This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

The Iowa Strategy: Job Creation

NEW YORK ( TheStreet) -- Iowa caucus-goers will choose their favorite GOP presidential hopefuls based on a number of issues, but jobs will be the biggest issue when voters hit the precincts.

A quick glance at the front-runners reveals that they agree on one thing: create jobs.

Mitt Romney calls the American workforce the nation's "greatest renewable natural resource." Though that rhetoric makes almost no literal sense, we understand Romney's figurative meaning. His plan includes seven subsections to grow jobs, but the section on "human capital" is worth noting as it directly pertains to workers. He wants to "retrain workers" through "personal re-employment accounts," which would facilitate government programs to place people directly into companies that provide on-the-job training. Romney's plan says that it would eliminate redundancy in already-existing federal retraining programs by consolidating into a single agency. Details beyond that are fairly sparse. It does say that states would manage these retraining programs and that the money would come from federal grants.

An interesting twist to Romney's job-creation or "human capital" plan, is his promise to attract "the best and the brightest." This section is a long comment on how the former Massachusetts governor plans to attract and retain foreign-born residents with advanced degrees to create jobs and drive innovation. He explicitly states "lawful" immigrants start about 16% of America's "top-performing, high-technology companies" and that they produce more than 25% of all patent applications filed in the United States. He wants to raise visa caps for "highly skilled workers" -- Romney doesn't qualify what that means -- and he wants to grant permanent residency to graduates with advanced degrees in math and science. At once, it tackles the supremely sensitive issue of immigration while it promotes job creation. Fine, but Romney has to put to work a lot more than people who are "highly skilled lawful immigrants" and workers in need of retraining.

Ron Paul takes less of a direct approach to job creation and emphasizes the need to cut government waste and decrease taxes, which the congressman expects will drive growth. Paul, like his opponents, says that the private sector creates jobs, not the government. So Paul wants to lower the corporate tax rate to 15%, extend all the Bush tax cuts and end taxes on personal savings. He feels that these steps will help American families "build a nest egg."

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AAPL $126.37 2.53%
FB $83.20 -0.13%
GOOG $552.03 0.67%
TSLA $190.57 3.01%
YHOO $44.95 -0.33%


DOW 17,976.31 +263.65 1.49%
S&P 500 2,086.24 +25.22 1.22%
NASDAQ 4,947.4410 +56.2220 1.15%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs