You're watching...
Author Carol Roth on small business owner’s growing concerns about the economy’s outlook.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
Find small business owners are more pessimistic about the state of our economy and they've been in the recent past here to -- and Carol -- Business strategist and bestselling author -- the number is -- 2.5 which is an index.
It's just not good small business operators are happy why.
And I'm happy because of all the uncertainty in the economy there's nothing that killed.
Optimism like uncertainty and it's an unprecedented time for uncertainty were uncertain about health care taxes.
Regulation the price of gasoline all -- -- didn't talk about every day Jerry and it's so hard for small business owner because they are small.
Any decision that they make is a long term decision if you've got five people on your staff ten people on your staff adding one person.
Is a long term decision that the big change same thing with the capital investment so you don't know what's going on for the long term you're gonna hold on tight.
In wait until you feel like things are better.
Yeah -- -- just look at the economy alone the revisions down -- first quarter earnings are phenomenal right and I don't think anybody really expected that.
-- -- thing that you say is important for small businesses is simply put inflation.
Yeah inflation -- a a huge issue in all of this quantitative easing which is the fancy way of saying the Fed printing money.
Had an effect it had if you end up until the past few days Wall Street higher but main street is really paying the price.
And I know that you see these CPI numbers the Consumer Price Index and it doesn't look too bad.
But -- something I don't know what's far different than that right the things that Ben Bernanke tells you about inflation.
How wrong how off the mark is that what you just look at gas prices you look at food prices at play and that's got to affect small business is sound and there's actually another index called the every day price -- the UPI and that has been a two and a half to three times as high.
As the CPI.
What that's it does BP.
The PI is a standard index that's out there and something that actually comes out at the end of this week again.
By the federal government.
-- -- -- I don't know anything that the CPI is what's monetary policy exactly that's that's what that's what the Fed is pushing it pushing the CPI.
But the CPI's another index that put together privately yes absolutely -- That's not what we typically look at -- we -- about the market is something that's more important because it measures the small Staples is the toothpaste in the fuel and and all but.
-- every day issues instead of -- the Consumer Price Index which measures things like.
How is as an automobile which are much bigger purchase says and when you have disinflation and again for business is so hard for them to a sort of -- and access to capital another big issue is that -- capital isn't -- big of an issue as you would think that was actually one of the surprises.
From the surveys usually a big issue but it was so small this time around vs something like taxes 20%.
Of the business if that happens -- a huge issue.
3% said access to capital -- on analysts that you know what you know why because.
This is a huge thing that you have to pay attention to the fact access to capital.
Isn't important anymore is because they've given up but they're not gonna hire and they're not going to invest in their business says they think -- forget it and we don't even care about access to capital though your take away don't try and time the market focus on value never price manager voice through the election so you're saying people vote.
I think make your position heard a small business its 28 million strong if you're worried about taxes and worried about regulations you need to speak up at the local level and the national level and let these people -- This is important to us from the candidates need to pay attention to that's Carol thanks for coming out tonight we really appreciate your time.
