Thursday, Sep 15 2011 11:40AM
The National Federation of Indpendent Businesses' recent report shows small business owners are becoming less optimistic about the economy.
For the sixth straight month, the National Federation of Independent Businesses' (NFIB) Small-Business Optimism Index fell in August.
According to the NFIB, the federal debt ceiling debate worsened small business owners' outlook on the economy, as the index declined to 88.1 — nearly 2 points lower than July's level.
Job creation remained flat from the month earlier, and only 11 percent of small business owners stated they intend to increase hiring during the next three months, the index shows.
"The tumultuous debate over the nation's debt ceiling and a dramatic 11th hour 'rescue' by lawmakers did nothing to improve the outlook of job-makers," said NFIB Chief Economist Bill Dunkelberg. "In fact, hope for improvement in the economy faded even further throughout the month, proving that short-term fixes will not help."
Some experts say President Barack Obama's jobs bill would help rural small business owners by providing tax cuts, which would allow them to hire more employees. Economists in Boise, Idaho, told the Idaho Statesman the legislation would likely put many of the state's unemployed residents back to work.