Sep 25 2008

I just came up with an even better plan!

Published by John at 11:04 am under Thoughts

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Here goes:

Apparently US consumers have built up about $850 bln in credit card balances. Why not just have the federal government pay that all off? It’s a bit pricier than the Paulson plan, but think of the benefits!

  • We immediately improve the financial standing of the majority of adults in this country.
  • The financial system is massively liquified, easing the current crisis.
  • There would be tens of billions in savings on interest charges.
  • Consumers will have a clean slate to start consuming again.

OK. Clearly this plan has some moral hazard and other fiscal issues. It would be enormously popular, though. :-)

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3 Responses to “I just came up with an even better plan!”

  1. # Andy Swanon 25 Sep 2008 at 11:35 am

    Classic.

    If they do that, I am going to become a tax evader for the rest of my life….Willie Nelson style.

  2. # Jeffon 25 Sep 2008 at 1:34 pm

    Excellent idea.. and at the same time cancel everyone’s credit cards so they have to apply for new limits again.

  3. # Johnon 25 Sep 2008 at 2:21 pm

    Andy - I hope you’re a better evader than Willie! :-)

    Jeff - I like the way you think.

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