Current users sign in here.
The $787 billion "stimulous" package had to be passed immediately, without scrutiny by legislators or the people, or the sky would fall. If the government just spends a ton of money, the economy will be "stimulated", right? Well, no. The state and local politicians and favored businesses will certainly be "stimulated". They always get stimulated when Congress passes a bill full of pork and earmarks. Why wouldn't $787 billion be stimulating to politicians and special interests? Unfortunately, the economy is not responsive to political agendas. It IS responsive to economic activity by individuals who provide useful goods and services that people and other businesses need or want. Government's only valid role is to enforce laws which prevent fraud in the markets. Instead, government has allowed and enabled widespread market manipulation in the housing, credit, labor, and investment markets. We see where that has gotten us. Then they hit us with the "stimulous". So now we have state and local budgets being subsidized by federal "stimulous" funds. Also, "green" business ventures and politically connected government contractors are being subsidized with stimulous funds. However, the real economy is shutting down due to the lack of credit for small businesses and uncertainty caused by government, like the health care law. But, the national debt is definitely being stimulated.
About the only way to stimulate the economy is to free the creative people to create new things. Big government works directly against that. People need to buy again, especially real estate. But the government allows personal credit to factor into a mortgage loan. The recession would not have happened if the government hadn't done that, allowed banks to inflate property value based on an invasion of privacy. A mortgage loan should be guaranteed by what is being mortgaged. When it isn't the market is headed for collapse.
Right now, of course, President O needs to get the leak in the gulf handled. He's making Bush's handling of Katrina look stellar by comparison.
just ask the governor of louisiana about being rescued from the oil spill in the gulf. not too long ago he was talking about not accepting any stimulus money. now he has both hands out not just asking but demanding the federal government help his state. talk about politics. i am shocked...
More from Columnists
East Valley Tribune
Phone number: 480-TRIBUNE
Address: 1620 W. Fountainhead Parkway, Ste. 219
Tempe, AZ 85282
More Contact Information...
Please be brief (no more than 250 words) and submit your contact information for verification purposes. Comments may be edited for clarity and length.
A Division of 10/13 Communications