Join Chuck Vollmer as he explores ways to create to 2 million jobs by 2020.
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The economics of job, wealth and The economics of job, wealth and The economics of job, wealth and revenue creation. The economics of job, wealth and revenue creation. 20 by 20: Create 20 million new private sector jobs by 2020 20 by 20: Create 20 million new private sector jobs by 2020 sector jobs by 2020. sector jobs by 2020. Chuck Vollmer Chuck Vollmer Chuck Vollmer Jobenomics, Author and Founder January 2010 Chuck Vollmer Jobenomics, Author and Founder January 2010
Transcript
The economics of job, wealth and The economics of job, wealth and The economics of job, wealth and revenue creation.
The economics of job, wealth and revenue creation.
20 by 20: Create 20 million new private sector jobs by 2020
20 by 20: Create 20 million new private sector jobs by 2020sector jobs by 2020.sector jobs by 2020.
Chuck VollmerChuck VollmerChuck VollmerJobenomics, Author and Founder
January 2010
Chuck VollmerJobenomics, Author and Founder
January 2010
Jobenomics
Book Book released, September 2010 A il bl t j li Available at any major online
bookstore (e.g., Amazon.com) Jobenomics.com
A movement National initiative to create 20National initiative to create 20
million new private sector jobs by year 2020
Many grassroots efforts underway:Many grassroots efforts underway:• National level initiatives• State & municipal initiatives• Private sector programs
22The book is the intellectual underpinning for the movement.
Private sector programs
Jobenomics 20 by 20 Campaign Plan 10 Million New Jobs10 Million New Jobs 10 Million New Jobs10 Million New Jobs10 Million New Jobs10 Million New Jobs 10 Million New Jobs10 Million New Jobs
Small & Self-Employed Businesses Plan
b d b
Large Businesses Plan Send US expats overseas
Community‐based business incubators and training centers
Women‐owned micro‐business initiative
Reciprocal trade agreements Buy American preference for
taxpayer funded programsinitiative
Combat Veterans‐Owned Business Center
In home direct‐care (elder, child,
Foreign Businesses Plan Assist foreign businesses and
i t t t t US iIn home direct care (elder, child, healthcare) initiative
Real estate owned (foreclosure) initiative
investors to start US companies EB‐5 Investor Visa Program
E e Te h Re l ti Pl Business ministries for the financially downtrodden
Capital to the base‐of‐the‐id i iti ti
Energy Tech Revolution Plan National initiative for system‐of‐
systems approach to the ETR International collaborative effort
33Emphasis on small, self‐employed and emerging businesses.
pyramid initiative International collaborative effort
Presentation Outline
Problem: Debt & Joblessness
Solution: JobenomicsSolution: Jobenomics
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Economic Recovery Scenarios
V or U W or Double Dip L Declining LV or U Traditional viewwhere market bottoms out and
W or Double DipAfter a few false starts the market rebounds
L, Declining LA view that the economy may take decades to recoverbottoms out and
rebounds to historical levels. 8 f h l 9 US
rebounds. The last W or double dip
i
decades to recover, decline or even collapse. Expressed by analysts
h l b l 8 of the last 9 US recoveries were V’s or U’s.
recovery was in the early 1980s.
who say global disruptive forces have changed the status quo.
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Since the US is in uncharted economic territory, experts can make plausible arguments for each scenario.
Lost Decade
Total New US JobsMillions per Decade
17.119.4 18.1
21.7 Prosperity
12.0 10.7 LostDecade
‐0.9 ?40s 50s 60s 70s 80s 90s 00s 10s
Collapse
66US cannot afford another lost decade of private sector jobs.
2010 Private Sector Growth
300
350 Jobenomics 20 by 20 Goal167,000 per month
Small
150
200
250
167
SmallBusiness
(1‐499 employees)88%
50
100
150MonthlyChangeIn Private
167 88%(1‐49
employees)48%
‐50
0Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Sector Employment
‐150
‐100 ADP National Employment ReportPrivate Sector Growth in 2010
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So far in 2010, the private sector is only growing at 45% the rate that is needed to achieve 20 million new jobs by 2020.
