Okay – the smirking chimp in chief held a press conference and talked about the economy last week. Here is what the man had to say:
Secondly, the growth package will provide tax rebates to more than 130 million American households. These rebates will begin reaching American families in May. And when the money reaches the American people, we expect they will use it to boost consumer spending, and that will spur job creation, as well.
Okay then… We are getting a tax REBATE, which is to say money for taxes we haven’t yet paid. And we’ll have to pay for this sooner or later, because it’s not a grant where you don’t have to pay it back – it’s a rebate. And he thinks that the people will spend the money – which they will – but further thinks that it will:
- Boost the sagging economy
- Create new jobs
So let me get this straight. $300 is going to boost the economy? For many people who are having to use credit cards just to get by (why do you think we have the highest level of debt since 1929?), this will be a small drop in the bucket. They are going to use that money on one, maybe two things. The first thing is gas. Oil hit like $108/barrel today. Where I live, gas is running $3.45 to $3.65 per gallon. This $300 rebate is going to pay for a few fillups, maximum. And where will that money go? It will first go to the oil companies, who are reaping billions of dollars in profits while getting tax breaks that they do not deserve. Then, some of that money will go to the oil Sheiks of the Middle East. Saudi Arabia, the UAE, Iraq; they will be the benefactors of much of these checks.
If it doesn’t go to the oil companies, it may get used on groceries and other small household goods. After all, you can’t put $300 out to buy a new car, which has American jobs to benefit. No. The average family will go to Wal-Mart, or Target, or Sears and spend that money. And that money will pay for shoes made in Bangladesh, or shirts made in India, or household goods made in China. So again, that money isn’t really staying here; it’s being sent offshore.
Wake up, people. Bush is doing this to mortgage our future, while giving billions to his corporate backers. These won’t be a boon for the economy – the first rebate checks in 2001 weren’t! But we have a short memory in this Nation. After all, with having to worry about how to pay for food and gas, there’s not enough time to think about what we are really doing to our future.