Obama's Totally Political Economic Stimulus

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Obama's announcement this morning and his proposed amount to individuals is not enough to stimulate the economy. $500/individual and $1000/family is enough to pay a mortgage and perhaps a few groceries, it is not enough to stimulate wide-spread spending. The government has already bailed out the banking/mortgage industry, and they'll be the end-recipients of the proposed amounts from consumers.
Why not give every individual $10,000. We'd all run out and spend. (Many would buy cars which would have been a better bailout for the auto industry!) OR why not return any income taxes paid in 2008? We already work until May to pay our tax debts--refund that money! I promise to spend it!

KathyD of MO 10:56AM January 05, 2009

When has more debt ever produced income? Even gamblers at casinos know when to quit, but not our politicians, they think they have an unlimited supply of money. How can people think that government jobs for infrastructure is going to stimulate the economy? Have they forgotten where the money comes from? What, tax people to spend money on government projects when the people are out of work, how long will that last?
These policies like FDR's will extend the depression for years to come, until the idiots realize that more debt doesn't produce income, it produces slavery! When taxes are so high to pay off the debt, Americans will be enslaved by their government. Here's a good twist the enslavement of the American people by a Black President!

SimonSez of CA 12:47PM December 27, 2008

For one, I'm not here to rubber stamp all the comments made thus far. Some of you are as looney as the lefties. There is no such thing as a collective, nobody thinks in a group. They may be influenced by someone charismatic enough to encourage enough people to abdicate their own volition in favor of that opinion, or people may genuinely agree with someone, but there is no collective. Therefore there is no Collective Good, nor is there a Will of the People.
Keynes may pull out of deflation, which is arguably catastrophic in nature, but it will not save us from Hyper Inflation. I will point out as you all rail against Obama that George W. Bush and company are they what started printing money and taking over corporations, NOT Obama.
I'm certainly not a fan of Obama, nor am I looking forward to what's coming. Pushing of a leftist agenda on the heels of a crisis will throw the baby out with the bathwater.
There ware a few warning signs, in my opinion, that we're in for a shocker. Obama can actually INCREASE his political capital right up front with the conservatives and a number of his not-so-smart or not-so-caring would-be doubters of his methods. He can let the autos file for bankruptcy because they don't meet the loan terms in March. After that, nobody will say anything, while he proceeds to greenify and print money to fund other technology efforts that don't yet exist in stages that can make use of them.
We'll see the economy 'turn around,' a market rally, and soon, you'll see a marked effort by the government to sop up excess liquidity. Which is something nobody has ever known how to do, in history. It's never been done, on such a large scale, in time to prevent the collapse of a currency, and it would be a miracle if it could be done this time.
See, Keynes says how to get out of deflation, he doesn't say how to make sure that inflation doesn't kill you. If you go to such a scale as we're attempting to now, we may very well be in for the death of our currency if we have no way to turn it around. It's a math equation, you put more currency in to replace the money being destroyed, and you stop the hemorage in velocity of money... however you do not replace the value lost by the destruction of that wealth, so you automatically have inflation, even if you've managed to balance the equation mathematically. The money is worth less since the thing of value that originally was lost to prompt the reprinting is gone, it's worth less per unit than it was previously. Keeping the level of money constant while decreasing the amount of wealth, is inflation. You don't have to exceed the previous value, as is so often supposed, to cause problems.
I don't know of any way to fix this from here, because people's minds are so poisoned with misinformation. Maybe now the only way is to let it all bleed. And Bleed it shall, unless the democrats have a change of heart.

dave of PA 12:25AM December 27, 2008

Collectivism rules! The political class has created a political economy, which mostly benefits they themselves - the political class.
Throw the rubes who "cling to their guns and religion" a few crumbs to make them think they are doing better with the right hand, while the left hand takes more and more centralized political and economic power (one in the same?).
All Hail the Dear Leader with Six Pack Abs, Barack the Benevolent!

RSG of MI 12:39PM December 26, 2008

First the CEO,s get their money.Then the banks get theirs.Finally,the auto makers get theirs.Guess what the taxpayers get?Ask the CEO,s.You can ask Congress,but I don,t believe you will like their response.Merry Christmas to all of the hard working Americans making less than $25,ooo per year.

Gary Pricer of MO 7:59AM December 25, 2008

Obama is a complete fraud, nothing more than a lap dog to to the far, far left fringe.
He speaks in circles at 35,000 feet, but can never land the plane with any real specifics. In less than one year, the world will see him for what he is, a slimy politician feeding himself and his friends at the teets of the taxpayer.
Go to hell Obama.

of MI 12:06AM December 25, 2008

Since when does Keynesian economics increase GDP? Don't tell me that spending money on public funding of bridges, roads, and green will result in the increased prosperity of our nation.

Captain America of MN 11:49PM December 24, 2008

How much will his planned attacks on gun owners disrupt the political agenda and make economic recovery even more difficult. Remember,..........
Obama’s actions speak louder than his artfully chosen decptive words. Look at those anti firearms organizations that he accepts as his supporters. Look at those gun organizations that he rejects, which includes the NRA. Watch the onslaught of deceptions that will be comming under the guise of “reasonable gun laws”. This all leads to big political battles between the Obama Administration and legitimate, legal gun ownership.groups and individuals. The intentions of the Obama Administration have all ready been made clear. This administration is no friend to Founding Fathers or any of the signers of the Bill of Rights. The Bill of Rights is not some antique concept. It is as good today as when it was first written and accepted. . A full and complete Bill of Rights is just that,” RIGHTS” If not, you would have to believe in a “Bill of No Rights”. It is time to remember these are RIGHTS and nothing less.
Paul

Paul of NM 10:24PM December 24, 2008

Hahahaha, "no government", "the economy can handle itself".
WOW just unbelievable how you Americans think. It is these republican type initiatives that ruined your country. Look at Australia (where i live), our economy is perfect, low unemployment, no-one is affected by this global recession. And that's because we trust our government and pay our taxes willingly.
You guys have a situation where Conservatives vs Government.
The answer is just choose one and all will be well. Not both at the same time. And as you cannot have a country without a government, you have to choose government and throw conservatism down the drains.
When the economy is in crisis, the government has to stimulate it. It is simple as that.

Smart One 6:40PM December 24, 2008

America is melting down due to the extreme success of the last generations and the squandering of the wealth in this one.
Just turn on the TV and look at freaks. This generation does not have the real skills required to run an advanced society. We have become morally bankrupt, and so the economic ruin follows.
All of these economic theories are nonsense. There is only real needs, real production, real money based on real work product, and real growth. The rest is a pyramid scheme, desitined to collapse.
Bush was no conservative, and Obama is a socialist. They are looters and second handers, and will leave Americans broke and the people very angry.
Good Luck

Frank S of CA 6:31PM December 24, 2008