The Feds are taking action: The Feds are doing whatever they can to keep the economy from going under. Liquidity is getting pumped into our system as fast as possible, so anything is possible.
Our take: The Fed has taken action in the form of sharp, historic rate cuts. But nothing seems to have stuck yet. At times, it has seemed like the government is flying blind and making it up as they go along. Do they really know what they’re doing?
Obama’s stimulus plan, revised: Whether its the $750 billion to $1 trillion stimulus plan or the rumored payroll tax holiday, Obama’s promise to pump up the economy will put money into the economy as well as jobs.
Our take: Some are concerned about the lack of federal oversight once these funds are dispensed. If no one is minding the store and seeing how the money is spent, how can we be sure that it’s really going to help anything?
America’s drive: The United States is the number one economy in the world for a reason. Among America’s strengths: innovation, flexible labor markets, and higher education. Overall, America has come a long way since the 1970s and will continue with high productivity and a better tax and regulatory system.
Our take: While this may be true, have Americans truly learned from the mistakes that got us here in the first place? Will we become a nation of savers? Will we live within our means and not live on credit? Until we learn how to be more frugal, history could wind up repeating itself.