Money-go-round through jobs

Last updated 11:30 28/11/2012

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It is no secret that the more people that have jobs, the more money people have to throw around and therefore the more money there is being spent in stores and the like. This means said stores are then able to hire more people and so on, and it knocks down.

What the government should do is perhaps raise taxes a bit and then start a scheme where they subsidise businesses in hiring new staff that are currently unemployed. This is a huge gap in the employment market; if you are unemployed you are somehow deemed unemployable.

If the government was to reward businesses by giving money to hire unemployed people by paying for part of these people's salaries then there would be more money in the economy to inject into businesses.

Surely this is cheaper than paying out doles indefinitely and hopefully would improve the economy.

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