Friday, October 10, 2008
I prefer the stimulus package
The idea seems to be to avoid stopping the music. When the music stopped for Lehman, all hell broke loose. So why not start playing the music from the bottom up (money to citizens) rather than top down (money to the big banks)?
Wouldn't it be better for the government to give all taxpayers, say, $50,000 each? Some of them will start paying their mortgages again (solves the subprime problem), others will save it in banks (solves the bank solvency problem), yet others will invest in the stock market (the market steps out of its swoon), and the rest will go spend it in the mall -- nothing wrong with that either.
Wouldn't it be better for the government to give all taxpayers, say, $50,000 each? Some of them will start paying their mortgages again (solves the subprime problem), others will save it in banks (solves the bank solvency problem), yet others will invest in the stock market (the market steps out of its swoon), and the rest will go spend it in the mall -- nothing wrong with that either.
