Jobs

Not Stephen – the other kind.

With all this discussion about jobs, remember there are three reasons a job is created.  The first reason a job is created is because somebody thinks they can make money paying a person to perform the required task.  This is why there is all this talk about uncertainty making CEO’s hesitant to spend the gobs of cash available. If one is uncertain as to tax rates, cost of benefits, regulation, etc. then it is hard to spend to create a job when that may not result in a profit.  The second reason a job is created is for the common good (building roads, funding medical research, fighting a war etc.)  The final reason a job is created is make someone more comfortable (household workers, gardeners, cooks etc; i.e. no profit motive).

The first category is obviously the business sector.  The second is government and non-profits.  The third is affluent people. 

Statistically, 75% of jobs fall in category one,  23% in category two and 2% in category three.

 

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