A 16 Point Gameplan for the U.S. Economy
Inc. Magazine has just released an article that serves as “a game plan to help revitalize the American economy.” The article is called Revitalizing the American Dream, and details 16 steps for how to promote entrepreneurial optimism and create jobs. Inc. underlined the importance of startups by echoing a recent Kauffman report and drawing attention to the overwhelming percentage ofnew jobs that come from start up businesses. Even though startups a responsible for most new jobs the rate of business creation since the early1990s has been relatively stagnant, hovering around about 500,000 startups each year. How can the rate of startup creation be increased? Here are a few highlights of Inc.’s entrepreneurial game plan:
- Universities should provide entrepreneurship education to students of all disciplines, not just those at the business school. The University of Miami and MIT have paved the way by giving students the tools to think like entrepreneurs. Other universities should follow suit.
- Immigration reform should focus on giving green cards to bright students who graduate from American universities and want to start a business here. We have previously expressed support for an “entrepreneur’s visa” that would allow foreign-born entrepreneurs to stay here after graduation and add jobs to the U.S. economy. The new Kerry-Lugar bill that was proposed this year hopes to do just that.
- Entrepreneurial education doesn’t have to wait until college; in fact, introducing middle school aged children to basic business concepts through their school’s curriculum can help encourage a spirit of American entrepreneurship even at a young age.
- Creating more seed accelerators and increasing the support to start ups as they are getting off the ground can increase the chances that a business will not only survive but thrive. Entrepreneurs don’t just need money to start a business; they also need coaching from successful entrepreneurs that know how to succeed.
- Giving tax breaks to angel investors (as has already been done in Wisconsin, Minnesota and Ohio) can encourage more people to invest in start ups because an immediate tax credit means an immediate return on investment.
- The government should “revamp” the Small Business Innovation Research Program so that seed capital and contracting opportunities are provided to younger companies.
- Increasing federal funding for scientific research can lead to the commercialization of new technologies. Currently, the amount of spending on scientific research is less than it was in 2003; this should be reversed.