Thursday, February 12, 2009

Economic Stimulus

I hear the congresscritters, on the orders of the president, are planning to "save" the economy by giving money to those who didn't earn it. This money they plan on giving away doesn't really exist, but is made up out of thin air, based on the belief that your children will someday pay the government for the privilege of being oppressed by its stormtroopers, through taxes or whatever new scheme is dreamed up in the future.

Now, why would the government give corporations this fictional money instead of simply firing up the printing presses and dumping lots of FRNs all over the country from low-flying planes? That would be a lot simpler, cheaper, and most people would be a lot happier with that "plan". Government won't do it that way because the current plan constitutes a bribe to buy loyalty from those who are being "rescued"; powerful people. Not at all like you or I. This "stimulus" will stimulate something, that's for certain. I betting on more corruption, irresponsibility, and poor business decisions.

However the government proceeds, the long-term effect will be the same: the money in your pocket or retirement fund will be further diluted by all this new counterfeit money. It won't matter if the money has a physical existence or is just digital information; either way it is stealing value from you just as surely as if a free-lance mugger were holding you at gunpoint while you empty your pockets for him.

And yet, almost no one is screaming "No! You will not economically enslave my future!" or refusing to be robbed. Rather, people are debating how much oversight should the government have, or complaining about all the add-on edicts. I, for one, see through the smoke and mirrors. I suspect that you do too.