This is the effect of a pro-business White House means to the US economy.
Main Street’s businesses are looking at a far brighter future, according to the latest survey taken by the National Federation of Independent Businesses.
Small business posted its second highest optimistic score in the history of the survey in February with a reading of 107.6.
It’s a well-known fact that small (er independent) businesses employ more Americans than all of the S&P 500 firms. This is why this confidence number is so important to the economy. The one black mark in the poll was that business owners were having trouble finding qualified workers.
“The small business sector is very encouraged by the economic policies of the administration and the strength of the economy, willing to invest more and hire more if workers can be found to fill their open positions,” the NFIB said.
In economics, if you untethered small businesses rather than big businesses or individuals, then you will see growth on a larger scale. The perfect experiment to demonstrate this played out during the Obama administration.
Eight years of lackluster economic growth as the White House and Federal Reserve put all of its resources into Wall Street banks and corporations at the expense of Main Street businesses.
Restricting borrowing while piling on huge expenses in medical insurance and more regulations certainly contributed to sub three percent annual GDP for eight years, the longest stretch in modern economic history.
“Small businesses are flourishing in a way we haven’t seen in over a decade,” said NFIB Chief Economist Bill Dunkelberg.
I personally always try to shop as close to my front door as I can. Simply because my biggest investment is tied to the value of the commercial real estate in the area. Shuttered storefronts will have a detrimental effect on my investment.
This White House gets that.