on February 2, 2009 by Adam in Uncategorized, Comments (3)
Overemphasizing Economic Situation will Benefit Big Government
It is always the case where when big issues come up, or at least are reported to come up, the government steps in to solve them.
The way the government solves these issues is far-ranging, and could be as simple as increasing spending on a particular area such as defense or even to the extent of creating a new department.
When 9/11 came, government created the Department of Homeland Security. When this economic crisis came, government bought out Fannie Mae, Freddie Mac, and an array of banks were “bailed out”. Then the car companies were “bailed out”. Now, we are going to spend probably over 1 Trillion dollars in this new economic stimulus plan.
My only problem with this plan is that it is quite vague and most people have little idea where this money is going to and who in which sectors stand to gain from it. Most people believe that this is a necessary evil to recoup from unsavory lending practices carried out within the last 5 to 10 years.
Taking a closer look at the package, below are a few ways the government will spend taxpayers’ money:
1. $355,000,000 for preventing STDs
2. A requirement that all buildings constructed under the plan use American steel and iron
3. The list goes on and on…
I have taken international economics before, and one thing I know to be true that putting on tariffs to trade during an economic crisis will only worsen it. This “tariff-like” plan will do more to harm our international trade and the world economy.
I personally believe that instead of increasing spending on frivolous projects, the government should have the people decide on what they want to do with the money. How is that done? Simple. Decrease taxes.
D.A.
February 5, 2009 @ 11:30 am
When is everyone going to wake up and realize that 99.9% of governments don’t care about their people. The “bailouts”, the $500,000 “limits” on exec salaries (people will be talking about how this has been such a great thing…yet it only affects very few people and not all the wall street mafia, and still they can find loopholes)… and you can add whatever you want to this list….they aren’t doing anything to better the situation. Governments will only benefit themselves and their supporters. Take a look worldwide, people are losing jobs everywhere, strikes, manifestations, and presidents coming up with excuses of why the economy is bad or finally admitting (when everyone else has known for so long) that the economy is going down the toilet.
I agree with you Adam, these projects are frivolous, but I wouldn’t expect anything else. I’ll be surprised to see something truly good coming out of Washington. All that money being wasted away could be better spent. Of course we aren’t economists like those great minds from Washington, the fed, New York, and wherever, which in their minds roughly translates to “we don’t understand the economy”, and in reality it translates to being on the wrong end of the money line, thus we get ditched.
This is sort of off topic, but
I was reading somewhere online about being illegal for banks to take away your home, being that for banks to legally do it, they must have physically given something in exchange for credit to pay for the house… but since credit is created out of thin air, they cannot take the house away from you. Anyway, a man took this to court and kept his home… if you’re interested I’ll look online for it.
Adam
February 5, 2009 @ 9:51 pm
Yes, Daniel that would be great. Thanks.
da
February 17, 2009 @ 10:44 am
I should’ve looked at your site earlier… I completely forgot about this article and probably erased it from my history… I am searching for it as of now…