This whole economic stimulus package has everyone wondering... will it really help?
Personally, I'm leery. I just don't believe the return of investment will be worth the expense. Or put more simply... I don't believe it will work.
I mean think about it, the reason the government wants to issue checks to everyone in the first place is because the economy is in the toilet, and the economy is in the toilet because the cost of living is going up and wages are not. For example, the costs of heating our homes, filling our gas tanks and paying our medical premiums have risen significantly over the last decade, yet salaries have not gone up to match this inflation at anywhere close to the same rate. Therefore, if our expenses are rising and our income is not - it only stands to reason that we need more money... to pay bills!
And that's what has me concerned about this economic stimulus package.
The entire logic for issuing $600 checks is based on the assumption that every person who receives one will run out to Sam's Club and buy a big screen TV, which will somehow magically "stimulate" a chain of events that will generate more manufacturing which will lower unemployment which will create more job demand which will increase our wages which will cause us to spend more money - and on and on.
Unfortunately, there's several flaws in this logic - and one important one is exactly what I mentioned earlier. Right now most of us are simply going to use our rebate checks to pay bills. Like I said, if the economy is in the toilet, then people are behind on credit card, utilities and doctor bills - and most people will choose to pay them down before they run out and buy something frivolous just because they were handed a few extra dollars.
Another major flaw is that there is no way for the government to control whether or not we spend this money on items manufactured in the United States, which defeats the purpose if everyone is giving their $600 to China - the country that is most likely going to end up being the one to finance the source of the $150 billion in the first place.
So after having said all that, I am extremely curious as to what you, a microcosm of the larger economy, will do with your money. Therefore, I have created a simple poll you can click on anonymously to indicate what you plan to do with it. Or, you can just go ahead and tell me about it in the comments, either way is fine.
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It appears I've started to spread... like some kind of blog virus or something.
On Monday I will be appearing at two different websites. Two, count em - TWO!
Over at Central Snark you can learn how I was first inspired as a young boy by two cute guys named Dave. Don't worry, it's not as sick as it sounds.
And, I am also the subject of a very
So please, stop by and give me some lovin over at these awesome websites, because I need to know you love me no matter where I am. Plus, I'd hate to let them down after everything they've done for me.
But more importantly, I'd hate to find out what happens if I make seafood angry!