How can the president make good use of the stimulus package
What is your suggestion for the president.
Knowing that we live in a country that is diverse, where most of our citizens are derivatives of different countries, create strength and at the same time can be a disadvantage for our economy. It's a disadvantage in the sense that it adds to capital flight. Americans & legal immigrants send million of dollars to foreign countries every year. In addition to that, some corporations add to capital flights by outsourcing jobs to other countries when most of the profit retains are not invested back into the American Market.
The profit that corporation makes in America is used to pay workers in foreign countries, and as a consequence of this affect adds to capital flight. In a sense, it's a domino effect because by stimulating our economy we have also stimulated part of the world economy. That stimulus money will eventual suck out of this country by way of capital flight which can then brings us back to square one again. How we keep this stimulus money circulating within our economy is the big task the president has yet to prove.
In most Jewish communities it has been said, before a dollar is exited into other environments; it must circulate 17 times within the Jewish community. I would like to see the president incorporate a strategy to help keep that stimulus money circulating within this country and by doing so invest in American business that focuses on export.
Investing in our infrastructure is good, but we must also invest in American businesses that produce products from war materials. In some way, the president will have to create a platform for us to become more like the Jewish community.
What I mean is that we need to support our economies by buying products that are made in USA without imposing the will to do so on anyone. In essence not to oppose foreign products from coming in, for competition promotes creativity. Concentrate in creating products that are competitive to that of foreign markets. One can be as patriotic as he wish, but if a product holds no true quality or necessity regardless of where it is made, no one will buy it.
It’s a global economy and it is a good idea to think of the world as one market, because obviously when we get a recessive cold other countries catches the economic flue. But this economic mutation is temporary for the reason being that globalization is a wireless sort of market not a peer to peer network, where the world connects to a router that controls the transaction of economic traffic.
More importantly, it is good to honor the credit crunch while the banks slowly make credit available to the masses. Yes, it’s important for us to open back the credit so that people can take loans to buy, and keep the economy moving again. But we should also remember that it is loans & credits that got us in this predicament. We should then consider changing the way we manage our monies. Budget with what we have now instead of money that doesn’t exist.
It would be better for us if we could have made a commitment to ease on credit. Credit is a false reality of wealth; wealth is what we have left after debiting what we owe from what we have. If every citizens make a sacrifice to budget within limit, without adding on to debt it would signify a change. And that change is the change we seek; we would eventually realize that the material life is worthless, and over valued at most times.
The fact that both, inflation and deflation can coexist will cause the dividing factor between middle class & rich folks to widen and as a consequence shrinking the middle class. As we inflate the economy by printing new money for our economic needs, we can also consider on slowing down on loans & credits that goes toward investment that are not profitable or held any value.
As far as we concern only three types of loans should be granted by the government and banks, and those are: College, Business and Mortgage loans. There could be more, I’m not too sure but if the loan is not contributing to wealth creation, than it's not advantageous to our economy. We can consider learning to manage risk by weighing opportunities with weakness & threats. It's only then we can know for sure if the loans that we have taken will create opportunity for wealth creation.
We can also find new ways to reduce on capital flight, but to do that would require that we invest in American businesses that profit from export as oppose to imports. Globalization is taking advantage of US economies, we need to produce, create new manufacturing jobs. Too many of us want to sit behind a desk and type; we need more skillful dirty hands on the field of hard labor. Blue color work is the foundation of building blocks of all nations which creates opportunity for the citizen it serves.