For the opposing opinion on this issue, read Nigel Alcorn’s Feb. 25 article, Conservatives ignore past failures.
While it is true the economy is in serious trouble and something needs to be done, many disagree over what course of action should be taken in dealing with the difficult financial situation.
With the new ?economic recovery? plan pushed through Congress, many have taken stances on whether or not corporations actually need a bailout package from the government.
Over the decades our economy has slipped into several recessions and repeatedly the liberals have suggested throwing money at it to try and resurrect it. Time and time again the conservatives fight to let it recover naturally, without ridiculous amounts of money.
It is possible, of course, that the correct amount of money applied in the correct areas could stimulate the economy. However, much of the provided spending in the bill is rather pointless.
A perfect example of how the economy recovers naturally can be seen in history, after the time of the Great Depression. President Franklin Delano Roosevelt enacted what was called the New Deal, in which he fought to create many new jobs, which were government-funded, in addition to many government programs.
Unfortunately, like we will soon find out, they needed funding for these programs which were to help the economy, and taxes eventually skyrocketed.
The event that truly helped lift America out of the Depression was World War II. Americans started holding back in every way that they could, from growing their own vegetables to buying war bonds. It was this in addition to the massive influx of new jobs, created by manufacturing wartime equipment which contributed to the economy making a rebound.
The economy was not stimulated by the massive amounts of money thrown at it by the government, but greatly aided by the new jobs that were created, making war-time products.
President Obama‘s ‘economic stimulus package’ is $875 billion dollars in new spending, which experts say could lead to a massive budget shortfall, increasing debt on top of the estimated $10 trillion that our government already owes.
Dumping money into the economy will not help our problem. However, massive tax cuts across the board would help stimulate the economy. In order to account for the decrease in revenue, the government should cut spending across the board, not increase spending by leaps and bounds.