Margaret's Gonzo Economic Stimulus Plan
So I'm reading the newspaper this morning (The New Mexican), and there's this article about how consumer spending is way down because people are (understandably) saving their money in these hard times. Unfortunately this sort of behavior, though sensible from an individual's POV (hey, I'm doing it too) does nothing to get the economy going again.
There is, however, an exception. Folks on one of my mailing lists were discussing how if you have Borders gift cards, you should spend them now in case Borders goes under, and I just read a friend's LJ post in which he talked about how he and his partner went on a weekend spending spree with all the gift cards and certificates they got for Christmas.
So I'm wondering... Instead of a standard tax cut, or a tax rebate like the Bush administration sent out, how about issuing tax credits/rebates for households as a use-it-or-lose-it debit card? Basically saying, "Here's X amount of money, now please go spend it before the year is out!" Presumably you could use it at any business that would take any other debit card, which would include supermarkets, clothing stores (necessities, IOW), but not your savings account.
It seems to me that would brighten people's lives a bit, and also inject money into the economy where it's hurting. OTOH, I am a dunce about economics in general, so there may be a major flaw in this plan. But it can't hurt to throw it out for discussion...
There is, however, an exception. Folks on one of my mailing lists were discussing how if you have Borders gift cards, you should spend them now in case Borders goes under, and I just read a friend's LJ post in which he talked about how he and his partner went on a weekend spending spree with all the gift cards and certificates they got for Christmas.
So I'm wondering... Instead of a standard tax cut, or a tax rebate like the Bush administration sent out, how about issuing tax credits/rebates for households as a use-it-or-lose-it debit card? Basically saying, "Here's X amount of money, now please go spend it before the year is out!" Presumably you could use it at any business that would take any other debit card, which would include supermarkets, clothing stores (necessities, IOW), but not your savings account.
It seems to me that would brighten people's lives a bit, and also inject money into the economy where it's hurting. OTOH, I am a dunce about economics in general, so there may be a major flaw in this plan. But it can't hurt to throw it out for discussion...