A simple solution to economic stife that no one will listen to

Just read it.

The secretary of the treasury have put off the announcement of how he intends to spend the remaining 350 Billion bail out dollars left to be handed out. Many people have suggested the money be given to average Americans who will then spend it, thus stimulating the economy, the Fed will probably end up doling it out to big business. There is a better choice to be made her.

Rather than just tossing all that money down one drain or another (which is the most likely outcome here). The fed should take that money, divide it into 1 million dollar chunks, and invest a chunk in a slew of small businesses around the country, under the stipulation that 30% of the investment capital each business receives must be spent to increase the energy efficiency of the business, and 10% must be spent on wage increases or new hiring.

This plan would have a multi-layered positive effect. First of all, the recipient businesses would have a lower likelihood of lay offs, chapter 11, and the slew of other job-loss-related circumstances the today's struggling small business face. Secondly, the ability to grant wages increases to model employees will raise staff morale, increase productivity. The energy efficiency stipulation will lower the overhead of these business, freeing up more money down the road. The investment will boost the confidence each of the recipient businesses employees as consumers themselves (if your place of business got a 1 million dollar investment from the US government, you'd be a lot more secure in you job, and more likely to spend money)

The real icing on the cake here is that the government would own shares in these businesses who now have the ability to expand, and increase the business. It stands to reason that the stock would then go up in value, there bye showing a return to the government in the form of dividends which could be re-invested in a similar fashion.

Of course, the relatively short history of my life shows that no ever listens to me, even less so when I have good advice.

Reviews

[Melanie]

Well that really IS a good idea! Unfortunately, I found this story in the "unread" category of writing on here. You should revise this and send it in a letter to government officials (multiple) at the treasury department. Since their plan is already in action, it is unlikely they would try this idea, but getting the information (idea) would be the first step if it were to work. Really, tell people - someplace other than on writerscafe. Blog it on Myspace (make sure you include the category). Write one great explanatory letter and send it to every government official you can find an address for - your representative, your govenor, the entire treasury department (on different days so there's a chance they'll read it), etc. If you do this, I would definitly avoid any statements that sound condescending - I'm sure our officials are doing their best (and if not they feel they are), so introducing any rudness woule be antiproductive to a good brainstorming session on their part - since they'd have to figure out what to do with your letter/idea.

For example, "Rather than just tossing all that money down one drain or another (which is the most likely outcome here). The fed should take that money,"... there I suggest you delete the first sentence and change the word "should" to the more positive "could", and edit the remainder of the piece similarly.

If nothing else, you spend $5 on stamps and get a bunch of aids in government offices thinking.

Thanks for giving me something to bring up in economic discussions! Good luck!