Let’s see, if you follow government suggestions, you get paid for it. Buy a home and get $8,000. Trade in a clunker and get $6,500. Just how many people weren’t going to buy without the stimulus? I is kind of hard to say. But the suggestion is there: “Do what the government tells you, and be rewarded.”
The question arises, did this action bring new people into the market or make those wishing to buy a little less hesitant? Probably all that happened is that sales for later in the year were accelerated into now.
Where did the money come from to pay these people who bought a car and a home $12,500? Don’t feel bad, I don’t know either. Let’s face it, crashing an airliner into the world trade center for 90 virgins in the afterlife has the same sort of ring to it, the only drawback to this analogy, is the religious zealot after the fact, is not going to be whining about non delivery of the 90 virgins. You can manipulate people to get a desired reaction, but the expected results don’t necessarily follow.
I remember reading somewhere that: “The government cannot give to anybody anything that the government does not first take from somebody else.” Common sense just doesn’t go far now days. I think we need to go back to the days where you had to be a land holder in order to vote, these people have always had a vested interest in the United States.
There comes a point to where thing start to get absurd and I think we are there. The question is out in front of us: "Where are these funds coming from?" Most people in the country could care less, their answer, the funds are coming from the same place they always came from.
This closing picture is not a political statement, but rather a reflection of the times, Herbert Hoover back in history was a success story without a rival in today's world. The trouble is, he was in the wrong place at the right time, and that could be Obama's plight.
Obama may end up taking the blame just like Hoover did.