Search This Blog

Tuesday, September 17, 2013

WHO EVER SPENT THEMSELVES RICH?



We need them, but rich folks don’t spend themselves rich. They SAVE themselves rich; banking their money or investing it so that they earn more without sweating. So, why do some politicians keep telling us that giving financial breaks to rich folks leads to financial prosperity for everyone?

If they don’t spend themselves rich, how will they spend me rich?

The math is simple. Like all of us want to do, rich guys use money in ways that benefit themselves first and foremost. Poor guys get poor by spending their money, and admit it or not rich people benefit from that. That intensifies in “bad” times. 

Rich guys get the breaks, and poor guys pay the toll.

However, if money goes to poor and working folks, most of it will quickly be in the economy benefiting everyone; often within hours. Abjectly poor folks don’t have much option to save for a rainy day. They have debts to pay. Interestingly, when poor people pay their bills, rich guys get it anyhow. So, why not benefit both at once? It’s faster and really more effective; without nearly so much record keeping for rich folks.

On the other hand, money in rich guys’ hands will take months -- often a year or more -- of planning before cycling into the economy. Then, if a plan requires a facilities expansion, many more months can be eaten up. 

Giving them the money first just isn’t as effective as “conservative” politicians would lead us to believe.

No comments:

Post a Comment