I believe that small businesses are an essential way to spur economic development. Supporting small businesses creates more jobs and more quality products. Large corporations often outsource their labor. These corporations also often create working conditions that are not beneficial to employees. Small businesses present an opportunity to empower workers and business owners.
Overall I think small businesses are the driver of employment and local spending in the economy. I think the more we support small businesses the healthier our overall economic is because small businesses are reinvesting in their local economies which helps the development of other businesses, I think small business are more loyal then large international corporations which only focus on profitability.
Yes, they will produce more businesses and will boost the economy. By putting more people to work, and when you have more people working you are actually putting money into peoples pockets. Which means they are going to go out and spend the money they earn into the economy to spend.
Small businesses have been affected by the Affordable Care Act. They are now staffed with part time employees, each working less than 30 hours per week, because small business owners cannot afford health care coverage for their employees. Before the Affordable Care Act, a small business owner would have had a few full time key employees. Now the part time employees do not make enough to have any economic impact.
I do not think that small businesses are the best way to spur economic development. While they play a role in the helping of creating a good economy, more jobs are needed for the community than just that from a small business. Government funded jobs are still some of the best ways to help the economy.