Shopping locally creates economic stimulus
Over the last six months, there have been numerous reports — some positive, some not — on the impact of the American Recovery and Reinvestment Act, also known as the stimulus program.
Even though President Obama’s program can be debated, there is another type of stimulus that has been proven time and time again. That program is very simple — shop local and support your local businesses. As North Augustans, we pride ourselves on our quality of life, and the quality of our community. North Augusta has grown by leaps and bounds over the last 10 years, and much of that has been due to small businesses.
As simple as the concept is, it works. When possible, patronize small, locally owned businesses. Money spent with locally owned small businesses is reinvested in the community to a much greater degree because businesses employ local folks who take their paychecks and recirculate that same dollar at local restaurants, retail shops, grocery stores and wherever else money is spent.
Generally speaking, 45 to 65 cents of every dollar spent in a locally owned business is recirculated. For every $1 spent, the value to the overall community ranges from $5 to $14. That return on investment provides a tremendous shot in the arm to a community.
I am sure that at this point, someone reading this has already said, “I would gladly buy from local businesses, but it is more expensive.”
Never assume anything, and do your homework.
There are a number of reasons to shop local. I found an article awhile back written in 2005 by John Amundsen that does a tremendous job summarizing the issue. The article was titled Buying Local and the Circulating Dollar . He concluded the article with a list of 10 reasons to shop local, and I’ve included the five best. As you can see from this list, shopping local has a far-reaching effect on our community. Shopping locally supports the entire community.
1. ENCOURAGES LOCAL INVESTMENT: A growing body of economic research shows that in an increasingly homogenized world, entrepreneurs and skilled workers are more likely to invest and settle in communities that preserve their one-of-a-kind businesses and distinctive character.
2. NONPROFITS RECEIVE GREATER SUPPORT: Nonprofit organizations receive an average three times greater support from smaller, locally owned businesses than they do from large businesses
3. OUR ONE-OF-A-KIND BUSINESSES ARE AN INTEGRAL PART OF OUR DISTINCTIVE CHARACTER: The unique character of our community is what brought us here and will keep us here.
4. TRUE JOB CREATION: Most new jobs are provided by local businesses. Small local businesses are the largest employers nationally and in our community, providing the most new jobs to residents.
5. CUSTOMER SERVICE IS BETTER: Local businesses often hire people with more specific product expertise for better customer service.
Please support your local businesses. North Augustans supporting North Augustans — it makes sense to me.
ABOUT THIS AUTHOR
Join Email List
Reply