An important part of our American prosperity is our support for the creation and success of small businesses. That’s because when consumers have choices, they can find the best quality for the lowest price. If there was only one vendor for a product or service, then there would be no competition. Without competition, sellers have no incentive to increase quality and lower prices.
So, here’s what’s happened to small businesses during the current Democrat-supported shutdown of the economy.
As we near a year of lockdowns and sheltering in place, the long-term effects of pandemic policy on the economy are becoming clearer. Almost every piece of legislation ostensibly designed to curb the spread of the coronavirus and protect workers has wreaked devastation on small businesses—while benefiting the largest corporations. Roughly 100,000 small businesses have permanently closed due to COVID-19, while big-box retailers, tech giants, and pharmaceutical manufacturers have seen record profits.
America’s small businesses currently face an attack on all fronts. First, there are the more visible policies (e.g., lockdowns, mask mandates, and social distancing requirements) that strongly discourage people from patronizing brick-and-mortar retailers and restaurants. These policies impact small businesses more than large chains and corporations.
[…]According to the Small Business Administration, the cost of compliance disproportionately impacts small businesses, who lack the funds and infrastructure of large corporations to adapt to new regulation.
[…]Lastly, there are ever-evolving COVID-19 employment regulations that disproportionately expose small businesses to lawsuits and the subsequent legal expenses and damages that may result. The conspicuous absence of liability protection also disadvantages small businesses, as the largest corporations can spare the capital required to fight lawsuits and painlessly pay out any damages.
[…]Despite the fact that these policies are explicitly harmful to small businesses, they can be justified on the basis of “public health” and thereby shielded from criticism. Practically unlimited regulation (that always seems to benefit the corporate elite) can be defended, because such policies are said to be designed to ensure the health and safety of the public. Opposition to these onerous restrictions can therefore be conveniently characterized as “anti-science,” or worse, reckless and/or malicious endangerment of one’s community. As a consequence, policies that explicitly disadvantage small businesses, such as the Families First Coronavirus Response Act (FFCRA), can be passed under the guise of public health and worker protection without raising any alarm bells.
Naturally, the closings are happening most in states that are run by Democrats.
Nearly one-third of small businesses in New York and New Jersey remain closed since January amid the coronavirus pandemic, according to a watchdog.
In the Empire State, 27.8 percent of small businesses have not reopened their doors, while Jersey has lost 31.2 percent as of Nov. 16, according to TrackTheRecovery.org, a Harvard-run database that keeps tabs on the economic impact of the virus.
The figures are in line with estimates from the New Jersey Business & Industry Association, which says 28 percent of the Garden State’s small businesses had shut up shop by the end of October, according to the Star Ledger newspaper.
A new poll has revealed just how devastating the pandemic has been on minority-owned businesses – with 49% reporting that they are unable to cover their December rent.
35% of all small business owners could not make their rent in December, up 3% from November, according to the latest Alignable Rent Poll. However, 49% of minority-owned businesses reported they couldn’t cover the costs, up 5% from 44% in November.
Axios reported in June that between February-April, 3.3 million business owners shut their doors. However, among the 3.3 million, 1.1 million were black small business owners.
Women-owned businesses also struggled to pay December rent, with 38% noting they didn’t have the funds to cover December’s rent, a number 3% higher than Novembers’, according to the Alignable Rent Poll.
The poll was based on answers from 9,204 small business owners polled between Nov. 11-Nov. 23.
Democrats like killing small businesses, because it’s easier for government to control a few large corporations than many small ones. And they love when people who were once earning their own success have to give up on liberty and become dependent on the government. After all, he who pays the piper calls the tune.