My New Blog

I have been thinking about all this talk about how the government can
best spend the $835,000,000,000 it has promised to shore up wall
street, banks, auto companies, insirance companies and everybody else
who was irresponsable with our money.
The feds tried to get the economy started with a pittiful few hundred
dollars a family. what happened to most of that? it disappeared into
everybodys bills for the month.
Here is my no lose idea
You give each tax payer all 100,000,000 of them about $50,000 each
that is right $5trllion dollars out.
now what happens to that money?
It is put in savings accounts-that helps banks cash reserves and
lending ability
It pays off unsecured loans- this helps banks cash reserves and
lending ability as well as frees up individual income to buy other
things.That also raises thier FICO scores making them more likely to
qualify to buy more.
Buys a new car-The auto industry wants a payoff, let them earn it in
the market. money spent has a ripple effect.
pay down thier mortgage so now they can refi out of the bad loan-
That's one off the books and another stabilized household
Buy a new house-with the stricter standards in place they should be
good buyers and another transaction with its ripple effect and off
the REO list.
College cost-I was just reading how much trouble many schools are in
due to shrinking support and enrollment. It is always good to have a
better educated society or maybe learn a new trade to replace a dying
one. Again this is spending with a large ripple effect.
Goes on a buying spree-okay, money spent ripples. they may be no
better off later but the economy is.
the next thing we do is take the tax money that the states get for
sales tax and other fees and restore services after a close audit of
how the money has been spent in the past.
The feds now have many more people working who have to make and
service all those new things and we are off and running as the banks
now have thier money, the people have thier money, the auto indistry
has thier money and the states have thier money without new taxes or
rasing any others.
The money was not given to the people who wasted and mismanaged the
money, it was given to the people who chose how to spend the money
and nobody lost.
just my rant
Eliott