Business owners focus on economy as election approaches
And although the approach to dealing with these issues varies across party lines, concerns about the economy seem to be universal as Election Day approaches, especially in light of the recent cries by Wall Street for a financial bailout from Uncle Sam.
The general election is Nov. 4.
Guy Stuart, chairman of the Burnet County Democrats, said the economy is the biggest issue of this election, especially for business owners.
“Inflation is a huge concern,” he said. “Everything has gone up dramatically and that’s putting the crunch on businesses across the state. The state of the economy is very poor right now. I think (voters) are paying much closer attention to it this time around.”
Karen Carter, owner of The Business Center in Marble Falls, said she is keeping a close eye on the economy.
“I’ve been in business for 25 years, and I can tell that everybody is cutting back on what they’re ordering, and one thing that I see here is that the costs (of doing business) have gone up so much,” she said.
The pinch is also being felt in the real estate industry, said Marble Falls developer Charley Dickey.
“With the subprime crash, the credit fears and the Fannie Mae/Freddie Mac takeover, it all rolls into one smoldering pot, and it’s had a major impact on the real estate business. I’ve had a spec home sitting on the market for nine months. Because of the fear of the mortgage situation, people are tightening up their purse strings. They don’t know how much money they’re going to end up with.”
The price of fuel has the attention of many business owners as well, following a summer of record-high costs at the pump.
Linda Rogers, chairwoman of the Burnet County GOP, owns a small business herself and said that a potential increase in taxes is one of her primary concerns.
“I am a business person, and I’m in favor of less government and lower taxes. For myself, I’m looking at the tax issues that affect everyone in our country, whether that’s personal or business,” she said. “There is also talk about doing something to get more cash flow to fund other programs, but seeing how that structure is going to be massaged is of great concern to me.”
Larry Berkman, owner of Coach Wash in Marble Falls, said that an increase in taxes would be especially burdensome for the small business owner.
“Every small business right now is worried about being taxed,” said Berkman.
He noted that rates are already escalating on the city and county levels, and businesses are feeling the strain.
“When it comes to the economy, small businesses have to be able to function,” Berkman said. “They can’t put the burden on businesses. Somebody has to put a stop to it. Capitalism is great but when it gets out of control, it loses its meaning.”
Dickey agreed, saying there “pros and cons” about both candidates, U.S. Sen. John McCain of Arizona for the Republicans and his Senate colleague Barack Obama of Illinois for the Democrats.
“One of the big deals is the taxation issue,” he said. “If taxes are increased for businesses, it’s just going to create a trickle-down effect all the way down to employees. And if you add to that the possibility of requiring national health insurance, businesses just wouldn’t be able to operate if that happens. To supply health insurance to a minimum-wage employee will exponentially affect those employers and increase the cost of their goods.”
The health insurance issue is another concern, others said.
“I’m also watching the health insurance issue,” added Carter. “We used to offer (health insurance) before it became too expensive. Now we have a program where we’ll provide 50 percent, but no one has taken us up on that. I don’t know if I’m totally for nationalized health insurance, but something has to give.”