The economy solved.

[Pete McCluskey.]

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UK</st1:country-region> about <st1:country-region w:st="on"><st1lace w:st="on">USA</st1lace></st1:country-region> but quite novel....and relevant..
This was an article from the St. Petersburg Times
Newspaper on Sunday. The Business Section asked readers for
ideas on "How Would You Fix the Economy?" I
thought this was the BEST idea. I think this guy nailed it!


Dear Mr. President,
Patriotic retirement:
There's about 40 million people over 50 in the
work force; pay them $1 million apiece severance with three
stipulations:
1) They leave their jobs. Forty million job openings -
Unemployment fixed.
2) They buy NEW American cars. Forty million cars
ordered - Auto Industry fixed.
3) They either buy a house or pay off their mortgage-
Housing Crisis fixed.

All National financial problems fixed!!!

 

[Duncan Potter]

Lets see. I'm 50, I retire with a million bucks. That has to last me til I'm 90.

New house, let's go cheap. $125k. Leave $875k.

New car, let's go cheap. $25k. Leaves $850k.

$850k divided by 40 is about $22k per year.

Health insurance in the States costs about $9k/year, if you're lucky.

That leaves me with $13k/year.

Racing costs me about $14k/year.

Thanks but no thanks,

Nice try though!:laugh:

Maybe that letter was from Bernie Madoff?

 

[Brian Hamilton]

Ya, wat he said. Except I'm 30... I wouldn't go cheap on anything. LOL That million would be gone QUICK. LOL

I'd actually invest most of it.

Hell, even if you doubled it to $2M each, you're still spending $80B and that's about 10% of what they're trying to spend. It could work, but I doubt politicians think that stuff through. LOL

 

[Ian K]

Yeah, someone else sent this to me about a month ago.

What happens to all of those houses/condos those 50+ yo already own?
That would be a glut of homes back on the market of they buy new ones.
If they just pay off their mortgages, how many of them are actually in
bad shape? I'll best most of them have been in their houses for some time,
and their mortgages are sound, so paying them off will have pretty much
no effect on the mortgage crisis. And what about the cars they already
own. Again, a bunch of used cars hit the market as well, as well as a quick
boon to sales, but no lasting market. The auto manufacturers are getting
more money directly from the government, a quick burst of sales will not
help them. And, if they live in say San Francisco or NYC? That $1 million
US won't get them very far housingwise. The big kicker is the job thing -
how many of them actually work? And, if it really leads to say 30 million
job openings, it still requires either a) competent people are available to
take those jobs and b) the company doesn't just downsize to save costs.

Basically, it looks like a not very well thought out short term fix. What few
benefits gained would disappear quickly, and the US economy would be
back to where it was before, perhaps even worse.

Ian

 

[Andy Besic]

Are you going to be able to earn/save more than a million today in the rest of your working life? If you work 15 more years for a nut worth $1.5 million, it is the same value as 1 mill today. Also in that scenario you would have to average $100k "extra" income per year to accumulate the $1.5 Million.

new house= $15,000 trailer.
New Car=$300,000 Can-Am McClaren 800hp
Race a Full Vintage race schedule all over the country
Don't have to worry about living to 90 with that car, and you still have over half a million to give to your heirs!

Lets see. I'm 50, I retire with a million bucks. That has to last me til I'm 90.

New house, let's go cheap. $125k. Leave $875k.

New car, let's go cheap. $25k. Leaves $850k.

$850k divided by 40 is about $22k per year.

Health insurance in the States costs about $9k/year, if you're lucky.

That leaves me with $13k/year.

Racing costs me about $14k/year.

Thanks but no thanks,

Nice try though!:laugh:

Maybe that letter was from Bernie Madoff?