The US Is Awash in Debt
US Debt and Obligations
$Trillions$Trillions
Annual2.1Federal Receipts (Taxes)
Accumulated
AnnualResources
14.014.12.1
National Debt US GDP (Goods & Services)
Federal Receipts (Taxes)
$T Debt & OtherObligations(Estimated)
10023.716.5
Medicare/Social SecurityUSG Bailouts/Pledges
Mortgage & Consumer Debt $T
200100
US DerivativesMedicare/Social Security
88
The US has evolved from the largest creditor nation in the 1970s to the world’s largest debtor nation today.
National Debt Exploding
$37T EstNo Revenue (Jobs) Growth
The Debt to the Penny
$37T Est.Interest $2T+
(Jobs) Growth35
30
Jan 2010 national debt =$12.3T $22TInterest $1T
25
20
15
Jan 2011 national debt =$14.0T $5.7T
Current GovernmentForecast
15
10
5
2000 2010 2020
$5.7T Forecast5
0
99In one year, our national debt increased $1.7T.
Too Few Pay for Too Many309 Million ki lf i i309 Million US Citizens Non‐Working Sector Welfare Recipients
51 million receive Social Security payments 45 million are Medicare beneficiaries 59 million receive some form of Medicaid
NonNon‐‐WorkingWorking
59 million receive some form of Medicaid 40 million receive food stamps monthly 37 million fall below the poverty level 26 million are unemployed
Sector:Sector:178M178M
26 million are unemployed
Government Sector Workforce 22 million civilians
GovernmentGovernmentSector: Sector: 35M35M
force
10 million government contractors 3 million in the armed forces
real estate crises Major stock market decline Eurozone crisis War with Iran
• Preemptive attack on IsraelSt it f H l• Strait of Hormuz closure
• Nuclear incident Terrorist attack
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Terrorist attack
There are a number of wildcards outstanding.
Presentation Outline
Problem: Debt & Joblessness
Solution: JobenomicsSolution: Jobenomics
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What’s The Solution?
Question: Should American’s focus on cutting spending or growing revenue?
Answer: We should do both but growing revenue via Answer: We should do both, but growing revenue via jobs creation may be easier in today’s toxic, partisan, and divided ideological environment.
Class Have Nots Haves
The Ideological Divide In America Today
Class Have‐Nots Haves
Politics Left Right
Theme Wealth distribution Wealth protection
Movements MoveOn.org TeaParty.org
1818Jobenomics can help bridge the gap
Jobenomics 20 by 20 Campaign
20 by 20 20 by 20
The goal of 20 by 20 is to assist the private sector in producing 20 million new jobs by 2020.
Why 20 million by 2020? • 130,000 monthly new workforce entrants (14 million)• C tti th 10% l t t t 6% (6 illi )• Cutting the 10% unemployment rate to 6% (6 million)
Historically, the decades of the 1970s, 1980s and 1990s produced 20 million new private sector jobs. So, the 20 million
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job goal is achievable in recent history.
Led by the private sector, supported by government.
Small Business: US Economic Backbone
In comparison to large businesses, small and self‐employed businesses:
Large Businesses18 000 Generate 64% of all new jobs
Employ more full‐time people
18,000
SmallBusinesses
Employ more part‐time people6 Million
Self Employed Hire 40% of hi‐tech workers
Produce 13 times more patents
Self‐EmployedBusinesses21.7 Million
Produce 13 times more patents
Produce 30% of all exports
2020
The US should focus on job creation in the small business sector since large business and traditional opportunities may be limited.
The Power of Small Business78
b i
234567 New Jobs Creation
2005
Million
s Of Job
s
012
Small (1 49)
Medium (50 499)
Large (500 9 999)
Very Large (10 000+)
M
(1‐49) (50‐499) (500‐9,999) (10,000+)
10.0
12.0
Exit Rates
4.0
6.0
8.0
Small Business (1‐499) Exit Rate
0.0
2.0
( )
Large Business (500+) Exit RateSource: US Census Bureau Study
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Small business creates more jobs, and is equally likely to stay in business compared to large business.
