In this essay I want to propose that the U.S. Treasury should give every U.S. Citizen $500 per month indefinitely. This view is very similar to the Social Credit ideas proposed by economist C. H. Douglas (1879–1952).The dominant economic theme in the U.S. and the world economy today is: Factory over-capacity and lots of willing, and able labor which goes unemployed. I propose that we use this idle factory and people capacity by stimulating demand. I propose we give $500 per month to every U.S. Citizen indefinitely without regard to their current income or anything else. Rich, poor, young and old would receive this credit (i.e., cash). Even those currently on public assistance would receive this benefit. This rule also simplifies the implementation of this idea. The rich and the well-to-do may not even spend most of the cash given to them which is ok because the middle class, the poor and the unemployed are likely to spend most of the benefit.
The cost of this benefit would be about $1.85 trillion a year (about 12.5% of forecasted 2010 GDP). I am not proposing taxes be raised or other spending be cut. So where will the money come from? The money is already there in the form of idle capacity. This idle capacity consists of world manufacturing capacity running at record low utilization rate and hoards of healthy, willing, able, disciplined and educated labor (i.e., the unemployed). Read more...
This is quite a good proposal. I think the US government can do this to help people who are in need of financial assistance.
ReplyDeletekeep dreaming, things don't work like that in the real world and never will, because if they did why then stop at 500? Give $150,000 in one lump sum, let those that are strapped pay off the mortgages, buy a new car, second home, pay off college tuition, or simply invest.
ReplyDeleteBut that will never happen because from the foundations of our world it was believed that you should slave your life away to pay pills and then die.
I think either way,its a good idea because if we look back on the pass this is how Roosevelt help his American people,and from my history of learning or beening taught about world economy besides Russia,the United States is considered the most richest country in the world and to let America go broke will be something to go down in the future history books. As for this depression only the government can stop it or they need to turn to some of the older presidents who are still alive such as Clinton and Carter and get some advice even George Bush may have some suggestion George the Sr.
ReplyDeleteAs we all know healthcare is a main issue in America and the oil or the price of gas is the second issue across the world,now the increase in food has skyrocket,here in Mississippi we are already going through the depression a soda use to cost $.55 a can today I just learn that same can of soda just rose to $.79 that a 10% tax raise since yesterday,we have a grocery store that charge us 7% tax and another 10% tax at the register how can they get away with that, but our store is considered the cheapest in the South by the time the Great Depression 2 really hit I can only by a $,25 soda if that don't go up..
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