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DJ13

(23,671 posts)
2. Yes
Thu Mar 22, 2012, 12:23 AM
Mar 2012

I've always thought the government (both Bush and Obama) was wrong headed in the way they have dealt with the recession.

The recession is a consumer demand problem, brought about by stagnant wages that finally could no longer keep up with the pricing pressures from the gas prices in 08 coupled with housing costs inflated by a bubble.

You dont fix a consumer demand problem by ignoring the consumers and propping up the top income groups.

The fix was to actively reduce pricing pressures (strict laws to prevent speculating in commodities), and target the government's aid to the lower classes, which would reignite consumer demand far faster than anything they've wasted money on so far.

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