Browsing Tag: us economy

    What Mark Cuban Would Do If He Were President | Inc.
    Articles, Blog

    What Mark Cuban Would Do If He Were President | Inc.

    August 25, 2019


    let’s say you got elected mayor I mean
    we’re here in the inaugural theater for mayor Emanuel or president okay whatever
    you’re in a position to affect the economy by the way if you all watch
    sharknado 3 I am the president well then you’ve had some practice yes I have so
    you have the power to do anything that would make the world safer easier for
    entrepreneurs you could increase capital you could make you get rid of
    regulations what would you do deal with income equality because it’s creating a
    risk factor that hurts everybody if you have to worry about whether or not
    there’s going to be riots or instability where your businesses are that’s an unquantifiable risk I deal with patents every companies getting
    sued for patents for the most ridiculous dumb shit ever you know I mean I heard
    somebody say that in the 80s when Apple had been in business more than 10 years
    they had one patent you know you know back in the day people just competed if
    you look at you know Intel when there were clones of Intel processors you know
    IBM clone Compaq or whatever you couldn’t do any of that today because of
    all the patent wars so I would change that I would simplify the administrivia to start a
    business so there’s just single forms so you don’t have to you know apply in
    every municipality or pay taxes in every municipality so you know simplification
    be key but people talk about taxes as being just just I mean there’s no
    shortage of people wanting to start businesses but there’s a lot of things
    we could do are there things that government does that get in the way of
    entrepreneurs you just mentioned one rarely it rarely I mean people here
    because they’re starting businesses you can bitch about taxes too high you know
    rent too damn high whatever the case may be it’s not stopping anybody well they
    might do things the government people who say that you don’t see that and
    there are there are a lot of talking halfway so we’ve got to get government
    out all entrepreneurs right y’all consider
    did y’all think about tax rates before you became an entrepreneur one time yeah
    guess I would draw my question well how about access to capital that’s a big
    problem it’s been a problem for a lot of people easy to raise money we just
    talked about there being people get that let me rephrase what I said earlier
    somebody is writing a check to some kids or adult kids seventy year old kids
    right with an idea not even a product yet who isn’t even really in business
    yet valued their business at eight million dollars and they gave them money
    knowing that they should immediately mark it down to zero there’s no shortage
    of capital you know now part of the problem is he going back to government
    that if you’ve got new you’ve got no place else to put it to make money that
    creates issues right I’m happy to pick on my buddies at the SEC the idiots over
    there you know because of what they’ve done
    every time they screw up they don’t catch Madoff they don’t catch Enron that
    you know there’s an overreaction and there’s too many laws too many
    regulations so as a result we’ve seen the number of public companies drop in
    half over the last fifteen years right we’ve seen there’s only been what four
    IPOs this so far this year just think about that right it is literally crazy
    all those people working for private companies that you know 15 20 years ago
    would have gone public with 25 30 40 million dollars in revenue that would
    have an opportunity to make more money there would be investment opportunities
    that are liquid as opposed to throwing your money away right those are gone
    because of the SCC right yet they wanted like two people for insider trading
    put aside me right because I just torched their ass but a guy sitting here
    this is what your SEC government dollars are doing so there’s a guy I think it
    was an Illinois railroad company he would go to work and there were all
    these limousines that were pulling up it’s like what are these limousines
    don’t were in the middle of nowhere it’s a real crook he figures out there’s a
    good chance someone’s trying to buy my company so he buy stock options on the
    company all we did SEC sued him for insider
    trading the FCC’s job is to make it as he knew
    something but not because he observes or something exactly the FCC’s job is
    supposed to be to make people trust the stock market more this is CNBC well how
    many people here think the stock market is safer today than it was 10 years ago
    and not a lot of hands right that’s all you need to know you know so people
    based off what the SEC is doing nobody thinks the market is safer based off the
    number of IPOs it’s not easier to raise capital by a longshot
    right it’s certainly not there’s not more confidence from the inside or out
    so they’ve failed at everything that they’re designed to do and that has had
    a huge huge impact on the economy every one of these companies like 20 years ago
    when I was getting started I the end game was hey we might be able to go
    public the number of IPO is priced at under 80 million dollars raising capital
    under 80 mil has dropped like 80 percent in 20 years now they’re coming out with
    it reg a plus we’ll see how that works right but they’ve screwed it up even
    more because now that’s going to be crowd funded which means there’s no
    liquidity they’re just you know if you get rid of the the enforcement side of
    the SEC I think the economy would boom but but you know I’m happy to jump on
    them but the reality is we and maybe I misanswered your earlier question we
    need to make it easier to go to the next level of capital raising right it’s not
    so much what the government is doing it’s with how the SEC is screwed it up
    because we don’t have a natural progression for all the entrepreneurs
    here 15 years ago 20 years ago there was a natural progression right you didn’t
    have to go out and keep on raising money privately you knew that if you got to
    some level of profitability or you knew that if you could create awareness and
    had a decent company you could go public raise 25 million dollars and that
    creates incremental capital available to you and it also allows your employees to
    benefit it creates more awareness for your company there’s just so many good
    things that can happen but now know there’s just so many rules regulations
    and problems with it now we’ve taken that whole segment of opportunity and
    the SEC has kicked it to the curb

