Carl Person: Creating Jobs in Wisconsin

St. Croix, WI, October 1, 2011. Carl Person, Candidate for the Libertarian Party’s nomination for President, made the following statement today as part of solving the unemployment and economic problems existing in Wisconsin and most if not all other states:

Background – My background – business owner at age 9 (newspaper route in North Platte, Nebraska); high school dropout; AB magna cum laude; Harvard Law School; commercial and civil rights litigation; created paralegal field, inventor, came in 3rd for NYS Attorney General during November, 2010; creating a new career field with more than 10,000,000 waiting to be filled – Assistant to the Owner of a Small Business. Wisconsin: Started and was nation’s leader in technical (vocational) schools, and has been led by US Government and its higher education and student loan policies (and its own regulation of education) into current crisis of having an insufficient number of high paying jobs and job-creating small businesses in Wisconsin

Creating Jobs

1.. 1st 3 Are Free – WI can get bi-partisan message to Congress and Obama through the National Association of Governors – Office of Federal Relations – should be doing

2.. Tax Incentives for small business are worthless – Stop using them and tell Congress and Obama through the NGA

3.. Subsidizing Business to Move Jobs to Wisconsin – Hurting taxpayers and existing WI businesses by subsidizing their competition – Instead, develop a healthy business environment for small business by decreasing or eliminating regulation – review each statute and get rid of as much regulation as possible

4.. Encouraging existing small businesses to hire smacks of industrial policy – picking winners, hurting others; your efforts should be to assist small business at and before they are started

5.. Eliminate restraints on the raising of capital by small business (i.e., the “Blue Sky Laws”) – end all filings, fees, reports and prospectuses and permit any small business to raise up to $5,000,000 per 2-year period subject only to the laws of fraud – dramatic expansion of jobs, at the cost of a few lawsuits for civil or criminal fraud – we have protected our citizens out of their jobs – Go through NGA to change federal law.

6.. Unemployed College Graduates. What would you think if you, as a recent unemployed college graduate, owe $200,000 on student loans which can’t ever be repaid and which cannot be eliminated through bankruptcy – especially when hearing that a better, job-getting course of training could have been obtained at a cost of only $2,000 per year, instead of $10,000 to $70,000? – Stop this Runaway Locomotive of Unemployed Youth and College Graduates from Running You Down – train them now with skills that will get them higher paying jobs than many of today’s airline pilots

7.. Colleges never trained persons for jobs, they trained as thinkers to be trained later by the large corporations. But large corporations aren’t doing this any longer, and governments are hiring fewer persons, and hopefully the military and armaments industries are using fewer persons – this leaves small business to do the heavy hiring, which can’t use college graduates – they have none or very few of the technical skills we need in running a small business.

8. Multi-skilled training is needed, but not in classic niches (drill press operations, welding, automotive repair). Instead, multi-skill macro (broad-based skills) training is needed (to do a lot of the work currently being by a small business owner), so these trainees can become the assistant to the owner of any small business. This will make small business more efficient, competitive and profitable, and create more jobs, and will lead 50% or more of the multi-skilled Assistants to become entrepreneurs after leaving their 1st or 2nd jobs, requiring 2 more trained assistants. I created such a program, and the lawyer for NYC Welfare Dept. wanted to be the first student in my class.

9. Encourage small businesses to open up. You don’t have to give them subsidies. Give them opportunity by getting out of the way. Eliminate all licensing is what I encourage you to do. Five situations come to mind:

A.. Post-secondary training programs to train youth, unemployed, underemployed, airline pilots earnings only $30M/year, retirees, and perhaps lawyers and doctors to acquire multiple technical skills to be the assistant to the owner of a small business. Don’t require entrepreneurs to go to your regulators to seek permission to do what the regulators know nothing about – let the entrepreneurs decide what the market wants and let them risk their own money – how can you go wrong? Why do you want to regulate that, when your regulators are already in charge of higher education that charges 40 times as much and has their graduates winding up unemployed and hopelessly in debt. Try the other way. Eliminate this licensing nonsense. This will create trained persons who would be hired by the nation’s 26,000,000 small businesses

B.. Be smart as a state, and be the first to eliminate the licensing laws, and you will have a disproportionate amount of the vocational training business located in Wisconsin, creating far more jobs than you would normally have if every state got started at the same time.

