What's wrong with trickle-up economics?

[BobRossi]

Instead of giving endless dollars to to the idiots that got us into this mess, what if the stimulus was aimed at the average tax-paying citizen in the form of incentives to purchase big-ticket items?
Give me a $5,000 tax credit to buy a new American car, GM or Chrysler are helped, the banks are helped.
Give me a $10,000 tax credit to buy a house or improve the one that I have, the builders get paid, the banks get paid.
It isn't rocket science.

[coyotespaw]

1. Rich people don't get their mitts on the cash first...

therefore politicians won't take that idea seriously.

[AndyA]

2. That's what I've been wondering all along.

Give people a lower interest rate on their mortgage, give them cash to pay down their mortgage and refinance, etc., will put more money in their pocket every month. The banks benefit from the inflow of cash, and people will have more money to spend to get the economy going again.

If you give a millionaire money, chances are it gets stuck in their sock drawer, or put in an investment for their kids. In short, it does nothing to grow the economy. But give that same amount to someone who is barely making it, and it gets spent on groceries, clothing, car repairs, furniture, etc., all of which could help get the economy moving again.

It makes sense to me. By giving it to the same people who created this mess, it seems we're rewarding bad behavior. Where's the penalty for their bad judgment and greed? There's no incentive to not do it again, because they're ultimately getting what they want.

[ronatchig]

6. That would be

along the lines of giving the suckers an even break don't ya know.

And everyone who is anyone knows that is not the way we do things
in America:sarcasm: :sarcasm: :sarcasm:

[elleng]

3. They get paid with your tax credit?

Means you've got cash, right?

[BobRossi]

5. I'll go real slow.........

I go to car dealer. I put (choose amount) down. Bank loans me
the rest. I pay bank back monthly. I get tax credit. Car company gets money, bank gets money, I get car.

[elleng]

7. Don't be obnoxious.

MY point is, YOU have money to put cash down, credit to borrow, and cash or credit to repay.

[ixion]

4. it actually works

so, of course, our "leaders" avoid it like the plague.