on the economy

On the economy

When the state of the economy is at an all-time low, the best way to bring it to a point where it can no longer be reversed is by increasing taxes and usage fees. That is, precisely, what is being done all over America.

The Federal government, though not increasing taxes directly, has come up with so many fees and fines that everyone, including the poor, has less money available for living expenses than ever before. It just isn’t quite as visible as a direct tax increase would be.

The States and smaller municipalities increase usage fees for nearly every item or service that the average person needs on a daily basis.

Do these increases, be they taxes or fees, generate revenue for the various governments? No. As costs go up, usage goes down. Less usage results in less income and greater frustration for both the government and the governed.

What’s the solution? Printing more money isn’t one of them. It just devalues the money itself and reduces buying power and, ultimately, increases debt.

Here’s a solution that will work but will never be implemented by government. Give every head of household a one-time “gift” of fifty thousand dollars. Eliminate public assistance programs and keep on those entitlement programs that people have paid into (Social Security, Medicare, Veteran’s assistance).

You, now, have $50,000 of disposable income with which every family can pay their daily expenses, make purchases for cash and, even, pay down their credit liabilities. This will lead to greater opportunities for providers of product an services to employee the unemployed, raise income for those who are employed, raise retail sales levels, etc., and bring in greater tax and fee revenue. At the end of only one year, each of the recipients should, with some exceptions, be able to maintain themselves.

On the other side, government must eliminate all but the most necessary agencies, give those who will be unemployed the same $50,000 and let politicians make their own coffee and pay for their own lunches, etc. Eliminate the for-life status of the elected politicians and institute term limits for everyone.

If this doesn’t work……………….let’s try something else next year. Whatever the outcome, it can’t be any worse than what we currently have.