Q. Would you have supported the stimulus package that was recently adopted and what effect do you feel it will have?
A. I found it very interesting that Congress, when faced with a need to improve the economy relied on the judgment of the people by giving back some of their money. With this decision, Congress admitted the right thing to do, when confronted with an economic dilemma, is let individuals keep more of their money rather than send it Washington [Joel Rosenthal, "Q & A with Chris Lien," SD Straight Talk, 2008.04.10].
Notice that Lien doesn't venture into the prickly economic territory of predicting the stimulus package's effect. (Hint: the correct answer is little to none, at least not in time to stop a recession.)
A bigger problem with Lien's happy parroting of the standard faux-conservative line: the money we're getting back in May or June isn't really our money: it's our kids' money. We're not cutting spending. We're not paying down debt. We're certainly not getting these checks to save and invest. We're expected to burn through that money as fast as we can so we can boost those GDP numbers and stock prices right now. This stimulus package is a loan from our kids or our grandkids or whatever future generation will finally have the moxie to pay down the debts created by our instant-gratification mindset.
Too bad our grandkids aren't around to vote. They might have something to say about how we're spending their money.
Q to the right wing nuts:
ReplyDeleteIf the stimlus is my money that I'm getting back, then why will I have to claim it as income on 2008 taxes?! If is is my money, then
am I not being taxed twice on the same money?!
Hold on, Anonymous -- that check is yours, free and clear. Says the IRS:
ReplyDelete"Q. Is my Stimulus Payment taxable?
"A. No. You will not owe tax on your payment when you file your 2008 federal income tax return. But you should keep a copy of the IRS letter you receive later this year listing the amount of your payment.
"Q. If my Stimulus Payment is not going to affect my 2008 tax refund or increase the tax I owe next year, why is it I need to retain the letter that lists how much I received?
"A. In the event you do not qualify for the full amount on your 2007 return but you do on your 2008 return, you will need to have the letter as a record of the amount you previously received. [Added 4/11/08]
"Q. Will the payment I receive in 2008 reduce my 2008 refund or increase the amount I owe for 2008?
"A. No, the Stimulus Payment will not reduce your refund or increase the amount you owe when you file your 2008 return."