How to fix the economy in 3 easy steps

[Twin Fist]

This is from an article in the St. Petersburg Times Newspaper on Sunday.
The Business Section asked readers for ideas on "How Would You Fix the
Economy?" I think this guy nailed it!
.
Dear Mr. President,
.
Please find below my suggestion for fixing America*s economy. Instead
of giving billions of dollars to companies that will squander the money
on lavish parties and unearned bonuses, use the following plan. You can
call it the Patriotic Retirement Plan :
.
There are about 40 million people over 50 in the work force. - Pay them
$1 million apiece severance for early retirement with the following
stipulations:
1) They MUST retire. Forty million job openings - Unemployment fixed.
2) They MUST buy a new American CAR. Forty million cars ordered - Auto
Industry fixed.
3) They MUST either buy a house or pay off their mortgage - Housing
Crisis fixed.
It can't get any easier than that!
.
P.S. If more money is needed, have all members in Congress and their
constituents pay their taxes....

 

[arnisador]

This could work!!! Add a requirement that the cash has to stay in a U.S. bank until spent.

 

[CoryKS]

Ideas that sound simple generally result in a lot of unanticipated consequences, but I like the way he thinks. Problem is, to implement it would require the kind of paternal government interference that you and I have railed against many times here in The Study.

 

[Bill Mattocks]

40 million workers times 1 million dollars = 40 trillion dollars.
Estimated size of 2010 budget = 3.6 trillion dollars.

 

[Tez3]

I think that would work in most countries with a bit of working out. I certainly would retire, my mortgage is paid off but I would like to start a small business so the money would generate hopefully more jobs. Over here everyone buying cars may not be so practical but perhaps instead money could go into the public transport service. It's certainly food for serious thought!
The money staying in the country's banks would be good too and I'd suggest that if taking holidays with the money that it's confined to the home country too, keeping the money in the tourist trade for your own country. Go abroad with your own money.

 

[Tez3]

Ideas that sound simple generally result in a lot of unanticipated consequences, but I like the way he thinks. Problem is, to implement it would require the kind of paternal government interference that you and I have railed against many times here in The Study.

Probably easier for us then lol!

 

[LuckyKBoxer]

ya thats cute but the 40 Trillion dollar price tag is pretty hard to swallow..
I really do not want to end up like some of those African countries where you have to have a wheelbarrow full of money just to go down to the store for a loaf of bread.... you know they ones where the guys walk around with million dollar bank notes in the pockets, and use them for toiletpaper since its cheaper then trying to actually buy toilet paper...

 

[Brian R. VanCise]

As a person who owns several successful businesses I would like to have no interest money to invest in the businesses. That is where we need to focus on making our businesses competitive and successful. Trust me small business and quite a few of the larger businesses keep this country rolling.

 

[Makalakumu]

40 million workers times 1 million dollars = 40 trillion dollars.
Estimated size of 2010 budget = 3.6 trillion dollars.

Size of world wide derivatives bubble = 1.4 quadrillion. Size of derivative bubble in US = .90 quadrillion.

Not such a bad deal considering those numbers.

 

[Bill Mattocks]

Size of world wide derivatives bubble = 1.4 quadrillion. Size of derivative bubble in US = .90 quadrillion.

Not such a bad deal considering those numbers.

People seem to forget that when 'government' pays, we pay. We don't have 40 trillion dollars. Discussion over, there is nothing more to say.

 

[Bob Hubbard]

But Bill, you forget, they can just print it.

 

[Makalakumu]

People seem to forget that when 'government' pays, we pay. We don't have 40 trillion dollars. Discussion over, there is nothing more to say.

Since the money is created from debt and derivatives are a form of debt, that money is already created. We haven't seen the effects of it being monetized yet because the act that allowed these monsters was only repealed in 1998.

The reason there is no limit or oversight on the bailout is because the government needs to destroy these instruments by paying them off (ie...buying toxic assets).

Essentially paying off every American's debt would do exactly the same thing, except that it's a cheaper fix.

 

[Twin Fist]

ok, maybe the amount is off, but the IDEA is sound

give the money not to companies, which WILL waste it, give it to PEOPLE who will spend it to stimulate the economy.

thats why tax CUTS work, and tax raises DONT

hell, I am only 42, and with one million, I could retire now and never work again. Literally, I could live for another 30 years on 1 million dollars. Easily.

 

[Bob Hubbard]

Just give me $200,000, and I'll start a business that employs 5+.

 

[Twin Fist]

you and me both, in my case it would be a top notch dojo.

 

[Bob Hubbard]

Bikini car wash or coffee shop.

 

[Sukerkin]

ok, maybe the amount is off, but the IDEA is sound

give the money not to companies, which WILL waste it, give it to PEOPLE who will spend it to stimulate the economy.

thats why tax CUTS work, and tax raises DONT

hell, I am only 42, and with one million, I could retire now and never work again. Literally, I could live for another 30 years on 1 million dollars. Easily.

I recall I said something pretty much along these lines quite a while ago and Imost certaily agree that it would be a less harmful use of 'imaginary' money than what will happen when the Bailout works it's way through the system .

 

[RandomPhantom700]

I recall I said something pretty much along these lines quite a while ago and Imost certaily agree that it would be a less harmful use of 'imaginary' money than what will happen when the Bailout works it's way through the system .

Diarrhea of the economy? :barf:

 

[Makalakumu]

Diarrhea of the economy? :barf:

Enema.

 

[CoryKS]

Enema.

Of The State.