Checks and balance sheets

May 13, 2008 11:57 AM

Economic Stimulus Package Exclusions. We, as taxpayers recieving rebates, are encouraged to spend. The things we typically spend money on are imports from China. For every dollar we spend on a Chinese-made product, only 3 cents goes back to China. The rest stays in the U.S. While it seems that the money is spread out along the supply chain and helps to sustain domestic industries and services such as product research and development, marketing, and distribution, etc, manufacturing represents a much smaller part of overall economic activity. More purchases of imported goods will benefit service-sector jobs, which is what the US is built on. By significantly reducing (by millions of dollars) the amount of spending to citizens only and spouses of citizens only, the package may or may not work to its full potential, and it is curious to think of how many times this money will be taxed. Additionally, if the Fed is willing to bail out Bear Stearns when they allowed borrowing at the same rates as consumer banks (rewarding stupidity) should it not take the hit and bail out all of the average home owners in the credit crunch.
posted by johannahdeschanel (1 comment total)

Okay, but what does that have to do with the article you linked?
posted by echo target at 12:02 PM on May 13, 2008