and if you've been responsible, buy a big effing flat screen TV

or, you know, just have the banks hand it out for undeserved bonuses/dividends or to buy other banks

what am I missing? Didn't Congress consider this?

they didn't consider it - nope

You are paying off billions of lost value in hard assets. Disappearing value. The trickle up of widely dispersed monies would help no one

in a global economic meltodwn.

this bailout the appropriate solution? No.

But the distrtbution of beer money to people wouldn't do it either.

Look for very different solutions come February.

Expect targets investment in sectors with high payoffs to the economy.

How the Obama administration deals with the auto industry will be the hardest part.

Not to be contrary: but why won't $9K to a family of 4 kickstart the economy and help banks?

Paying off cc debt and mortgage debt will certainly help bank, but won't give them enough capital to provide bonuses/dividends

Plus it rewards the responsible homeowners with a windfall

...but this may be why I majored in English.

(and not Econ)

Your solution is certainly the most humane and the best for just plain making people happy.

But the economy as a machine (right or wrong) requires fixing. We are too dependent on a few key industries.

That has created frailty and caused this mess.

I would like an extra $6k in my house, but that's only 3 house payments. What happens next?

If you and 5000 other Wachovia customers pay $6K on your house, that's $30M

pretty soon we're talking about real money

banks start leading again

Or if you, Responsible Homeowner, get $6K as a windfall, maybe you buy a camper shell for your truck

or a home entertainment center

or you lend your irresponsible brother $3K to pay off a debt

ahem, "banks start *lending* again

But the actual engine of the economy processes those payments and in 3 months we're back where we started.

It's just grist for the mill for a very short period of time.

but it's not like the money dead ends. it should circulate, right?

but not if the banks (or citizens) hold onto it

There is no ideal solution to this. Ultimately this is flaw of capitalism. An irrational bubble was spawned by irrational actors.

Then it burst and the economy was ripped up.

Priming the pump of the economy by giving everyone $6000 is going to provide a very thin band aid.

I think a lot of people would pay cc debt down, but yes, some people would just buy STUFF.

But that's how the economy works -- people move money around. Economy goes down when people stop moving money.

So -- do we give the $700B to banks to hang onto, or do we give it to the PEOPLE to give to the banks and to buy stuff?

Jeez, will the liberals ask for my card back because of this thread?