The package has five main parts with some over lay and bad little bits. The US first ideas about purchases is a bad little bit. Focus and the main parts is imperative. First the pork. Things like the fountains in Washington state and water parks in Florida. That overlaps with the so called stimulative spending. That is the road spending and well that is really it from where sit but some include school improvements and the like. That then overlaps into what i call regulatory spending. The green jobs, efficient buildings, carbon reduction demonstration, std education and weather stripping type programs. The more distinct sections are the tax cuts. The other is the social safety net expansions. That is the 65% payments of COBRA, food stamp and unemployment extensions and blanket medicare cover for the unemployed?
The Pork. Pork is Pork do you need and argument against it? The bill way to expensive. We already carry to much dept. Let it go.
The Stimulus. There is going to be some in this bill. They have to be labor intensive, can start this year, the finished product helps the economy and the project will be there for 10+ years. Stimulus is not better than tax cuts as follows.
The Regulatory. Dump it all. This is not the time to tinker with everything. None of it meets the criteria of the Stimulus section, it applies here to. Do we need any more panels and commissions? More bureaucracy.
The Safety Net. It is more Social engineering. That in part is what got us into this. People need help now. Fine. That cannot become the base line for next years spending. If we spend less next year on them it cannot be allowed to be called cut. There must be an iron clad sunset of these expansions.
The Tax Cuts. Is it More stimulating to give a business a 1000 in tax cuts or 1000 in sales? Sales in the end puts only the profits in there pockets and then they pay taxes on it. The cuts as I know them now they are just gimmicks. 1000 to individuals will do nothing. People will save it and when things come back it will be there to go back into the economy and spur inflation. Fast write off are just giving money to companies now instead of two years or so from now. What is that going to do as we recover? Both of the cut are doing more harm than good. The cuts have to rate cuts and they have to be certain. People can't think that they can be raised in a couple months.
Not In the Bill
- Bad asset fix( the original TARP would have done it)
- A housing fix. Encourage interest cut till the loans are solvent. No cram down
- Reverse the mark to market and up tick changes
- Clear path to get business out from under the Government
- Clear statement that we will let everyone fail after one or two round of help( bad but it's where we are)
- Clear statement of capitalism
- Sunsets for everything, Anything not spent in the next 2 years is taken back.