Search This Blog

Wednesday, December 29, 2010

Fun with numbers- stimulus money

Since Sept 2008, The Government- the Treasury, the Fed, etc.. have spent approximately $15 Trillion dollars- this money has gone to domestic banks, international banks, credit card companies, financials like Goldman Sachs, non-financials like Harley Davidson & McDonald's, the stock market, Freddie & Fannie Mae, the auto industry, 'cash for clunkers' and home buyer tax credits.

And the economy is still an incredible mess that is not getting better..

But did you know--

Total U.S. revolving debt (98 percent is credit card debt) is $852.6 billion,

Total U.S. consumer debt: $2.42 trillion

If $50,000 stimulus checks were given to 150 million adult Americans, the total cost would be $7.5 Trillion

So...   If the US Govt. had paid off every American's credit card debt, paid off the totality of US consumer debt & let's say, given $50,000 stimulus checks to 150 million adult Americans,  the Total cost would be $10.77 Trillion dollars which is 2/3 of the $15 Trillion so far given to the banks and corporations.

Think about that-- every American would have zero debt and a nice amount of $$ in their banks to spend, save or invest and still would have cost less than what has been spent so far.

Why was this never done, nor even contemplated?

Simple- Government from the days of Reagan, believes in trickle-down economics.  This is a philosophy where money is given to the banks, businesses and the wealthiest people first because the common people are too ignorant to use the money in as productive manner.   So average person needs money?  Ah, yes-- give $$ to banks at no interest so they can lend it to you at a profit after tightening credit eligibility.  Average person out of work? Ah yes-- give $$ to business in the hope they will start hiring again when in truth, they will pocket the cash while continuing using temp help & underpaying and overworking skeleton crews of workers to maximize corporate profits.

You can not fully take control of your economic life until you fully understand and accept this reality--  Not only does government not care about you as a person, it does not want you to have a truly better life unless its within the parameters of an economic system they set up and control.  They believe the economy will not recover until you are not only buying and spending, but getting into debt to do it. And if you personally collapse from the weight of your debt, its inconsequential.. for you, as an individual and your personal survival have absolutely no importance to the Government and its decision making polices...   None.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.