How to Fix the Economy

How to Fix the Economy

It’s simple.

Hot Air posts a story from the Wall Street Journal on the problem with stimulus packages.

Stimulus packages don’t work. Let’s be honest. They simply transfer wealth from people who pay taxes, to people who don’t. It’s a tacit admission that people who don’t pay taxes can’t save their money and will waste it. The graph at the link shows while the money is being spent, it is simply being given back to the people who pay the taxes - to catch up on bills, etc. It does not produce any new consumer spending.

Want to fix this economy? It’s as simple as 1-2-3 (maybe 4)

  1. First, have the government state no more bailouts. Give the markets some certainty to future action. If they think government cheese is around the corner, they have no incentive to fix their problems.
  2. Remove capitals gains taxes for 2 years. Set them at 0 across the board. Encourage investment.
  3. Reduce corporate taxes to 10% for 2 years or 4 years. Let businesses keep their own money.
  4. Reduce personal taxes to 20% for 2 years or 4 years. Across the board.

It’s not difficult. You don’t need $7 trillion dollars of bailout. You need people to keep their money - not spread it around. You need to encourage investment in the markets.

The economy can fix itself, just give it the means to do so.


Post Comments Here » 3 Comments so far

Related Posts:

3 Comments so far

Trackbacks URI http://www.lorien1973.com/how-to-fix-the-economy/trackback/

  1. Sarah Palin On Best Political Blogs » Blog Archive » How to Fix the Economy: Read it at Lorien1973.Com on November 25th, 2008

    [...] How to Fix the Economy: Read it at Lorien1973.Com Didn’t get the memo? Obama Caused the Subprime Mortgage Mess. But let’s all focus on tasergate and Palin’s uterus. Can we? … Sarah Palin: The Experience Question. Debate 101. MENU. » Deep Thoughts on Business, the Internet, … [...]


  2. ATNorth on November 30th, 2008

    How do the rich people get punished under your scenario? It’s missing a certain element of schaedenfreude, I think. If there is one thing I am sure of, it is that rich people caused all my problems.

    Unless I am black, in which case, white people cause all my problems.

    Or I am gay, in which case Mormons caused all my problems.

    Or I am a victim of a terrorist attack, in which case, there’s nobody to blame for my problems except myself.

    Best Regards


  3. Jeff Perren on January 8th, 2009

    Lorien,

    Your plan has a fatal flaw. If the Feds followed your suggestions, they wouldn’t get to control what happens.

    But, then, even with all their interference, events are clearly out of their control, anyway.

    I leave it to wiser heads to disentangle the mystery of why the meddlers persist.


Leave a reply


More Related:

Check these Categories below for more on How to Fix the Economy

Deep Thoughts

Previous Post: Citibank Bailout: An Open Letter to the Government and Citibank
Next Post: The Problem with JRPGs

Search For More Articles Related to:

It’s simple.


Deep Thoughts on Business, the Internet, Politics - Lorien1973.Com