Monday, July 28, 2008

Believe and Prosper?

Have you spent your economic stimulus check yet? I paid a few bills with mine, so, it was practically spent before my wife and I received it. It was nice to have a little extra money to pay our bills a little earlier than normal. As appreciative as we, and I suppose others, are to the government for this "bonus" of sorts, it is most unlikely that consumers have seen the light and gained confidence in our economy. After all, this stimulus check was the equivalent to one or two paychecks for some, and a single pair of shoes for those a little more affluent.
According to the LA Times,"Consumers across the country say they have used their stimulus checks to pay bills and to stay afloat. The money has done little to boost their confidence in the economy." I did not think that my family was unique in this respect, and it seems like I was correct. It is difficult to believe that the economy will recover soon, when the prospect is blurred by a Republican President who is bound to be branded by Americans as one of the worst in history. Additionally, Americans know that we have Democrats in Congress with majority control that have had little success in passing anything but hot air. What are they waiting for, Barrack Obama? Realizing that their majority control is fragile, it would be logical that they are waiting for a President who will work with them to get things done, instead of threatening to veto legislation at the mere thought of necessary compromise [this not including the recent emergency housing bill]. Yet, there may be one other factor relating to the lack of consumer confidence.
It is possible that many US citizens are becoming more aware of the Federal debt. According to Wikipedia, "[a]s of April 2008, the total U.S. federal debt was approximately $9.5 trillion, about $31,100 per capita (that is, per U.S. resident)." After digesting this and the fact that this total does not include most of the major social programs [e.g. social security, Medicare, etc.] the present and future of our economy does not seem so bright. It is a far cry from the days of Clinton, when the national debt was decreasing by about $30 per second.
If the government wants it's people to have confidence in the economy, why not start by fostering our confidence in our leadership? They, after all, are the one's who are supposed to have a direction that will make things better, even, if it is in a small way. When, though, we are told that we will have to sacrifice prosperity to pay the deficit, our daughters and sons to fight wars, and our privacy for the never ending war on terrorism, leadership leaves us almost nothing to be confident about.

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