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20 Jan

Posted by Admin as Articles

Money and Credit Tips You Can use » Blog Archive » Beat The Credit …
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Tales of an unemployed dad: Saving money at the library
Libraries are one great way to save money, although the book I’m checking out is at least four years old and much of it may be out of date. I may have to bend and buy an updated version after I take a look at this one. … read more…

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How to Find Low Cost Florida Home Insurance
Consumers in Florida are still facing a home insurance market with a very limited number of companies to choose from. Two years of legislation hasn’t made the situation any better. Home insurance in… read more…

Small Businessï¿½ Collect Money for Nothing and Cheques for Free
What can you do now for extra cash flow so you can grow without
increasing debt?

After starting a small business you feel your business is beginning
to take off and you want to expand. Somethi… read more…

From GoArticles.com

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Open Question: Will Obama’s Stimulus Help? How?
You won’t receive a stimulus check like you did last year. Instead, you’ll receive a tax credit for $ 500 if you’re single and $1000 for couples.

The idea isn’t to give more money out…it’s to keep money in your pocket.

The remaining billions (approx 500 billion) will be used to rebuild infrastructure — providing up to 2,000,000 jobs w/ a maximum increase of 4,000,000 on the optimistic side.

The idea is to spend — those token businesses that get part of the action will increase revenues and hopefully expand their business — hire new people.

If you can do that on a grand scale it’ll slow the rate of crash and hopefully reverse it — forcing growth in the economy.

Essentially what is being proposed is to replace the money consumers usually spend but can’t b/c they lost their jobs/retirement/investments/etc., with government money. As long as the money from the government holds strong, the economy, in theory, will also be alright. However, if there isn’t enough money to maintain this artificial stabilization until people get back on their feet…then it’ll do no good because the money tap from the government will be shut and consumers will still be unable to spend (or favor saving instead). Businesses will slowly but surely fall back into the red and scale back/collapse.

It’s a good idea except other countries are failing as well — and their consumer spending habits will lie on the conservative side, providing a bigger gap b/n consumer spending and the input costs for businesses to maintain the size of their business — and subsequent employment.

So the question is will the stimulus provide more revenue (spending) than the change in domestic/international spending habits (or lack thereof) and can we maintain, as a country already buried in debt, the flow of cash long enough to wade the trough?

My view?
I doubt it…but at least they’ll fix that pothole in front of my house.