Friday, February 13, 2009

This is not stimulating

The stimulus plan that was approved by the House and Senate this week are far from stimulating. When you look at the word "stimulate", its definition is NOT spending on anything. In my mind, it's incentive for the consumer to be spending; it's for giving tax breaks to small businesses; it's for giving more to potential car and home-buyers.

Yes, there is some of what I mentioned above, but is there enough? The Republican version had $15,000 incentive for first time home-buyers. Democrats reduced that to $8,000. Republicans wanted more tax breaks for the middle class, small businesses, temporary reduction of Capital gains tax. Democrats worked like crazy to make sure these ideas were snuffed out of the water. Instead, 2/3 of the "stimulus" is spending, only 1/3 is geared for tax relief.

Some of these programs may be worthy (many not), but it's not stimulus. It's social spending when you give the states billions of dollars, when you provide money to the poor, when you provide billions to the health industry. The fact is, these spending programs should be brought up and debated in appropriations bills, not for a stimulus package. It flat out is dishonest at worst, and conniving at best.