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The economics of business, job, wealth and revenue creation. 20 by 20: Create 20 million new private sector jobs by 2020. Chuck Vollmer Jobenomics, Author and Founder 9 October 2011

The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Page 1: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

The economics of business, job, wealth and revenue creation.

20 by 20: Create 20 million new private sector jobs by 2020.

Chuck Vollmer

Jobenomics, Author and Founder 9 October 2011

Page 2: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Jobenomics

Goal: 20 million US private sector jobs by year 2020.

A Book Released September 2010 Details threats to our economy Provides a detailed plan for

American business and jobs creation

Business Generation Projects Seven major Jobenomics proof-of-

concept projects underway Raising $650M of private sector

capital from US and foreign sources

A Grassroots Movement 1,500 small business owners have

endorsed the Jobenomics plan 3 million reached by radio and TV Growing political interest

Page 3: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government.

Government $12 trillion stimulus package would not spur recovery.

$12T infusion power-lifted stock market and secured banks but did little for small business, jobs creation and the general economy.

Debt crisis would be hard to resolve and divide the country.

US dollar’s value would erode and US credit rating be lowered.

State and municipal government layoffs would accelerate.

Government cannot create jobs, only the private sector can.

Big business would not use excess cash ($Ts) to create US jobs.

Small business is the only source for meaningful jobs creation.

The US economy will continue to falter unless a small, emerging and self-employed business plan is implemented.

US economy is likely to suffer another major set back by mid-2012.

Page 4: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Future Economic Shocks That Could Cause A Double-Dip Recession Or Worse

Domestic Political gridlock Social unrest, protests, riots Public/private debt crises State/local government

insolvencies and mass layoffs Stock market shock Derivatives crisis 2nd real estate crisis/strategic

defaults Pension fund defaults Black Swan event

The potential for shocks is relatively high, while the Fed’s ability to offset shocks with fiscal and monetary policy is at an all-time low.

Foreign Sovereign default/debt

restructuring Eurozone crisis Iran conflict/Strait of Hormuz

closure Arab-Israeli crisis/Arab Spring Terrorist/organized crime cartels Narcotization of Latin America Withdrawal from US treasuries New reserve currency Unknown-unknown(s)

Page 5: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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12.0 10.7

17.119.4 18.1

21.7

40s 50s 60s 70s 80s 90s 00s 10s

-0.9 ?

Lost Decade

US cannot afford another lost decade of private sector jobs.

Lost Decade

Total New US Jobs Millions per Decade

Prosperity 20.0

Collapse

Page 6: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Unemployment By The Numbers

13.7 million are “officially unemployed” (U3 rate). 111.5 million are “total/marginally unemployed” (U6) or “not looking for work” (86.1).

Unemployment As of: September 2011Rate Definition Percent Millions

U1 Long-Term

Unemployed 15 weeks or longer, as a percent of civilian labor force

5.4% 8.3

U3 Official

Total unemployed, as a percent of civilian labor force

9.1% 13.7

U6 Total

Total unemployed + marginally attached workers + part time employed

16.5% 25.4

154.0 50%

86.1

Remainder (mainly children) 68.9Total US Population 309.0 100%

Unemployed

Source: Bureau of Labor Statistics

Table A-1 Not in labor force (those who have no job and are not looking for one)

Civilian labor force (ages 16+ including employed and unemployed)

Page 7: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Too Few Supporting Too Many

Civilian workforce is decreasing while overhead is increasing.

Non-Working Sector Welfare Recipients 51 million receive Social Security payments 45 million are Medicare beneficiaries 59 million receive some form of Medicaid 44 million receive food stamps monthly 37 million fall below the poverty level 26 million are unemployed

Government Sector Workforce 22 million civilians 10 million government contractors 3 million in the armed forces

Private Sector (non-farm) Workforce 18,000 large, 6 million small and 22 million

self-employed businesses 87% work in the service industry

Page 8: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Jobs Creation In The ‘10s

The US is producing 35% the number of jobs needed as measured by the traditional benchmark of 250,000 jobs per month.

Employment (1000s)

1 Jan 2010

30 Sep 2011

Total

Private Sector 106,835 109,349 2,514 100% Small Business Gains

Government 22,485 21,985 (500) 96% State/Local Losses

Total 129,320 131,132 1,812

Source: BLS 86 21 Month Average250 Traditional Benchmark

35% Shortfall

Page 9: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Private Sector Jobs Creation In The ‘10s

Jobenomics 20 by 20 goal of 167,000 is for new private sector jobs (excluding government) and is currently 58%-72% of goal.

