How to Fix the Economy
I just figured out exactly what the government needs to do to fix the economy: Say that the economy is fixed.
Recessions are perfectly capable of beginning organically on their own, but once it starts, once the people get it into their heads that there is a recession, the recession gets even worse. It’s what caused the Great Depression, and it’s what’s digging the world’s economy deeper than it already is. All the government accomplishes by proposing more bailout and self-stimulation packages is to convince people that there really is a big problem that somehow only the government can fix.
So we get the whole government to just lie, WHICH SHOULDN’T BE TOO HARD, and tell everybody that everything is fine. Most people will think it’s horseshit, but if enough people are reckless enough to believe it, the increase in spending will notch sales figures up just enough to make the second most reckless people go shopping again, and it’ll just cascade all the way up to the people who think it’s horseshit, at which point it won’t matter anymore, because those people have zero effect on bubbles and recessions anyway.
Bam. Economy fixed.
Or, you know, they could just stop trying to artificially regulate the thing…
Just like the so called credit crisis. I mean people should even bother buying a home, because they can’t get a mortgage. That is what they spew every day, but on the ground in the trenches talking to real people and real estates agents and such I know people are getting mortgages no problem. They just stopped lending to people who shouldn’t get approved for mortgages, although they were a few years ago.
Hey at least it has artificially dropped gas prices.
I think you are right that we should stop trying to artificially prop up business, companies, and arguments that don’t need to last.
[...] Merkler of Hindrances to Progress posted a great solution to fixing the U.S. Economy, and, quite possibly, the world’s. And I agree with him. it’s a mind thing. we the [...]
slight over-simplification of the causes of the GD. Yes, people’s “confidence” in the economy played a part, just like Rudolph and Frosty are a part of Christmas. There were several other, more important, and very real factors that lead to the GD. Restoring consumer confidence is an important part of any economic recovery, and very well may be a vital part of this one. However, when the system itself is inherently broken due to the inept machinations of political opportunists pandering to the whims of an uneducated and uninterested electorate, there are no simple solutions.