It looks like we're gonna get it

[MilDoc]

Am I the only person that thinks it is borderline psychotic to be giving money away...

Nope. Just more "make 'em feel good" stuff.

[jonmulzer]

Well, there's an interesting multiplier effect in economics. It says that every dollar injected into the economy as a stimulus gets spent, in part, over and over. E.g. you buy something for $100.
$50 goes to the manufacturer
of that $50, $20 goes to the steel mills and other raw materials, 20 to the laborers and 10 to the manufacturers stockholders
$50 goes to the retailer
of which $20 goes to the store rent, utilities, 20 to the store clerks and managers and $10 to the store owners.

So you can see, most of that money will get spent again... the clerks and laborers will buy things with their overtime and bonuses, the manufacturer will pay bills, have materials delivered, re-invest in new equipment etc.

I can't seem to find the figure, but economists know that $100 given to a person as a reverse tax can have a effect of like $500 in gross national product as it gets spent over and over. It doesn't go on forever and ever since eventually some will be leaked off for savings and investment. And some will be used for buying foreign goods and part of the purchase will then be diverted from improving the national gros product.

OTOH, it theoretically takes $100 of government spending out of the economy, although in practice, they never have a balanced budget and in the case of the current rebate discussions, I haven't heard where they plan to get the money (like not spending for defense, space, social security or upkeep of government buildings and infrastructure).

And after that wheel is done turning the money that gets "made up" and injected into the economy for stimulus, devalues the money that is left by inflation, and that is permanent. And that is where they got the money for this. They made it up. Plain and simple.

[jonmulzer]

Nope. Just more "make 'em feel good" stuff.

Make 'em feel good, pull the wool over their eyes and then steal their wallets stuff.

[billwmeyer]

I plan on using it to purchase the Schluter System for my shower to finish my three year long bathroom renovation. If there is anything left, I may try to convince my wife that we need to go to Springfield for that Grizzly Bandsaw.

Bill