Page 10: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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‘10s Jobs Growth: 100% Small Business

With better government and financial institution support, small business would have added significantly more jobs.

Small business produced 100% net new jobs in this decade. Small businesses succeeds without government stimuli and

limited bank lending.

Page 11: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Big Business Unlikely To Reemploy Many

Corporate Recovery

Increased Employment ≠

The Fortune 500 has not added any net new jobs in decades.

Reasons for not hiring: Hoarding cash Making money-on-money

rather than re-capitalizing Downsizing & outsourcing Getting more with less

(productivity) Use of part-time workers Mergers and acquisitions Investing in foreign emerging

markets rather than the USA

Page 12: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Small Business: US Economic Backbone

US small businesses receive little US government support in comparison to large corporations and financial institutions.

Small businesses:

Employ 70 million US citizens

Represent 99% of US firms

Generate 90+% of all new jobs

Have $6 trillion annual revenues (2nd largest economy in the world)

Pay 45% of total US payroll

Hire 40% hi-tech workers

Produce 13 times more patents than large firms

Produce 30% of all exports

Large Businesses18,000

SmallBusinesses6 Million

Self-EmployedBusinesses21.7 Million

Page 13: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Jobenomics 20 by 20 Campaign Plan

18 million new US small, self-employed, and emerging businesses.

10 Million New Jobs

Small & Self-Employed Businesses

Community-based business incubators and training centers

Cloud computing initiative

Women-owned business initiative

Direct-Care (elder, child, healthcare) Centers

Real estate owned (REO) property initiative

Business ministries

Capital to the base-of-the-pyramid initiative

Large US Businesses

Foreign Businesses 3 Million New Jobs (15%)

Bring foreign manufacturing back to the USA

EB-5 foreign investor program

Energy Tech Revolution Plan 5 Million New Jobs (25%)

National initiative for system-of-systems approach to: Energy independence Energy assurance

Emerald Planet initiative

Em

erg

ing

Bu

sin

esse

s

2 Million New Jobs (10%)

10 Million New Jobs

Page 14: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Current Proof-of-Concept Projects

Each of these projects are highly scalable across the USA.

20 by 20

Jobenomics Cloud Computing Programs • MetroCore Initiative • SNVC Small Business Beta Test • ACTS Google Certification Program

Jobenomics eWaste Program Jobenomics-Harlem, Jobenomics-

Washington DC Jobenomics Center for Industrial

Development (Foreign Business/Investors) Veterans Jobenomics Center Jobenomics International Mining

Collaboration (Liberty Star) Jobenomics Charter Community Concept

Page 15: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Presentation Outline

Jobenomics 20 by 20 Campaign Plan

Jobenomics Proof-of-Concept Programs

Page 16: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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20 by 20: Top Small Business Initiatives

Jobenomics has started all these initiatives with significant private sector involvement and support.

Establish community-based business generators

Incentivize women-owned business creation

Develop a national in-home direct-care program

Start a national cloud computing initiative for small businesses

Establish a combat veterans-owned business generation center

Start real estate private equity/ property management initiatives

Develop business ministries Create a national capital to the

base-of-the-pyramid initiative

Page 17: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Community-Based Business Centers Community-based

business centers helps train, implement and fund small, emerging, and self-employed businesses.

Jobenomics emphasis is on services-providing industries that provide 87% of all US jobs.

A center is comprised of:

• Community-based business incubators. • Community-based business generations.

Our goal is to create a community-based business centers in every American major city by 2020.

Jobenomics is partnered with CEO Space, a 20 year old, entrepreneurial training network that has trained over 100 thousand

entrepreneurs and has hundreds of chapters throughout the USA.

Page 18: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Incubators Versus Generators

Business Incubator Creation of individual

entrepreneurial-based businesses.

Examples: • High-tech startups • Foreign-owned businesses

and investment (EB-5) • Service industry startups

By “bundling” the most viable opportunities, major sources of

investment capital may be obtained.

Business Generator Mass production of

businesses in a particular industry sector.

