Another Stimulus Bill is about to take a trip around capital hill very soon. Our political leaders have a grave responsibility in using the public tax dollars wisely, not just distributing wealth from one hand to the other.
Giving credits (money) to everyone doesn't do a dam_ thing unless, the tax credit can effectively generate jobs and support systems to maintain those jobs, but also create JOBS. Be careful in what your legislators are doing. Adding to the deficient without job creation can be long lasting, President Bush gave us 3 tax credits stimulus packages with Congressional support during the last 8 years, and did we not learn that this was a token gesture, that actually added to our grandchildren debt, they will be paying for.
Let's get specific, we have approx. 180 million people who work in this country and about 10% are now unemployed, As an example, President Bush dished out a token 300 bucks stimulus to spend on what ever, Let's Do the math (180,000,000 times $300 dollars, that adds up to a lot of zero's 54,000,000,000) $54 Billion Dollars, do that times 3. that equates to 162 billion dollars during the last 8 years.
** Let's look at how a real tax credit can stimulate an economy. As an example, let's say you buy an American made car, if you were allowed to write off the interest, as part of a tax stimulus package, that vehicle, then, woukd stimulate buying activity, which maintains and creates a demand for an American Made product.
** We can do the same with Appliances that are made in the U.S., this would allow the American public to choose to buy American; there is a benefit (JOBS). Not saying there is nothing wrong with buying foreign, but recognize We cut our own throats, without really looking at the underlying problems, we help other economies to flourish, and put us deeper in a trade deficient.
**We need to realize that we can use our tax system work for the country, but it can also be detrimental and work against us if we tax too much or just tax those who own businesses or who we consider rich.
An Example; a vehicle over $30,000 has an added Special tax called (a luxury tax), a boat gets taxed as a luxury so 10% special Luxury tax crippled the Boating Industry in this country. So what happens?
People start changing their spending habits. Manufacturing plants that supplies JOB's here in the US, make decisions based on profits, not expenses, that ultimately forces manufactures to layoff people.
Imagine, if you were employed by a manufacture or other business that was dependant for it's survival on the consuming public to buy their products and if no one is buying boats as an example, this has ultimately adds to the problem we been facing in the US. We need to start paying attention to these things. This spiraling affect does filter down to the lowest common denominator, supporting jobs.
**We helped encourage foreign trading partners stimulate their economies since 1971 when President Nixon took us off the Gold Standard, and made America fight the worlds battles economically with printed paper dollars backed only by more debt (federal reserve note), believe it or not, many people in this country still thing our dollar is backed by gold in Fort Knox. It's time to re-think our monetary policy for the good of our United States of America. TheDon1950@aol.com
Carlos Arvizu Sr.
