The stimulus package?
I'm having to do a paper over wether or not I think the stimulus package is a good idea or a bad one. Any good points on why the stimulus package would be a bad idea?
- AdamLv 61 decade agoFavorite Answer
The government has to borrow the funds to create the stimulus package. This increases the future indebtedness of the nation and mortgages our future for current consumption.
Furthermore, what would happen to that money if the government didn't borrow it? It's not like it would be in cash under someone's mattress. If the government didn't borrow it, those funds would be lent in the credit markets to someone else for investment. Deficit spending increases the cost of private borrowing by making private funding more scarce.
On the other hand, all elements of the stimulus that involve borrowing to finance expanded infrastructure can have a strongly beneficial effect. It's wise to borrow money to make capital improvements that will show productivity benefits for a long time.
- Anonymous1 decade ago
bad idea because we don't have billions of dollars to hand out to this cause and that cause because America doesn't even have the money to keep its citizens off the streets-people in this country are dying and homeless-that needs to be worked on first... and the war in Iraq needs to be put to an end-this is a huge drain on monetary resources
- 1 decade ago
I think it's good because all the money that's being handed out is going to be spent. Giving the money right back to us unless we buy from foreign countries or something. Any way it doesn't help me because i'm not getting no money :(
- 1 decade ago
i dose not help the us right away