Fix the Economy By…Spending More
January 18, 2008 by Miranda Marquit
Filed under Finance
Not too long ago (last week), I mentioned that a $500 tax rebate idea for stimulating the economy was getting kicked around. That idea has been modified to a tax rebate in different amounts for different people, and is expected to be one of the points of a Bush economic plan. And it will probably work.
The government wants us to spend more money, and is willing to give it to us to spend (it builds “confidence” in the market, you see). And, as Americans, we usually do spend the money. Less than half of Americans with a significant tax refund actually plans for the future with it. It usually gets spent. So if the plan is to fix the economy by spending more, we will probably, in fact, be given the means to spend more.
Bull on Bush’s Tax Rebates!!! It will trigger people to buy more…..GAS!!!
Did you notice that right after this bill was past that the oil companies stated shooting up the gas prices? The oil companies want most of these people to spend their rebates on gasoline. By the time people start getting their checks, gas will probably cost around 4.00 bucks a gallon.
After awhile when things slow down, then gas will go down, but not the products that went up do to the increase in gas prices. That area of the economy is a pump up rip off, for as the price of fuel goes down, the after effects don’t.
Face it, If the public gets a noticable size rebate, the oil companies want it. Especially Exxon oil, they have to keep up with the $5,000,000,000 a year retirement fund for their retired CEO so he won’t starve to death.
That is one of the problems, of course. Any “economic stimulus” is expected to support oil prices, as well as gas prices. Hmmm…giving us “free” money to pump into his Big Oil buddies’ pockets. Something to consider…