I recently tried the Creators theory out on a client of mine who is in the medical field and who owns a small company with a few employees. She wanted to know why the successful people in Hollywood did not get this concept. I explained to her the vast majority of them have never created a job. People like Sean Penn and George Clooney are plug-and-play employees. They get plugged into a project, they show up and, if they don’t play the part, someone else will be hired. They may get paid a lot of money, but they do not have a clue what they have earned. They have a manager, an agent and a business manager. They never write a check and certainly have no clue what they are paying in taxes. They don’t know what their tax bill is and they don’t get the concept if it gets raised. They have not created a job for anyone else except for possibly an assistant.
I discussed this with a restaurateur who came here from Yugoslavia. He has 20 employees and he is a Creator. He says he saw what things were like in socialist Yugoslavia -- how the government policies discouraged people from working or creating jobs. That was why he came to America and why he loves America. He believes Obama’s plans will make America become another Yugoslavia.
Obama and his team argue his proposals are short-term measures. But there is nothing in their plans to encourage a Creator to produce opportunities for people. Obama must know our corporate tax rates are the second highest in world. Lowering them would encourage the Creators to hire more people who pay more taxes and use less government services. Yet, there was no movement toward doing that.
Small business owners are discouraged as their top individual tax rates climb significantly. The Creators will once again be penalized for creating, thus causing more people to lose the chance to obtain employment.
Obama and his cohorts in Congress have some belief that the Creators are just idle rich. The vast majority of people on the Forbes Four Hundred got there from hard work and not from inherited wealth. The scions of families like the Kennedys and the Rockefellers – people who have never created a job themselves – get elected to Congress and say they understand the people who have money. They are no more familiar with what a Steve Jobs has done to become wealthy than they are able to play in the NBA. They want to penalize the Creators because they don’t understand their benefit to all of us.
The Creators are the people who have separated this country from others in the world. They are the ones we should honor. Until Mr. Obama realizes that, his plans to revitalize the economy will fall flat.
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