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Old 01-09-2009, 11:18 AM
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I am not sure that you are listening to the critics. They are offering alternatives. The biggest one is to make the Reagan tax cuts permanent and to eliminate the capital gains tax altogether for five years. This would serve to take a lot of uncertainty out of the future direction of the Obama administration.

Taking billions upon billions of dollars to make government jobs would be foolish. The government has never been known to do anything efficiently.

You can have a very large stimulus program but if the people do not spend the stimulus money it will do no good. Likewise if the government spends a stimulus money it will do no good. I think as far as a stimulus goes whatl we needs to do is to devise a method of getting money into the hands of the people conditionally that they spend it. For the government to put billions of dollars out there on WPA projects in which they are actually bailing out cities and states for not having taken care of the infrastructure as they have been paid to do would be counterproductive in my opinion.

We need to create demand for products through consumption. This is done by the consumer doing what he does best, Consume. That will decrease the inventories of goods on hand requiring manufacturers to produce more which will require that they increased their resources such as employees thereby creating jobs.

Basic economics is the best route. The reason that we are in this situation is because factions in our government tried social engineering. Tried to give the illusion of redistributed wealth by helping people to consume what they could not pay for. The bill came due. Let's not go down that road again. Consumption produces a demand for goods. Demand produces production. Production produces jobs. An oversimplification but those are the rules as I understand them.

Taxes, take spendable cash out of the hansd of the people.