The Tax Rebates
Not you--Me, politically speaking
Otherwise Known As Economic Stimulus
As someone who is at least nominally considered to be conservative, I am really really (and I do mean really) annoyed by this. I understand the philosophy of it. People have money to spend, so they buy things. Someone has to make these things (or at least drive the truck that brings them to the store) and therefore has a job that pays a salary. Now this person wants to buy things and well the economy grows. Or the pie gets higher. Or something…
Of course the government doesn’t have any extra money to toss into the economy and it’s not a conservative thing to be using government expenditures in such a manner anyway. Tax cuts and rebates on the other hand, that is conservative, so that’s what they call it. From my viewpoint though, it looks like a government spending program not a tax cut. The truth is in the stated intent of the program, economic stimulus.
If You’re Going To Do It Do It Right
The problem with tax rebates as stimulus is that people do economically inefficient things with the money. Like saving it. Or by stimulating the criminal parts of the economy that you’d really rather be left alone. Some percentage of the money doesn’t get to where you want it to go. If you want to dump 170 Billion (with a B) dollars into the economy, then dump 170 Billion dollars and stand by it. I won’t like it, I’ll disagree with it and think it’s a bad plan, but at least I can respect and appreciate the intent. This way though, it takes 170 Billion dollars to get something less than 170 Billion worth of stimulus. Maybe we should change what we print on our money to “Doing Less With More…”
Don’t expect me to give it back though…
tommy @ February 11, 2008
cannot offer much to this because i am not familiar with the exact business to which you refer. this stemming from the fact that i am canadian and am therefore only interested in american politics on a purely superficial level.
although, does this tax stuff you speak of mean your dollar might get stronger? because in that case, i’m interested. really really interested.
My dollar can beat up your dollar…maybe not so much anymore…
As for the dollar getting stronger, that could be a byproduct of what they are trying to achieve if they are successful. I wouldn’t hold my breath though, the idea that 170 billion is going to make a difference in the US economy is sorta laughable me thinks. It’s also a classic case of US government spending policy, why inject a mere 130 (or whatever the end stimulus is going to be after inefficiencies) billion when you can get the exact same result by spending 170 billion.
The real intent is to buy votes, not to change the economy.
today (and most days lately) your dollar cannot even remotely beat up my dollar. and i am the poorer for it.
I could not agree more!
So, since I’m not getting anything back, I’m not spending anything! Screw ‘em!