Michael H. Shuman Video on Local Economic Development
By Mickki Langston - Posted on November 12th, 2008
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In this video, Michael H. Shuman, attorney, economist, and author of several books, discusses the economic and community benefit from local businesses.
I keep hearing local politicians and news anchors discussing the need to stabilize our economy. But a $700B band-aid is not going to solve some of the fundamental problems with our economy, and will probably not stop a recession from taking place.
We're giving billions of dollars every year to huge corporations that are bleeding cash left and right. However, we already know that up to 80% of new jobs are created by small businesses, and small businesses represent over 99% of all employer firms. (check out more about the impact of small businesses)
If we want to stabilize our economy, we must get back to the basics: our dollars are our votes. Every time we spend or invest money, we're creating a feedback loop, wherein businesses are rewarded for their behavior. This is how markets work - business provide goods and services that we like, and when we give them our money in exchange for those goods and services, they are able to provide more.
Each of us have more of an impact than we realize. When you purchase a latte, your money has a greater impact than in that first transaction. If you switch to buying your daily latte from a local coffehouse instead of a national chain, that's $90 going to a local business each month. Multiply that by 1,000 Denverites going to local coffeehouses, and we're building the revenue that not only employs our snarky baristas, but also goes to local coffee roasters, graphic designers, and advertisers. And, it's the local businesses that make our neighborhoods, cities and region unique - not simply the same 20 box stores and restaurant chains you see everywhere else.
Now more than ever is the time to strengthen our connection to local business. Use the local business directory to find local business and learn more about their impact in our community. Leave reviews and let others know why they're such great businesses. We may have less cash this holiday, but where we spend it has a huge impact.
I keep hearing local politicians and news anchors discussing the need to stabilize our economy. But a $700B band-aid is not going to solve some of the fundamental problems with our economy, and will probably not stop a recession from taking place.
We're giving billions of dollars every year to huge corporations that are bleeding cash left and right. However, we already know that up to 80% of new jobs are created by small businesses, and small businesses represent over 99% of all employer firms. (check out more about the impact of small businesses)
If we want to stabilize our economy, we must get back to the basics: our dollars are our votes. Every time we spend or invest money, we're creating a feedback loop, wherein businesses are rewarded for their behavior. This is how markets work - business provide goods and services that we like, and when we give them our money in exchange for those goods and services, they are able to provide more.
Each of us have more of an impact than we realize. When you purchase a latte, your money has a greater impact than in that first transaction. If you switch to buying your daily latte from a local coffehouse instead of a national chain, that's $90 going to a local business each month. Multiply that by 1,000 Denverites going to local coffeehouses, and we're building the revenue that not only employs our snarky baristas, but also goes to local coffee roasters, graphic designers, and advertisers. And, it's the local businesses that make our neighborhoods, cities and region unique - not simply the same 20 box stores and restaurant chains you see everywhere else.
Now more than ever is the time to strengthen our connection to local business. Use the local business directory to find local business and learn more about their impact in our community. Leave reviews and let others know why they're such great businesses. We may have less cash this holiday, but where we spend it has a huge impact.
