Comments | margdean56: Margaret's Gonzo Economic Stimulus Plan

margdean56

Margaret's Gonzo Economic Stimulus Plan

Feb 02, 2009 10:53

So I'm reading the newspaper this morning (The New Mexican), and there's this article about how consumer spending is way down because people are (understandably) saving their money in these hard times. Unfortunately this sort of behavior, though sensible from an individual's POV (hey, I'm doing it too) does nothing to get the economy going again.

( Read more... )

money, economy

Comments 6

rivergdss February 2 2009, 19:14:59 UTC

I like the concept. I know when my parents give me cash for a present, it usually ends up in the general household fund and I never spend it on something 'special' for myself. I think our last stimulus check ended up in the savings account.

If we were given a 'Presidential debit card', I don't think we'd use it to increase our spending. It would be used instead of the regular funds to buy household things like groceries, gas, etc.

I'm curious to read a more educated opinion of the idea.

princejvstin February 3 2009, 10:31:02 UTC

This is the populist idea of the "helicopter dropping bags of money" concept that, before this crisis, Bernanke (head of the Fed) said might be necessary in certain circumstances.

aarti_chapati February 7 2009, 07:26:32 UTC

Technically, putting money on a debit card is exactly the same thing as putting money in your bank account. So, really, by putting money in your bank account through a tax refund, the government is asking you to spend it (and most Americans do that, since we are not exactly famous for saving money). However, Obama in his inauguration speech told Americans to SAVE money- which is actually the opposite of what we should do to stimulate the economy. And what we SHOULD do to meet our personal debt crises. A catch-22, really.

margdean56 February 7 2009, 17:17:07 UTC

It's not the same if it's a use-it-or-lose-it debit card, i.e. if it expires in a year and the money goes away. I was trying to think of an equivalent of a gift card with a wider application.

Economic Stimuls Bank Card diggety February 8 2009, 23:02:16 UTC

Interesting idea. Dad always said the key to a good economy was to keep the money moving. Your idea is a good one. Have you sent it to Obama yet?

Re: Economic Stimuls Bank Card margdean56 February 8 2009, 23:50:16 UTC

I'd like to have someone who really knows something about economics vet it first.