How Would Apple Solve Economic Crisis? Hint: Not Like the GOP
14 years ago, Apple Computer was within three months of bankruptcy when former CEO Steve Jobs was asked to step back into that role by the same board of directors who had fired him 12 years earlier. Today, Apple Computer breifly passed Exxon Mobil to become the #1 most valuable company in America.
What would happen if we asked Steve Jobs, the man who pulled off this miracle, his advice on how to get out of our current economic crisis? According to MarketWatch columnist David Weidner, Jobs' solution would be exactly the opposite of the GOP's current approach (emphasis mine):
So, what would happen if Apple had to tackle the debt crisis? First, it would eliminate spending that’s not working. Then it would make a commitment to spend if necessary. Third, it would look for ideas to spend on. Finally, it would call customers’ bluff. How much are you willing to pay for what the government gives you?
Ultimately, what’s happened to our government, lawmakers, elected officials and ourselves is that we’ve have taken on a mind-set of defeat. It doesn’t seem to matter that the business model — taxing for revenue, spending for growth — isn’t broken. After all, it’s working in Germany, Canada, India and China.
We’ve given up on the model because of our debt situation. It’s a problem, and a pressing one. A default or lower credit rating would cause further damage to our credit picture.
But there are really two ways to handle it. We could take a balanced approach of reining in spending and increasing revenue (cutting costs, raising taxes), or we could simply cut, slashing incomes (Medicare, Social Security, the military). These drastic cuts, which will balance annual budgets, are in effect a surrender.
They are based on the belief that revenues (taxes) won’t rise through increased business activity, and that taxes can’t be raised without scaring the private enterprise. In business terms, management is convinced sales won’t be enough to pay the bills and that raising prices will drive away customers.
Surrender? That's not a very "Republican" thing to do, is it? So why are they doing it? Hint: It's what the upper 1% is asking them to do.