The return of Hells Kitchen
American Recovery & Reinvestment Act, 2009

Stimulnation and the Pork of Shame

I have no faith that the upcoming Stimulus Package is going to do anything. In fact, in spite of Obama's calls for bipartisanship, I think this junket is anything but. Republicans want to be able to blame the Dems should the package fail, and the Dems are drunk with power that they can push just about anything through. Hey Guys! Just because you can do something doesn't mean you should!

$789 Billion.


I have a problem getting my head around that figure.

Maybe that's the problem.

I like the tax breaks in the proposed bill. The NY Times talks about a $282 Billion in tax relief and $502 billion in spending programs. I am a little dubious about the spending programs. I don't like it when government spends money... Govt by its very nature is not efficient, and it doesn't promote innovation, invention or efficiency. Individuals and necessity creates innovation, invention and efficiency. I like that unemployment benefits and COBRA benefits have been extended. That is a good thing as it will provide relief for the unemployed and growing unemployed. Tax credits for first time home buyers is a good thing - but it needs to be extended as I don't believe that the recovery is going to start until at least 2012. I still believe that property prices are inflated, I think we will be seeing further declines in property value. 2012 is when I think we are going to see stabilization of property prices.

The problem of our crumbling infrastructure is years in the making. The trouble is during the flush times no one wanted to spend money on capital maintenance. Why? Not sexy enough. I get that the goal is to give states the money to spend on their infrastructure, which in turn energizes the construction industry, which in turn employs more people. Will the increases in employment in the construction industry really help? It won't if that sector hires illegals, or migrant workers.

There is something wrong somewhere when the largest sector in the USA to employ people is the govt sector.

What do we make? 

What do we export?

Maybe that's not such a bad thing. I am sure the experts will tell us that that is okay. But maybe we should be worried. Maybe we should think of what we make? 

I wish I had more faith in our leadership.