Explained something like this to a friend back in the day. He said the government could easily give us each $1M. And he was right!
Me: “You know I have a small lawn service, right? Charge $20 per lawn? What would you have to pay me if I had a million in the bank? I probably wouldn’t consider anything less than $10,000 for a job.”
Mike: “Yeah, but you could still eat at McDonalds for $5.”
Me: “Who would work there?!”
Yes, we need to start extracting the wealth back downwards, but we can’t just flood the streets with dollars.
Why would we flood the streets? Invest the money in public projects, services, etc. People work them as jobs, now we have more middle class - other businesses make money selling them services - the economy grows.
For an example of this working in America look up Franklin D. Roosevelt’s “New Deal”.
Where in the post was this suggested or even referenced? I see nothing indicating “just give everyone lots of money, yay!”, but I do see how the money referenced could be put to use.
But anyway, since we’re already off topic, let’s abolish currency and give everyone what they need instead of creating a system that encourages the hoarding of wealth and resources.
“ThIs Is NoT hOw MoNeY wOrKs” <-- take that arrogance to reddit
That’s not how money works.
Explained something like this to a friend back in the day. He said the government could easily give us each $1M. And he was right!
Me: “You know I have a small lawn service, right? Charge $20 per lawn? What would you have to pay me if I had a million in the bank? I probably wouldn’t consider anything less than $10,000 for a job.”
Mike: “Yeah, but you could still eat at McDonalds for $5.”
Me: “Who would work there?!”
Yes, we need to start extracting the wealth back downwards, but we can’t just flood the streets with dollars.
They didn’t suggest giving everyone a million dollars, they suggested using the seized money to pay people to do work on giant social issues.
It could feed everybody - by paying farmers the normal rate for their food.
It could halt climate change - by paying people the normal rate to install renewable energy.
The number of jobs would increase, and society’s problems would be solved, all without causing hyperinflation via huge handouts.
Do we actually understand the full impact of such a move? I’d like to hear an economists’ take on this.
edit: downvotes for curiosity. Kinda sad.
Maybe the closest thing like this would be the New Deal program after the Great Depression.
Why would we flood the streets? Invest the money in public projects, services, etc. People work them as jobs, now we have more middle class - other businesses make money selling them services - the economy grows.
For an example of this working in America look up Franklin D. Roosevelt’s “New Deal”.
Where in the post was this suggested or even referenced? I see nothing indicating “just give everyone lots of money, yay!”, but I do see how the money referenced could be put to use.
Everything you think you know about economics is wrong, and you probably learned it because an oligarch tricked you.
Your comment is bizarrely off-topic.
But anyway, since we’re already off topic, let’s abolish currency and give everyone what they need instead of creating a system that encourages the hoarding of wealth and resources.
“ThIs Is NoT hOw MoNeY wOrKs” <-- take that arrogance to reddit
You’re confounding redistributing money versus injecting money.
Gotta keep people poor so they’re willing to flip burgers for you