An increase in the creation of private sector jobs is one sign of a healthy, growing economy. It’s also a campaign promise of Donald Trump – a key part of his plan to “Make America Great Again.” And it makes excellent sense.
While no intent exists to demean those who are employed in the government sector, no country ever got wealthy by generating more regulations or paper work. There is certainly a place for the work of some government, but it is not the engine which will bring economic prosperity to Americans at all points on the economic ladder. The growth of private enterprises is what will do that.
So when we’ve so often heard the depressing news of yet another company moving its operations out of the US, it is encouraging to hear of just the opposite. And that’s the happy news we got today.
The Associated Press reported that, “Japanese electronics company Panasonic and U.S. electric car maker Tesla said Tuesday they plan to begin production of solar cells at a factory in Buffalo, New York.”
Adding to that good news we learn that, “The two companies said they finalized an agreement calling for Tokyo-based Panasonic to pay capital costs for the manufacturing. Palo Alto, California-based Tesla made a ‘long-term purchase commitment’ to Panasonic…Production is due to begin in mid-2017. Tesla said it will create 1,400 jobs in Buffalo, 500 in manufacturing and plans further expansion in Buffalo.”
This will involve some serious job creation – and not just in terms of those who will work in the plant, as terrific as that is. The plant has to be built, and that creates jobs as well. And this is Buffalo, New York, a city that could use a nice influx of new jobs.
Note also the concept of a “long-term purchase commitment.” Hence Tesla has confidence that the solar cells produced at Panasonic’s Buffalo plant will be in demand for some years to come. This speaks of job-security.
There’s more to the story, but the point is that tech companies can and will build and employ in the US when the conditions for such commerce are friendly to their enterprises. This is just the sort of thing the president-elect has promised to promote.
Could it be that companies are predicting good things to come and are thus prepared to invest in America? Let us sincerely hope so.
Source: Yahoo News