Top Small Business Initiatives Establish community‐basedEstablish community based
business incubators Incentivize women‐owned
b i ti Develop a national in‐home
direct‐care program
business creation
p g Establish a combat veterans‐
owned business center
Develop business ministries
Start real estate private equity/ property management initiativesDevelop business ministries
Create a national capital to the base‐of‐the‐pyramid initiative
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Jobenomics has started all these initiatives with significant private sector involvement and support.
Jobenomics-Central Pennsylvania
Industrial Space Industrial Space RevitalizationRevitalization
Bellefonte, PABellefonte, PA
Jobenomics’ team is supporting the revitalization of a 500,000
Initial projects:• Expand existing low‐melt
sq. ft. industrial complex in Bellefonte, PA.
I i i l f di b
p gmetal manufacturing operation
• Start turnkey eWastef ili ( l d Q1 2011) Initial funding appears to be
forthcoming from PA State government bonds and private sector capital
facility (planned Q1 2011)• Start natural spring water
distribution for oil and gas “fracking” operations
2323Large business can start small if the idea is big enough.
sector capital. fracking operations
Jobenomics Combat Veterans-Owned Business CenterBusiness Center
Few jobs are available for returning US combat vets
Th C t ill h l t The Center will help vets:• Incorporate their own
business (VOB, SDVOSB).• T i h t b i• Train how to run a business.• Finance start‐up businesses.• Provide transition counseling.
2424Objective is to train Asian businessmen to start US businesses.
Jobenomics Harlem Micro-Business Incubator
Objective is create micro‐businesses for inter‐city residents f H l N Y k Citof Harlem, New York City.
Lead by Michel Faulkner:• Former NFL player
Michel Faulkner
NY 15th
Former NFL player• Inter‐city minister• Ran for 112th Congress
(Harlem)Ran for 112 Congress
Key efforts:• $20 million micro‐business
loans by local banks• Charter schools
J b i b
2525The business incubator concept could be duplicated across the US.
• Jobenomics boot camp
Women-Owned Businesses 10 1 million US women‐owned businesses:10.1 million US women owned businesses:
• 90% of women‐owned firms are self‐employed businesses without employees
• Directly employ more than 13 million people and generate $1.9T in direct revenue.
• Overall economic impact at $2.8T with 23 million direct and indirect employeesO l 22% f th US i t t i ili
The 2010s should be the decade of women‐owned businesses:
• Only 22% of the US private sector civilian workforce
The 2010s should be the decade of women owned businesses: greater financial needs and incentives, more qualified women, more emerging opportunities, and less cultural barriers.
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The Jobenomics team plans to publish “Jobenomics’ Women”when “Jobenomics” achieves best seller status.
Direct-Care Initiative Direct‐care positions should increase byDirect care positions should increase by
several million new jobs, due to:• Assisted‐living services• Handyman servicesHandyman services• Child‐care services
A national direct‐care initiative could be largely paid by those who needlargely paid by those who need assistance to retire at home or working families who can’t afford child care.
Y t iddl d A i ld Young to middle‐aged Americans could be employed to provide direct‐care, either on a full‐time or part‐time basis.
Th i i l l f t The principal role for government (federal, state and/or local) would be to set up the direct‐care program, help train potential caregivers, and provide
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train potential caregivers, and provide proper oversight and quality control.
Information technology enables direct‐care business creation.
REO Initiative Foreclosed bank owned properties called REOs are a triple threat
% of Houses in Foreclosure
Foreclosed bank‐owned properties, called REOs, are a triple threat to recovery: loss of value to homeowners, banks unequipped to be property managers, and loss of property taxes to municipalities.
0 %
% of Houses in ForeclosureSeptember 2010
2 %
8%
4 %
8 %
17.5 %Source: CoreLogic/Washington Post, 19 Oct 10
REOs present a major opportunity for small real estate and property management firms that can convert REOs into rental properties or low cost homes
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properties or low‐cost homes.
