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The Small Business Administration (view source)
Revision as of 18:55, 13 November 2015
, 18:55, 13 November 2015no edit summary
*Export Working Capital Program provides short-term working capital to small, export businesses.
*DELTA program provides both financial and technical assistance to help businesses dependent on defense installations transition to civilian markets.
==CriticismCriticisms==The five most prevalent criticisms of the SBA include [http://www.cato.org/publications/congressional-testimony/waste-fraud-abuse-small-business-administration-programs| ]: #Creates uneven playing field by aiding some businesses while denying aid to others, thus distorting markets;#Duplicating activities already provided in private markets;#Harms businesses and consumers;#Government intervention in deciding market trends can often bet on the wrong companies at taxpayer expense;#SBA fosters corruption.Specifically, *The Government Accountability Office (GAO) criticized SBA's ability to provide timely disaster assistance to Gulf Coast hurricane victims through their disaster loan system. For more information about this criticism, go to [http://www.gao.gov/new.items/d06860.pdf| GAO's report] on the SBA's disaster relief loans.*GAO also released Report 10-108 which found that failing to hold firms accountable sent a message to the contracting community that there is no punishment or consequences for committing fraud. See [http://www.gao.gov/new.items/d10108.pdf| the report] for more information.*The CATO Institute argues that the very conception of the SBA was a bad idea, questioning the federal government's strategy in intervening in the credit market. They say that the United States grew to be an economic powerhouse with a small centralized federal government that largely left business development to the private sector. For more information about the CATO institute's criticism, see this [http://www.cato.org/publications/congressional-testimony/waste-fraud-abuse-small-business-administration-programs| article].