C. Also, get somebody in the state who understands what locally-owned state banks could do for a community and don’t get in their way – let them get formed and help finance the growth of small business and jobs in Wisconsin – look at the North Dakota model, about 7 other states are looking at this right now (including Wisconsin, I might add).

D. Here is another thought from a entrepreneur and Libertarian, encourage local groups to set up a local database for keyword advertising similar to Craigslist, in which everyone in the town, village or area is encouraged to put as many free keyword ads in the database as possible, describing what goods or services they want to buy or sell, and after everyone has put in their keyword data, you can then advertise the database to a 25-mile radius around the town at almost no expense to the advertisers – $1/minute ad paid for by 5,000 advertisers is at a cost of 5,000 1-minute database ads for a cost of $1 as to any of the 5,000 advertisers. How can businesses in the town or village not take advantage of such favorable business economics?

E. Set up an area-wide payroll administrator, to make it easy for small business to hire, without the need for any workmen’s compensation or disability income insurance policies and without any threatened audits. This is a workaround not requiring any governmental approvals for my 1st 3 Are Free idea.

Follow Libertarian Principles – They Are the Solution. Libertarian principles should be followed, by having private interests engaged in the recommended activities, such as starting up tuition-free equivalency colleges, post-secondary vocational training programs, database marketing of the goods and services of individuals and small businesses in an area, and the area-wide payroll administrator. Government and political considerations generally tend to corrupt and ruin any program that could be of help to voters, residents and small businesses. The programs should start out being locally owned and financed, but government could at least maintain websites with links to the locally-owned activities and point out that these activities have been deregulated (to the extent that happens). If competing, privately-owned state banks for Wisconsin could be created, so that there was competition for the deposit of moneys payable to the State of Wisconsin, it could prove to be more effective for Wisconsin (or any other state) than a state-owned state bank, depending on how state politicians use or misuse the state-owned state bank.

4 thoughts on “Carl Person: Creating Jobs in Wisconsin

  1. Starchild

    Claiming to have created the paralegal field is a pretty big claim. Has this claim been corroborated by any important external authorities?

    It would be embarrassing for the LP to have a candidate drawing comparisons to Al “I invented the Internet” Gore.

  2. paulie Post author

    Separate article later….

    CREATING STATE BANKS THE LIBERTARIAN WAY

    A Libertarian Idea for Creating Jobs Developed during Day of Joint Executive Meetings of LPWI and LPMN in St. Croix Falls MN on 10/1/11

    (by Carl Person, Candidate for Libertarian Party Nomination for President)

    FOR IMMEDIATE RELEASE

    New York, NY, October 2, 2011. Carl Person, Candidate for the Libertarian Party’s nomination for President, made the following statement today as part of solving the nation’s unemployment and economic problems:

    Setting up State Banks in the 50 states can and should be endorsed by Libertarians across the board. I figured out the way it can and should be done while meeting with and speaking before the jointly held Executive Meetings of the Wisconsin and Minnesota Libertarian Parties, held yesterday in St. Croix Falls, WI. My repeated requests to speak at Libertarian meetings throughout the U.S. has been very productive in developing Libertarian ideas for creating jobs and improving the economy.

    The only state bank in the U.S. is the Bank of North Dakota ( http://www.banknd.nd.gov/ ), which has at least significantly contributed to North Dakota’s envious position of being solvent and with a high rate of employment, and few if any economic problems, and probably the highest-rated state from an economic standpoint.

