Washington has put together a $150 billion package to give money back to people and businesses. A married couple (man and a woman, I guess) making $150,000 with two kids will receive a total of $1800 sometime after May. I'm sure the politicans will be bragging about this one for a long time. This is proof that politicians believe it's a good thing when people keep and spend their own money. This 'Christmas in May' giveaway program, however, is also proof that Washington has a stranglehold on us all.
There was some compromise in the process to craft the giveaway plan:
"Late in the negotiations that preceded Thursday’s breakthrough, Ms. Pelosi agreed not to include two proposals that have broad support among Congressional Democrats: an extension of unemployment benefits and a temporary increase in food stamps.
In exchange for those concessions, the Bush administration and House Republicans agreed that the stipend of at least $300 would be paid to all workers who earned at least $3,000 last year, even those who did not earn enough to pay taxes."
$300 to people who pain NO taxes? Now that's a giveaway progmam I'm sure the liberals are proud of. Surely Marx is smiling up from hell.
No article I read on this subject addressed the question of how the politicians arrived at the dollar figures used. Why $300 or $600 per person? Why not $3000 or $60,000? If they could do even $600,000, then people would really spent a lot of money which would certainly be good, right?
From the related Wall Steet Journal, print edition,
"A small but notable contingent of economists, largely on the right, questioned whether the the stimulus was needed at all...at a time when unemployment measures 5%, a low rate historically."
Like I have said before, I have mixed feelings on this issue because I hate the idea of government handouts. While this package is largely framed as a "tax rebate", it is a chance for Washing to flex its muscles to demonstrate its stranglehold on the citizens.
Here's the other problem: Has the government pleged to spend less, decrease the amount it grows, or do anything else that would mean it burns less money? NO! Therefore this $150 billion package means that the government will go deeper into debt.
I will gladly take whatever money they throw my way because it's my &*#)!ing money, but I still hate most politicans because they're largely looking out for themselves this election year, not America. They're buying votes and doing nothing to fix any the root problems of this country, namely big and ever-growing government that continues to spend more and more money. Yes, I believe that most people want this money and this will give some benefit to the economy because that's how the free market works, but the bigger issue is taxation by an unrestrained, ever-growing government.
Rush Limbaugh's take today on the plan is that because the wealthy aren't included in the plan, then they are being used to pay for the handouts for the non-wealthy. He also said that since no new money is being put into the system, that the net gain is minimal and the whole thing is just an election year gimmick. This would explain why the politicans put the deal together so quickly. I still believe that money in the hands of people is better than in the black hole of the government.
Sadly, it's not diffiicult to envision politicians on both sides of the isle reminding voters how they supported the scheme and therefore deserve to be voted for at election time.
Finally, in one forum wife reads, the liberals were stating that the handout program wouldn't do anything to help the economy. I wonder if they'll send their checks back?