Friday, November 28, 2008

Small Business Stimulus?

Why can't a similar package be offered to small business fitting the same criteria? Here's the hard math I spoke of. The Big 3 are getting $25 billion. They are asking for an additional $25 billion for a total of $50 billion. They claim this will save 2.5 million jobs. Breaking these figures down to simple per unit costs that is $20,000 per employee. A juice bar in California that employs 6 people could use $100,000 to keep its doors open at a cost of $16,667 per employee. Sales at this juice bar are growing. It is a strong supporter of the community and local school athletic programs. They even have a program to teach nutrition to children in grade school. However it it may close because tight credit markets threaten to cut off its financing. Why is there no talk about helping a small business like this? It's just as economically feasible if not more than the bail out for the auto industry.

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