Comments on: A Simple Economic Fix

By: Irma

Irma — Mon, 27 Jul 2009 14:16:38 +0000

Am I the only one who is actually looking the the money calculations here? If you have $40 million and you give $1 million out to each person – then that equates to ONLY 40 people! Is there something wrong with this picture?!

By: Douglas Harrison

Douglas Harrison — Fri, 03 Jul 2009 14:57:24 +0000

I’m 50 give it to me. Getting tired of being the person who pays for everyone else who is lazy.

By: Ron Wilson

Ron Wilson — Thu, 02 Jul 2009 18:58:52 +0000

Ummmm…yeah…it would only cost $40 tril-l-l-l-l-ion dollars.

Or about 3x the annual US GDP.

By: Fred Berg

Fred Berg — Thu, 02 Jul 2009 18:44:09 +0000

But that’s $40,000,000,000,000.00 (40 trillion). And that’s far worse (except for me – I’m 55!)

By: Padmanabhan

Padmanabhan — Thu, 02 Jul 2009 15:49:07 +0000

I don’t blame that guy for his lack of understanding of economics. But I do blame businesspundit for thinking this plan is great.

There is difference between moving wealth around and creating wealth. Moving wealth from one place to another is not growth. That does not create value. Creating wealth is growth.

When the Government takes money from tax payers and gives it to other businesses or retirees as in this case, wealth is moved around (from tax paying citizens to businesses or whoever). Net effect = No new wealth created. This is not economic growth.

When Govt takes money from these people and gives it to retirees, and force them to buy cars, car sales may increase. But may be if the money had been with the tax payers themselves, they could have used that to buy iPods or on a vacation or books or in bunny ranch or whatever they feel like. So, as a net result, some industries gain and some lose and the net result for the economy is Zero. This is NOT creating wealth.

Do you get it?

By: Dawn

Dawn — Thu, 02 Jul 2009 14:09:15 +0000

Genius.