Examples: • Cloud computing • Residential energy audit

and weatherization • Direct-care centers

Page 19: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Women-Owned Businesses

Jobenomics is partnered with Woman’s Online and Education Network and The Women’s Information Network that reach out to over 3 million women.

The Jobenomics is supported by major women’s groups.

The 2010s should be the decade of women-owned businesses: greater financial needs and incentives, more qualified women and heads of households, more opportunities, highly educated, and less cultural barriers.

10.1 million US women-owned businesses: • 90% of women-owned firms are self-

employed businesses • Overall economic impact at $2.8T with

23 million direct and indirect employees Generate over 70% of all new small business

start-ups

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Cloud Computing

Jobenomics is developing CC business practices for small businesses.

Cloud computing is as big a paradigm shift away from personal computers as were PCs were from mainframes in the 1990s.

Cloud computing is the practice of using a network of remote servers hosted on the Internet to store, manage, and process data, rather than a local server or personal computer.

Cloud computing offers lower start-up costs, significant savings and operating efficiencies to small and self-employed businesses.

Mainframe Computers

Personal Computing

Cloud Computing

1990s 2010s

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Direct-Care Initiative Direct-care services include:

• Elder-care • Healthcare • Child-care • Handyman services

By 2020, assisted-living facilities are projected to have a 17 million bed shortfall for an aging US population.

A community Direct-Care Center would coordinate service providers and clients via call-center and a web-based information systems.

The Center would also help create home-based small businesses that are certified to provide in-home services.

Information technology enables direct-care business creation.

Page 22: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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REO Initiative

REOs present a major opportunity for small real estate and property management firms that can convert REOs into rental properties or low-cost homes.

Jobenomics is working with small business specializing in REOs.

0 %

2 %

8 %

4 %

17.5 %

% of Houses in ForeclosureSeptember 2010

Source: CoreLogic/Washington Post, 19 Oct 10

Foreclosed bank-owned properties, called REOs, are a triple threat to recovery: loss of value to homeowners, banks unequipped to be property managers, and loss of property taxes to municipalities.

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The largest social network in America, 327,000 churches, is the one that is the least prepared for a joblessness—the need is great.

Families broken by unemployment, poverty and financial hopelessness justify development of business ministries.

Business ministries include small focus groups, counseling and training, part-time and volunteer services, business incubators, and micro-financing programs.

Business Ministries

Business ministries provide inspiration and skills to the unemployed.

Full-time Jobs

Part-time Work

Training Internships

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Capital to the Base-of-the-Pyramid Community-based incubators

• Identify and prioritize opportunities

• Government underwriting • Small business bank loans • State and municipal bonds • Federal grants/incentives

Angel and 504/506 investor debt and equity financing

Public offerings (OTC, Pink Sheets, Penny Stocks)

Foreign financing (e.g., EB-5) Direct Public Offering (DPO)

A national initiative is needed to deliver capital to small businesses.

Page 25: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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2010s Energy

Technology Revolution

(ETR)

5 million new jobs Jobenomics Goal

20 by 20: National Energy Technology Revolution (ETR) Initiative

The country that dominates the ETR will be the next superpower.

Post WWII Military

Technology Revolution

(MTR)

1990s Information Technology Revolution

(ITR)

10s of millions of new jobs

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20 by 20: International Investment Over the next decade, much of the business growth within the US will

be from companies in emerging economies in Asia and the MidEast.

1990s

Japanese Auto Plants $20B Investment

Create 3 million new jobs in the US via international corporations and investors by 2020, to gain preferred access to US market.

2010s

International Plants $200B to $400B Investment

3 Million Direct & Indirect

Jobs

150,000 Direct & Indirect

Jobs

Page 27: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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20 by 20: Large Business Initiatives

Create 2 million new corporate jobs by 2020.

US multinational corporations: 1 million US expatriate positions overseas to develop bi-national business opportunities.

US domestic corporations: 1 million new jobs. • Re-shoring US jobs • Reciprocal-trade policy • Preference to US companies for

US taxpayer funded programs • Improved federal government

support, promotion and protection

Page 28: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Presentation Outline

Jobenomics 20 by 20 Campaign Plan

Jobenomics Proof-of-Concept Programs

Page 29: The economics of business, job, wealth and revenue creation. · 3 Jobenomics Fulfilled Predictions Source of US economic problems primarily is with government. Government $12 trillion

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Jobenomics Cloud Computing

Goal: create jobs, new businesses and social transformation.

