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If we are going to keep "the kicker" I think it should be based upon a rolling average of deficits and surpluses over the business cycle (e.g., seven years.)  If there is an average surplus above 3% over seven years, then 1/7 of that amount could be rebated.

Michael D.

posted 2 years, 2 months ago
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Since the banks aren't making loans, I think that the $200 Billion should be used to loan to small business or homeowners with good credit who can't get a loan.

The bigger issue is that we should be looking at how to stimulate employment with the cost to be distributed into the future.  One way would be to have an employment tax credit such that for every employee hired beyond a certain date (e.g. November 1st, 2009) and who is still hired in 5 years, the employer would get a rebate of the 1/2 of the employer portion of the payroll tax in 5 years.  Another possibilty would to condition the investment tax credit to only apply to capital goods at least half of whose content would be made in the USA, - again with some of the credit to be paid in the future.

posted 3 years, 5 months ago
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