More Jobs?

The slogan of the incumbent’s campign is “He works for jobs.”

Since he’s made it the focus of his campaign, the question has to be raised, do the policies of the incumbent really create jobs? 

We believe that overall, they don’t.

While he’s brought many projects to the region, the incumbent continues to vote for policies that damage our economy, hollow it out, close industries, lose jobs, and give protections to speculators.

Free Trade

The incumbent continues to break with the majority of Democrats and vote in favor of Free Trade Agreements.  These put local businesses that have fair wages, or health plans, or environmental protections at a disadvantage.  This is one of the main reasons U.S. businesses are having to shut down, cut benefits, and lower wages and hours.  Do these policies create jobs as the incumbent claims?

Savings and Loan Deregulation

This is what first turned our nation from the world’s largest creditor, to the world’s largest debtor.  It also created funds that pushed speculators to buy out and dismantle functioning businesses. 

Savings and Loans were insured because they had rigorous regulations.  During the Reagan, Bush (I) era, the incumbent voted to remove these regulations. Savings and Loans would then buy worthless properties and trade them amongst themselves increasing their “value.”  When they collapsed, the tax payers were left to pay off the money that was “lost”, usually at the full value claimed by these speculators.

These attacks on our economy took place in large part because of many of the incumbent's votes.  Did this help the local economy?

Elimination of Protections for Banks

After the Depression, the Glass Steagall Act was put in place to prevent a re-occurrence of the bank insolvencies.  Banks that dealt with consumers were stopped from working with speculative accounts.  This was ultimately destroyed in 2,000 by Gramm Leach Bliley (which the incumbent voted for).  The result is we’re approaching record numbers of bank foreclosures, and banks are actually destroying some functional businesses.  Is this in any way creating jobs?

Hostile Takeovers, Leveraged Buy-Outs

The availability of easy funds through these deregulations of financial institutions has fueled the hostile take overs and buy outs of many functional businesses, with disastrous results.  Companies may be purchased with illusorary financial instruments, such as those described above, or debt instuments created through deregulation.  Once purchased, the company is usually broken apart and sold off to pay for the debts, creating a huge job loss. 

CASE STUDIES

Timber and Speculators

A repeating pattern is that speculators buy timber companies, many that had existed for generations, for little money down.  Because they had little money down, they had to pay off loans.  This forced the harvest of the timber in unsustainable ways, usually massive, unsustainable clearcuts.  Once the unsustainable clearcuts are done, the mill is closed.  Does this create jobs, or help the environment?

Retail and Speculators

Similarly, many retailers, or business that made products, are bought for little down.  The new owners, again, owing debt, typically fire higher paid workers, cut benefits and raise prices.  On paper the company is now making money, so they can issue more shares of stock, sell that stock and make money selling off what’s left of the business.  It may make a few people money, but does this make jobs?

VOTE RICHMOND FOR CHANGE

Paul Richmond wants to put these protections back.  He’ll fight to repeal the “Free Trade Agreements” that have everything including our children’s food and flags made in China.  He’ll work to eliminate the predatory practices of financial institutions whether it be towards citizens or towards legitimate businesses by putting back legitimate protections and firewalls.  This is how we make and keep jobs.