Rather than letting large investment funds profit from REOs, Jobenomics is working to create opportunities for small business.
The largest social network in
Business Ministries The largest social network in
America, 327,000 churches, is the one that is the least prepared for a joblessprepared for a jobless recovery—the need is great.
Families broken by l t t dunemployment, poverty and
financial hopelessness justify development of business ministries from focusministries, from focus groups, training centers, to business incubators, to micro‐financing programs.micro financing programs.
Business Ministries
The first Jobenomics Business Ministry is open in Manhattan New York City
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Business Ministries
Dan Stratton (shown) is leading Jobenomics’ business ministry effort.
Manhattan, New York City.
Capital to the Base-of-the-Pyramid Community‐based incubatorsCommunity based incubators
• Identify and prioritize opportunities
• Government underwriting• Small business bank loans• State and municipal bonds• Federal grants/incentives
A l d 504/506 i t d bt Angel and 504/506 investor debt and equity financing
Public offerings (OTC, Pink Sheets, g (Penny Stocks)
Foreign financing (e.g., EB‐5) Di P bli Off i (DPO)
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Direct Public Offering (DPO)
A national initiative is needed to deliver capital to small businesses.
20 by 20: Large Business Initiatives
US l i i l US multinational corporations: 2 million US expatriate positions overseas to develop bi‐national business opportunitiesopportunities.
US domestic corporations: 3 million new jobs.R h i US j b• Re‐shoring US jobs
• Reciprocal‐trade policy• Preference to US companies forPreference to US companies for US taxpayer funded programs
• Improved federal governmentd
3131Create 5 million new corporate jobs by 2020.
support, promotion and protection
20 by 20: International InvestmentO h d d h f h b i h i hi h US illOver the next decade, much of the business growth within the US will be from companies in emerging economies in Asia and the MidEast.
150,000 150,000 Direct & Direct & Indirect Indirect Direct & Indirect Direct & Indirect
JobsJobsJobsJobs
Japanese Auto Plants$20B Investment
International Plants$200B to $400B Investment
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Create 3 million new jobs in the US via international corporations and investors by 2020, to gain preferred access to US market.
Jobenomics Center for Industrial Development Center for Establishing and Financing Foreign Businesses in the USA
1,200,000 sq. ft. centerf h l & i i• 300,000 sq. ft. hotel & training center
• 900,000 sq. ft. industrial park
3333Objective is to train Asian businessmen to start US businesses.
20 by 20: National Energy Technology Revolution (ETR) Initiative
2010sEnergy
Technology
Post WWIIMilitary
Technology
1990sInformation Technology Technology
Revolution (ETR)
TechnologyRevolution (MTR)
TechnologyRevolution
(ITR)
5 million new jobsJ b i G l10s of millions of ne jobs
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Jobenomics Goal
The country that dominates the ETR will be the next superpower.
10s of millions of new jobs
Jobenomics-Emerald Planet Jobenomics has joined Emerald Planet’s Washington D.C. j g
based television show is simulcast to over 50 stations around the country and features ETR solutions.
Dr. Hancock’s will lead an “Emerald Planet Trek” that will cross 300,000 miles, through 143 countries, across six continents to identify 1000 best ETR practices.
Emerald Planet’s “Power for Peace” initiative is to bring gaffordable power and sustainable economic and environmental development to underprivileged communities.
Rapidly Deployable Power System
Mini BioDiesel Plant
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Hancock & Vollmer
Jobenomics is a proud Emerald Planet partner.
Power System Plant
Conclusions
The US is in trouble economically and will not recover unless we act aggressively and decisively.aggressively and decisively.
The Jobenomics goal of 20 million new private sector jobs by 2020 is p j yvery achievable, if we focus on the American entrepreneurial spirit and small businesses and the self‐employed.
Join the Jobenomics team, read the book, attend Jobenomics forums, and utilize this entrepreneurial/financial network.
3636A new vision for debt reduction and job creation is needed.
