A recent survey of 80,000 small business owners conducted by PublicSquare and RedBalloon has unveiled significant concerns about the potential economic impact of the upcoming presidential election. The October 2024 Freedom Economy Index survey shows that an overwhelming 87% of small business owners would consider closing their businesses if Vice President Kamala Harris wins the White House in November.
The survey highlights a stark contrast in business owners' outlook depending on the election outcome. While only 1.2% of respondents would consider closing if former President Trump is elected, 83% say they plan to expand and invest in their businesses under a Trump presidency. Furthermore, 81% would consider hiring more employees if Trump wins, compared to a mere 0.5% if Harris is victorious.
The economic concerns extend beyond just the presidential race. Over half of the surveyed business owners expect sales for the upcoming Christmas season to either decline (28%) or remain flat (25%) compared to last year. Additionally, 57.4% believe the U.S. is headed toward a recession, with another 32.8% citing too much uncertainty to predict the economic direction.
Inflation remains a significant issue, with 8 in 10 small business owners reporting substantial or somewhat increased supplier prices in the past 30 days. The Federal Reserve's handling of the inflation spike has been widely criticized, with 84% of respondents giving Jerome Powell and the Fed an 'F' grade.
The survey also reveals a gender disparity in economic impacts, with women business owners reporting higher rates of revenue decline and expressing more concern about potential staff reductions if Harris wins the presidency.
These findings underscore the critical importance of economic policy and leadership in shaping the business environment. The stark difference in outlook based on election outcomes suggests that small business owners perceive significant divergence in the economic approaches of the potential presidents. As small businesses are often considered the backbone of the American economy, their collective sentiment could have far-reaching implications for job creation, economic growth, and overall economic stability in the coming years.