    Is Raising Minimum Wage A Bad Idea?
    Articles, Blog

    Is Raising Minimum Wage A Bad Idea?

    August 22, 2019


    There’s a movement in cities across the
    country to raise the minimum wage to $15 per hour. One of the most prominent advocates
    is former labor secretary Robert Reich who thinks that $15 per
    hour should be the minimum wage for the entire country, this is a bad idea. Here are three reasons why,
    first of all, it would kill jobs. One of the basic lessons of economics is
    that when the price of something goes up, people buy less of it, so, if the price of pumpkin lattes rises you
    can expect consumers to buy fewer of them. This law of demand also
    effects the market for low-skilled workers,
    raising the minimum wage means a higher cost of employing each worker which makes
    workers less affordable than before. Our coffee shop won’t keep a worker at
    a mandated $15 per hour if that worker’s efforts only result in $7.25
    per hour in added revenue. Over the course of the year, a shop
    that keeps such a worker full-time would lose $15,500, so instead,
    it would eliminate that job and evidence shows that employers in fact do
    respond in this way to minimum wage hikes. Recent research by economists
    Jeffrey Clemens and Michael Wither finds that 1.4 million jobs
    were destroyed in the late 2000s when the minimum wage rose across all 50 states
    by an average of nearly 30%, and worse, those job losses were probably suffered
    by the people who need jobs the most. This fact brings us to reason number 2, the minimum wage actually hurts
    the people we most want to help. When the minimum wage rises, the workers
    fired first and the ones hired last are those who employers judge to be
    the least productive, the inner city teen from the lousy school district or
    the immigrant with poor English will be fired before the suburban American
    teen from the excellent school district. So those who are most disadvantaged, tend to suffer the most job losses, this
    reality is compounded by the fact that raising the minimum wage causes
    more competition for jobs. A supermarket job that once paid $8 per
    hour draws more applicants when it pays $15 per hour, applicants who include
    retirees, and people with higher education who reenter the workforce only
    because of the higher wage. Because these people often have more
    skills, they squeeze out immigrants and those from disadvantaged backgrounds who
    are likely more desperate for the jobs, and certainly more desperate
    to gain job experience. The third reason is that minimum
    wage hikes aren’t necessary to give deserving workers raises. 96% of American workers today earn wages
    higher than the current minimum wage, which proves that employers don’t just
    pay the minimum that they’re obliged to pay by law. Employers respond to the value
    that each employee adds, so they can retain the best talent. It’s expensive to train new employees and businesses don’t wanna lose good
    workers to their competitors, so they raise worker pay voluntarily as
    employees gain more skills and experience. But when government imposes such
    raises by hiking the minimum wage, some of the least experienced workers
    will not only lose their current jobs, they’ll find it incredibly
    hard to find other jobs. In essence, the minimum wage cuts off
    the first rung on the employment ladder. And it’s that first, lowest paying rung,
    that provides the skills and experience workers need to
    reach the next rung, and to continue climbing their
    way to a better life.