    The BND receives all moneys paid to North Dakota (to give it a platform for lending money through the nation’s or should I say Federal Reserve’s fractional banking system) and performs these banking programs for North Dakota [http://www.banknd.nd.gov/lending_services/index.html ]:

    Farm/Ranch Financing Programs

    Business Financing Programs

    Government Guaranteed Loans for Lenders [under my plan this would become Privately-Owned Bank Guaranteed Loans for Lenders]

    Community Water Facility and Health Information Technology Funds

    Residential Real Estate Financing Program

    Bank Stock/Trust Preferred Securities Financing Loan Program

    Most of the banking activities would be with other banks in the state (called “participating loans”), rather than making “Direct Loans”. The only direct lending authority for the BND (as granted by ND statute) is: (i) purchase or acquisition of bank stock or the formation of a bank holding company; (ii) acquisition or refinancing of farm real estate by qualified individuals; and (iii) assistance with post-secondary educational costs (i.e., student loans). All other lending is through participation through a lead financial institution (such as a bank, savings and loan, credit union or Farm Credit Services).

    Now, back to making state banks work the Libertarian way.

    Instead of having the state own the state bank, I proposed that the state license existing or newly created commercial banks (all nationally charted and members of the Federal Reserve System) to perform the above functions, or whatever combination of functions is desired, and that the licensing be available to any nationally chartered commercial banks.

    Each of the banks would be privately owned, and in the case of “state banks” at a county, city or town level, which I also would like to see, the banks should be locally owned and not part of an interstate or national group of banks.

    At the state level, let’s assume there are 10 commercial banks licensed by the state to perform the state-bank functions for the state. These 10 banks would compete with each other for obtaining state deposits of money by objective analyses of their respective performances of the state-bank functions, updated regularly including the percentage of state money they are entitled to receive in deposits. The competition would create the lowest cost for performing the state function, and the risks of loss would be entirely on the private owners of the respective “state banks”, and there would be no “too big to fail” potential, especially when expansion by the state banks into other states is prohibited. Lending across state lines is permitted by BND but only when the lending benefits North Dakota’s interests.

    If state banks work out so well for the state, why not have “state banks” for counties, cities, towns and villages? I see no reason why not. One of the competing (privately-owned) state banks could offer “state bank” services in political subdivisions of the state, but I would prefer that the state banks for the political subdivisions be owned by local interests, to make them more knowledgeable about and responsive to the banking needs of the local political subdivision. This locally-owned requirement would probably result in several regional banking groups to compete for the deposits of the regional political subdivisions.

    The effect of having state banks throughout a state, and throughout the 50 states, would create competition within the Federal Reserve banking System and enable business and potential new business to be funded at realistic interest rates instead of the usurious, prohibitively expense (often) 31% credit card interest rates that many small businesses are now paying to borrow money for their small businesses.

    Yes, state banks can be an important Libertarian plan for reducing government regulation, increasing private ownership of government functions, reducing interest for all businesses, large and small, and promoting jobs and economic growth in the United States.

    Please invite me to speak at more Libertarian meetings.

    Press discussion on next 1-1/2 pages:

    Associated Press and Huffingtonpost report on 2/16/10, amended 4/18/10,at http://www.huffingtonpost.com/2010/02/16/bank-of-north-dakotasocia_n_463522.html

    (AP) The Bank of North Dakota – the nation’s only state-owned bank – might seem to be a relic.

    But now officials in other states are wondering if it is helping North Dakota sail through the national recession.

    Gubernatorial candidates in Florida and Oregon and a Washington state legislator are advocating the creation of state-owned banks in those states. A report prepared for a Vermont House committee last month said the idea had “considerable merit.” Liberal filmmaker Michael Moore promotes the bank on his Web site.

    “There’s a lot of hurt out there, a lot of states that are in trouble, and they’re trying the Bank of North Dakota together with this economic success that we’re having right now,” said the bank’s president, Eric Hardmeyer.

