Are We There Yet? (Recession) By Patricia L Johnson

Original Content at http://www.opednews.com/articles/opedne_patricia_080117_are_we_there_yet_3f.htm



Many of the 2008 presidential hopefuls have put together various stimulus packages. Whether or not a stimulus package is needed to jump-start the economy has pretty much been answered, while the remaining question becomes what type of stimulus package will best serve our failing economy.

Three questions must be answered when looking at the various proposals.

Are they cost effective?
Are they timely - do they provide a quick fix to the economy?
How sure are we of the end result?
The CBO has listed nine possibilities and prepared a chart (page 20) indicating the pros and cons of each.

Lump-Sum Rebate
Temporary Tax Reduction
Withholding Holiday for the Employee Payroll Tax
Across-the-Board Tax Rate Cut
Deferring or Eliminating Scheduled Tax Increases
Extending the AMT Patch
Deferring or Eliminating Tax Rate Increase under EGTRRA or JGTRRA
Cut in Corporate Tax Rates
Incentives for New Investment
Extending Operating Loss and Carryback Provision
Direct Transfer Payments to Households
Extending or Expanding Unemployment Benefits
Temporarily Increasing Food Stamp Benefits
Providing General Aid to State and Local Governments
Investing in Public Works Project

Deciding what to do shouldn't be complicated if you look at the prior stimulus packages put into place during the Bush administration - they didn't work, so obviously a different approach is needed.

Providing tax cuts to the rich and tax and investment incentives to big business, just didn't provide the goals sought - unless the goal is to bankrupt the rest of us.

A review of the Consumer Price Index, CPI, report issued January 16, 2008 could provide an excellent case for directing the brunt of a new stimulus package to those needing it most, the poor and middle class. The increases in basic necessities over the past year; food, energy and medical costs has impacted all of us, but has been especially detrimental to the poor and middle class...
Maybe I'm wrong, but it seems to me that eating, staying warm and being able to afford medical care when necessary shouldn't be a luxury in this country, but that appears to be the direction we're heading.





Authors Website: www.ARTICLESandANSWERS.com

Authors Bio: Patricia L Johnson is a former special assignment writer/photographer and co-owner of the Articles and Answers News and Information sites: http://www.articlesandanswers.com and http://articles2007.spaces.live.com