Jobenomics is partnered with SNVC ($20M/yr, 110 employees) as a small business beta-test to verify cloud computing business efficiencies, and offer these efficiencies to other small businesses via consulting, technical services, and proprietary cloud computing solutions.

Jobenomics is partnered with The ACTS

Institute, a non-profit organization, that administers cloud computing educational services to assist individuals to acquire higher-level skills, prepare them for new career opportunities, or start new cloud computing small businesses.

R. Michael Buehler, CEO

Jobenomics is part of the MetroCore Consortium that is developing a national ultra-secure cloud computing and financial services platform.

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Jobenomics MetroCore Initiative

MetroCore is a national-level initiative that can create or enable creation of millions of new businesses and jobs.

MetroCore 3.0 Software (Net 3.0) is a next generation semantic web (Web 3.0) system that integrates cloud computing services (Iaas, PaaS and SaaS) and is deployed via private/hybrid clouds.

MetroCore Prime is a ultra-secure information security system.

MetroCore Fiber consists of long and short-haul, state-of-the-art telecommunication systems.

MetroCore Super Back-Office systems provide financial/supply chain management and underwriting.

Institutional Investors & Underwriters are investing to deploy MetroCore in target US markets and underwriting the financial services elements of projects.

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Jobenomics Electronic Waste Program

US discards millions of tons of eWaste. Most is dumped in landfills. The rest is exported.

Europeans are operating 60 sophisticated processing plants that are highly profitable and produce many entry-level jobs.

Jobenomics established eCycling USA with an exclusive agreement with the Europeans for 10 turnkey US plants.

eCycling USA will donate a percentage of its profits to Jobenomics community-based business generators.

Objective: 100s of US eWaste plants employing tens of thousands.

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Jobenomics Harlem

Jobenomics Washington DC is also underway.

Michel Faulkner

Objective is create 1,000 new small businesses per year for inter-city residents of Harlem, New York.

Lead by Michel Faulkner: • Runs Institute For Leadership • Ran for 112th Congress on Jobenomics

platform (Jobs Now Party) Key efforts:

• Jobenomics business generator started at the Institute For Leadership

• Four new businesses areas: eWaste, ACTS cloud computing, energy audit & weatherization, Music Wizard Academy

• $20 million micro-business line of credit established with local banks

Institute For Leadership Class

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Jobenomics Center for Industrial Development for Establishing and Financing Foreign Businesses in the USA

Objective is to train foreign businessmen how to start US businesses.

Lease-purchase agreement signed for 1,200,000 sq. ft. industrial center, hotel and training center.

EB-5 Foreign Investor Visa program joint venture formed for foreign investors.

Raising $25M to commence operations at pilot site in Massachusetts.

Southbridge, Massachusetts

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Veterans Jobenomics Center

Objective is to assist vets to start their own businesses.

Few jobs are available for returning US combat vets. Vet unemployment is higher than national average

The Center will help vets: • Incorporate their own business. • Train how to run a business. • Finance start-up businesses. • Provide transition counseling.

Started a non-profit company, securing alliances, and raising public/private funding.

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Jobenomics Int’l Mining Collaboration

Project involving the exploitation of existing mining claims in Alaska, Arizona that contain trillions of dollars of mineral reserves.

$200M worth of private sector funding is being sought from domestic and foreign investors.

Initial meetings with Arab and Chinese officials indicate significant interest. In addition to economic value, collaboration has political and diplomatic value.

Jointly exploit major copper, gold, moly and uranium claims in North America and help GCC countries explore Arab Gulf.

Alaska

Arizona

Big Chunk

North Pipes (431 Uranium Breccia Pipes)

East Silver Bell Walnut Creek

Bonanza Hills

Gold, Copper, Molybdenum

Claims

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Jobenomics Charter Community Concept

Goal is to establish entrepreneurial-based communities. Jobenomics is working with Project Metamorphosis to build a

practical integrated blueprint and comprehensive architecture for sustainable economic communities.

A Charter City will be sustainable and eco-friendly communities tailored to entrepreneurs who want to start their own businesses.

Concept deals with transformation of how the US does business in the future starting with a few pilot projects that are scalable and repeatable across America.

The team is now business planning and developing a superfund.