No, Mr. President, the private sector is not fine, according to the National Federation of Independent Businesses’ monthly Small Business Optimism Index, which surveyed 671 NFIB members throughout the month of May.
The findings, released yesterday, indicate that confidence in the economy has stalled out, and point to the poor GDP and employment growth. NFIB Chief Economist, William Dunkelberg, unpacks the May report:
“In the last year, small-business optimism has limped along, and today the sector is no better off than it was just over a year ago. The lack of progress is discouraging, producing no signs that economic activity will pick up this year at all. The calculus of spending decisions requires an estimate of future sales, tax rates, interest rates and credit availability, labor costs, health-care costs, regulatory compliance costs, all of which are very uncertain. Most of this uncertainty is the result of what is happening—and not happening—in Washington. Investments in jobs or plant and equipment are not the priority while people are still bracing for the worst.”
The findings of this index are particularly troubling for a state like Colorado, which is home to over 500,000 small businesses. Even more disturbing is President Obama’s refusal to acknowledge his administration’s role in thwarting small business.
During an interview yesterday, Obama insisted that Obamacare has no impact on small business, only healthcare companies.
From an interview with a local station in Iowa:
Funny, the people who actually own small businesses in Colorado beg to differ.