Anyone who says the Bush stimulus package of a $600 tax rebate is not going to stimulate the US Economy hasn’t been watching The Big Idea with Donny Deutsch. I’ve seen more millionaires made from $600 or less on that show than I ever thought was possible. The moral of the story: Your wealth is what you make of it.
Every time I watch that show, I’m completely inspired. Regular people making it big because they had a dream that they pursued. My favorite episode was a few days ago. I can’t remember the guy’s name, but there was a venture capitalist on the show who said that the “side job” never becomes the next million dollar idea. Got me thinking about how many “side jobs” I’ve had over the years. None of them took off. Watching the show, I see nearly all of the stories have something in come: they quit their job went after the dream.
What dream is worth dreaming but not pursuing? Time to take the plunge. Grab that $600 tax rebate and do something with it!
I was sitting there watching Fox News the other day. They had the Republican candidates on, discussing various political issues. It was the first time I had really spent paying any attention to presidential politics so far this campaign. As I’m watching Mitt Romney, there is an unsettling feeling starting to well up in my stomach.
It suddenly hit me. Remember this movie?
That is a still of Greg Stillson from the 1983 film based upon the Stephen King book, The Dead Zone. And that is what got me thinking about a certain candidate from New England.
Bernanke’s rookie year was a bit rough for the nation. His second year hasn’t had much success either. However, it appears that he is coming out of the textbook world of economics and into the real world. Yes, the world where living, breathing humans with names actually lose their jobs and houses rather than his previous world where there is a % increase in unemployment.
My favorite quote from Bernanke was the following:
To be useful, a fiscal stimulus package should be implemented quickly and structured so that its effects on aggregate spending are felt as much as possible within the next 12 months or so.
Clearly, this is in stark contrast to his molasses monetary policy, which consists of waiting. And waiting. And waiting some more. Essentially paralyzed by inflationary fears.
What is interesting about Bernanke’s leadership in the FED is that it puts much more control of the economy into the hands of the Federal government as opposed to our central bank. This is a scary notion. Political winds change, shift, dwindle in a relatively short period. The result is much more sporadic economic conditions and less economic stability. If not offset by consistent Federal Reserve Policy, the US Economy will be severely upset by fiscal policy.
Bernanke has recently indicated that the FED is looking to take aggressive action, indicating to many that a half point cut in interest rates should be expected at the end of this month. Provided that the FED does indeed shift from the monetary drip policy to at least a trickle as indicated, the US economy might be able to shed off some of the damage we can anticipate from the recent change in China’s labor law.