Today there is enormous pressure to clearly determine answers to these questions. That pressure is coming from an ever-increasing overspending and debt problem, not only in the U.S. and Canada, but across the globe. What exactly should government do and how will we pay for it are questions that must be answered.
It’s no secret Congress has created an enormous problem by continually spending more than it takes in. Don’t let anyone kid you … although the problem has grown worse, overspending has been going on for years. Congress is like drug addicts in a room full of heroin: it can’t control itself. So now, like most problems created by Congress, it’s a crisis and the gloves are off regarding how it should be fixed. It’s the epic battle between “tax and spend” and “lower taxes and cut government spending.” Unfortunately, neither approach by itself will fix the problem. The patient is sick and the doctor is on vacation!
So where is our hero? I’m sorry, but this is reality, not a fairy tale. Like Henry J. Kaiser said, “Problems are only opportunities in work clothes.” We didn’t get into this situation overnight and we won’t get out of it overnight. It will take hard work, patience and solid ideas to fix it. The paradox is that the demands are greater than government’s ability to address them, even if we all agree on the fix. Another paradox is politics. Politicians’ posturing to other professional politicians (who often are more concerned about preserving their career than developing real solutions) will not get the job done.
What can we do? Here are ideas:
1. Reinvigorate an entrepreneurial spirit.
The entrepreneurial spirit is sorely needed. Government should inspire people to dream big. It should create an environment where people feel free to pursue their ideas, take risks and reap the commensurate rewards … instead of an environment where people and businesses are taxed and regulated to the point where they give up. Jobs will be created when entrepreneurs and businesses are encouraged to reach higher.
2. Act as a support mechanism.
A government that will act as a catalyst for ideas and the infrastructure required to implement them will be a step on the road to recovery. Governments are already spending billions on R&D, so let’s use some of these funds in a more collaborative manner with the private sector. Congress should also weigh whether regulations are helping or hurting the economy and then legislate appropriately.
3. Encourage new forms of business-to-business collaboration.
Collaborations between businesses of all sizes can generate ideas and accelerate innovation. Great ideas may come from small businesses, but they often need the involvement, support and funding of larger, better staffed businesses. Some collaboration occurs today, but more is needed.
4. Create new sources to finance innovation.
Perhaps we need a funding institution that can access capital more quickly and inexpensively. It should absorb a little more risk than traditional mechanisms alone. Venture capitalists are a good source, but their involvement is not enough to meet the total demand. Besides, they frequently demand a high premium for their investment.
5. Provide exceptional, positive leadership.
Leadership that has a laser focus on building something great and fixing real issues is essential. One admirable quality of John Kennedy was his willingness to provide a big, hairy, audacious goal (BHAG). Remember? He said, let’s choose to go to the moon in this decade. The United States at the time had few resources in place and little idea of how to accomplish the goal, but it put a man on the moon. We sorely need someone, or a group of some ones, to step up and not be deterred by distractions created by politics, the media and left- or right-wing extremists. We need leaders who honestly, deeply care and believe they can make things better.
Yes, the United States faces daunting challenges, but if we deal with this financial mess head on, we may very well determine the fate of our beliefs and our society. And that’s the way I see it.
PAUL KINDINGER is president/CEO of the North American Equipment Dealers Association. The association provides educational, legal, legislative, and financial services to approximately 5,500 retail agricultural, construction, large property/rural lifestyle, and outdoor power equipment dealers in the United States and Canada.