Recession Solutions that Might Work Better.
Posted in National stories
Jan. 22, 2008 at 12:11
by BrendaBee
I know this Matthew Rothschild is a nut case Progressive whose blog is always full of nastiness, but from time to time a good idea comes out. See if you don't agree.How to Pull Out of a Recession: the Ethical Way, Not the Bush Way By Matthew Rothschild, The Progressive
Posted on January 22, 2008, Printed on January 22, 2008
http://www.alternet.org/story/73763/ suggests : "...the government to spend more money on urgently needed domestic projects, like rebuilding bridges, which should be an easy sell, given the St. Paul disaster."
The infrastructure and interstate system is badly in need of repairs and the unemployment rate is pushing towards 7%. However to work these jobs can not be held to union wage scales and Congress can make an allowance for this because of the emergency. If union scale prevails a lot of money will be spend, the workers who really need jobs won't get them and very little will be accomplished for the money spent. BB
progressive economist Dean Baker suggests, the government could focus on environmentally sane options.
"There are many ways to make a stimulus package at least partly green," he writes. "For example, we can have generous tax credits for people to install more insulation in their homes, solar panels or other improvements that will reduce energy use. This would be an effective way to reemploy many of the construction workers who are losing their jobs. ... We can also give people money and a powerful incentive to use mass transit by giving transit agencies money to reduce fares. If we gave public transit agencies enough money to reduce transit fares by $1 a trip, over the course of a year this would provide the same stimulus as giving a $500 tax rebate to every user of public transit."
And once people become accustomed to using public transportation it is likely they will continue. In the meantime more ridership will brinmg in the money to expand the service areas. What can one say to the above suggestion? All of the ideas are superb and will work! BB
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I don't have any ideas myself for what will work, but I know what President Bush and Congress are now proposing will not work, Tax rebates will go to those who pay taxes and these people are just as likely to save the money as spend it. Money if you wish the people receiving it to spend it should then go to the low income workers. Throwing money at a problem is not always the solution! But thinking outside the box and the old ways of doing things is what is needed.
I did suggest freezing government spending on defense contracts and the 9,000 ear marks that Congress has passed. The spending on foolishness and things we don't need is what got us into this problem. Americans need to return to some fiscal responsibility. I hear people berating the government for excessive irresponsible spending while they are buying cell phones for every member of the family. Dear Lord people I have no idea how I managed to get an education, raise two kids, keep a home for my husband and family and hold down a job for years without a cell phone glued to my ear!
For any government intervention the money will be coming from your and my great grandchildren. Understand that! And It will not help jump start the a failing economy anyhow which is in the dumps because of government over spending in the first place with a bit of greed from the mortgage lenders that was no more than the catalyst. We, both the government and our over spending peoples needs a big kick flat on our butts to get back to some rational living and spending. And remember the government is just a reflection of the attitude of the people. Every person from 5 years old up needs a cell phone and iPod! Then goes to the government, whether city, county, state or federal with demands for more money and funding for programs that the people themselves should be taking care of. A depression or nice long recession might do that.
(a project right here in Greensboro that I suggested be a people’s project was refurbishing the War Memorial Stadium. Just on the blogs there was enthusiasm for the project with several contractors offering their crews and help. Others offing donations of money. I haven’t heard any more about it from David Hoggard but the last I heard he was going to the city and asking if the funds it would take top tear it down be used as “seed money” for what I am not sure.)
Of course while the only country with any power is reduced to these straits the bullies in the world will undoubtedly invade someone and start another war. Wars are always good to stimulate the economy. Just check out history. Even our own rather recent history since FDR did all he could to get us into the European WWII and that not all his programs is what dragged the country out of the depression. And I mean real wars where the population is involved not the little inconvenience to civilians that Iraq is. In WWII the young men were taken out of the work force making for actually a labor shortage and the people of the nation got involved; so called luxury items (like meat and sugar) were rationed. Now we are over populated with a bunch of weenies crying with their hands out to uncle to give them everything they WANT not NEED from cradle to grave. I guess human beings have much in common with lemmings and every so often have to weed each other out a bit so as to appreciate the things of value. I am not suggesting a war mind you but they do bring back a bit of reality which our society has been lacking.
Do any of you have any ideas for better wayus to jump start the economy?
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