The stimulation package
What's with this strange idea with the goverment sending $600 to everyone to spend to "simulate" the economy?
It makes little reason to me on the surface, to so I wonder what analogy might help make sense, still not sure.
What would I do with an unexpected $600 check? WELL, my top priority has been to pay down my mortgage, so that's likely what I'd do with it.
BUT apparently in economics having less debt doesn't help the economy. The economy is apparently STRONGER by encouraging people to stay in more debt and buy things they don't need. It makes no sense to me.
Maybe I don't want to understand. Certainly I know money doesn't grow on trees - that money borrowed and given must be paid back with interest and so borrowing and spending makes no sense to me.
If you believe taxes are a progressively collected money source from the wealthy, and you give it to the poor to spend, maybe it makes sense. I don't know. Poorness is a strange sense of being, being (to me) measured as (income minus expenses), so you can be poor at any income. To me being poor isn't about having no money, but having to borrow money to live each day. It's nice to think giving $2000 to poor families can allow them all to buy all the things they needed but couldn't afford, but in my pessimism poor people don't invest money well or they wouldn't be poor, so the money will disappear in ways that keeps them poor, makes a few others a bit richer and nothing has changed.
And all that still assumes someone is actually PAYING for these refunds, BUT the federal government is not only spending all the taxes collected, but all the surplus SS/Medicare, borrowing and spending. It's all insane.
If times are good, we cut our taxes to keep the government from growing spending. If times are bad, we cut our taxes to stimulate the economy.
The whole freakin' system is a pyramid scheme, that keeps running as long as the economy keeps growing forever. Well, it won't, and someone must pay, and it will be US in the future.
On the "compassion" side, I understand economic slowdown is bad medicine, people are hurt by is, and investment ought to be made to reduce the harm on those hardest hit. Maybe money give aways will do something. I just can't really believe it's yet time for such give-aways.
Well, none of this means I won't cash a spring check for $600, but I promise I won't be stimulating anyone with it!
It makes little reason to me on the surface, to so I wonder what analogy might help make sense, still not sure.
What would I do with an unexpected $600 check? WELL, my top priority has been to pay down my mortgage, so that's likely what I'd do with it.
BUT apparently in economics having less debt doesn't help the economy. The economy is apparently STRONGER by encouraging people to stay in more debt and buy things they don't need. It makes no sense to me.
Maybe I don't want to understand. Certainly I know money doesn't grow on trees - that money borrowed and given must be paid back with interest and so borrowing and spending makes no sense to me.
If you believe taxes are a progressively collected money source from the wealthy, and you give it to the poor to spend, maybe it makes sense. I don't know. Poorness is a strange sense of being, being (to me) measured as (income minus expenses), so you can be poor at any income. To me being poor isn't about having no money, but having to borrow money to live each day. It's nice to think giving $2000 to poor families can allow them all to buy all the things they needed but couldn't afford, but in my pessimism poor people don't invest money well or they wouldn't be poor, so the money will disappear in ways that keeps them poor, makes a few others a bit richer and nothing has changed.
And all that still assumes someone is actually PAYING for these refunds, BUT the federal government is not only spending all the taxes collected, but all the surplus SS/Medicare, borrowing and spending. It's all insane.
If times are good, we cut our taxes to keep the government from growing spending. If times are bad, we cut our taxes to stimulate the economy.
The whole freakin' system is a pyramid scheme, that keeps running as long as the economy keeps growing forever. Well, it won't, and someone must pay, and it will be US in the future.
On the "compassion" side, I understand economic slowdown is bad medicine, people are hurt by is, and investment ought to be made to reduce the harm on those hardest hit. Maybe money give aways will do something. I just can't really believe it's yet time for such give-aways.
Well, none of this means I won't cash a spring check for $600, but I promise I won't be stimulating anyone with it!
posted by Ares Olympus at 6:40 PM
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