Tuesday, February 17, 2009

Obama Signs the Stimulus Package

Well, it is official. The President has signed the stimulus package which consists of $787 billion mix of tax cuts and one of the biggest public spending programs since World War II. According reports, an estimated 20,000 people lose their jobs each day. I linked a message from the President to my blog so that you can hear what he has to say about the package and how it will benefit the average American.

With all of the money that will be pouring out, some feel that it won't be enough to prevent the inevitable failure of the economy.

With Chrysler LLC telling the U.S. government it needs even more taxpayer money to survive than originally thought and General Motors Corp. expecting to do the same, we do not have any idea where all of this will take us. More and more money will need to be poured into this problem and it will just get worse.

For example, my wife and I were out driving and noticed a sign for a 0% down mortgage. I called the number and asked about it. It turns out that people haven't learned from their mistakes. I asked, "Suppose I lose my job, what will happen?" The voice over the phone laughed and said, "Don't worry. The government is spending $50 billion to cover homes in foreclosure. You'll be fine."

Again, we are going down the same path. Instead of being told that real estate values never decline, we are now being told that the government will catch everything and prevent failure. I guess we don't have anything to worry about.

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