I'm against the $85,000,000,000.00 bailout of AIG.
Instead, I'm in favor of giving $85,000,000,000 to all Americans as a "Dividend".
To make the math simple, let's assume there are 200,000,000 bonafide U.S. Citizens 18+
Our population is about 301,000,000 +/- counting every man, woman and child. So 200,000,000 might be a fair stab at adults 18 and up.
So divide 200 million adults 18+ into $85 billion that equals to a hefty "$425,000.00"
My plan is to give $425,000 to every person 18+ as a "Dividend" Of course, it would NOT be tax free. So let's assume a tax rate of 30%.
Every individual 18+ has to pay $127,500.00 in taxes. That sends $25.5 Billion right back to Uncle Sam.
But it means that every adult 18+ has $297,500.00 in their pocket. A husband and wife have $595,000.00.
What would you do with $297,500.00 to $595,000.00 in your family? Pay off your mortgage - "housing crisis solved" Repay college loans - "a great boost to new grads" Put away money for college - "it'll be there" Save it in a bank - "create money to loan to entrepreneurs" Buy a new car - "create jobs" Invest in the market - "capital drives growth" Pay for your parent's medical insurance =E 2 "health care improves"
Remember this is for every adult U S Citizen 18+ including the folks who lost their jobs at Lehman Brothers and every other company. If we're going to re-distribute wealth let's really do it...instead of trickling out.
If we're going to do an $85 billion bailout, let's bail out every adult U S Citizen 18+
As for AIG - liquidate it and Sell off its parts. Sell off the real estate. Let the private sector bargain hunters cut it up and clean it up.
Here's my rationale. We deserve it and "AIG doesn't" we were not invited to the last 10 years of "party time" bonuses.
And remember, The this plan only really costs $59.5 Billion because $25.5 Billion is returned instantly in taxes to Uncle Sam.
Yoda wrote:All it is doing is temporarily stopping the bleeding. They need to just let the system flush this out. Companies like WAMU and GS and Wachovia or whoever else deserve the same fate as Lehman if they made bad decisions.
Well, WAMU just went down in flames. GS got real lucky with Buffet. I still think Wachovia has a good chance to fall.
"Think of how stupid the average person is, and realize half of them are stupider than that." ~George Carlin