    *.*.* North Dakota has the nation’s lowest unemployment rate at 4.4 percent, soaring oil production and a robust state budget surplus – but Hardmeyer says the bank isn’t responsible for the prosperity.

    “We are a catalyst, perhaps, or maybe a part of it,” he said. “To put this at our feet is flattering, but it frankly isn’t true.”

    The Bank of North Dakota serves as an economic development agency and “banker’s bank” that lessens the loan risks of private banks and helps them finance larger projects. It offers cheap loans to farmers, students and businesses.

    The bank had almost $4 billion in assets and a $2.67 billion loan portfolio at the end of last year, according to its most recent quarterly financial report. It made $58.1 million in profits in 2009, setting a record for the sixth straight year. During the last decade, the bank funneled almost $300 million in profits to North Dakota’s treasury.

    The bank has the advantage of being the repository for most state funds, which can be used for loans and occasional relief for private banks that need a jolt of cash during sluggish credit markets.

    “We think of ourselves as kind of a little mini-Federal Reserve,” Hardmeyer said.

    The state earns roughly 0.25 percent less interest than state agencies would get from a commercial institution. The bank also pays no state or federal taxes and has no deposit insurance; North Dakota taxpayers are on the hook for any losses.

    *.*.* Bollingberg said the idea of other state-owned banks would also likely arouse opposition from private banks that wanted to keep their share of state deposits. “Because the (Bank of North Dakota) has been here so long, no banks know what it was like to have those deposits,” he said.

    Hardmeyer said he, too, was always doubtful others would take up North Dakota’s model, but now he’s not so sure.

    “When I see what’s going on around the country, it’s not quite as far a leap as I thought it once was,” he said.

    Also, on 3/15/11, Gary Anderson of BusinessInsider.com stated, at http://www.businessinsider.com/listen-up-wisconsin-state-banks-are-a-states-rights-issue-2011-3?comments=all#comment-4d754e3449e2aed31c0b0000:

    So before you Tea Party people get your panties in a wad, you need to understand that a state bank is not a socialistic scheme.

    In fact, it actually is a method of funding capitalism below the crony capitalist level. We already have a sort of socialism, but it is a corporate, fascistic type of socialism, where the financial community is actually much larger in terms of cash flow than is the real world community.

    And that financial community is sucking out as much money as it can from the smaller real economy daily.

    Here are links to some of my more recent press releases (with 2 in red being state-bank related):

    Creating Jobs in Wisconsin – Outline for 10/1/11 Presentation

    To Ron Paul: Why Do Congress and Obama Refuse to Create Millions of Jobs at No Taxpayer Expense?

    Person Asks Community Colleges to End Unemployment by Offering Needed Vocational Training

    Carl Person Calls for National Convention of Colleges and Universities to Overcome Threatened Obsolescence

    Constitution Day – September 17, 1787 – What Went Wrong?

    State Banks as Competition for “Too Big to Fail” Banks

    There Is No Job Shortage

    Talking Points – Obama’s American Jobs Act

    Republican Presidential Debate Offered No Specifics for Job Creation

    Presidential Candidate Creates 10,000,000 New Jobs

    Presidential Candidate Creates 10,000,000 New Jobs

    Endorsements for Carl Person’s Candidacy

    Libertarians Should Reach Out to Free State Project, Porcfest and Similar Organizations

    6.5 Million New Jobs Waiting for Trained Applicants

    My Platform as Libertarian Party 2012 Candidate for President

    Carl Person for President 2012 Campaign Seeks State Coordinators

    Volunteers Needed to Stop the Destruction of Our Economy

    Law Students Wanted as Campaign Volunteers

    When the U.S. Government Stops Enforcing Law, the NYS Attorney General Becomes the Nation’s Chief Law Enforcer

    -30-

  3. Questions Man

    Can you forgive me for not reading something that long and mind numbing?

    Short version: would these privately owned state banks be given any kind of monopoly by the government, or government subsidies?

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