What we need in Stimulus. Send it to Congress and Obama

[Raju Sheth]

Government should send each person a Tax Credit Rebate Voucher of 5000 per person. It will need 1 Trillion Dollar Rebate Voucher. The Voucher is a 25% rebate for any expense made at establishment of over 1000 dollars. For example if you buy a 1000 dollar computer you can use 250 dollars out of this voucher. This vouchers are good only for 2009
This will genearte a boom for the economy. It is basically everything on sale at 25% discount. Problem with giving money to individuals are either they save them or they buy things which they were going to buy no matter what. That does not help increase the economy. For example if i am planning to buy a car next year, i see that i can get an extra 25% rebate I will buy it this year. Furthermore it will bring lot of money which people are sitting on worried and not spending.
Consider even if only half vouchers are used that is 500 billion but it will bring 2 trillion of the money out from people hands in the market which will generate lots and lots of job. The 2 trillion money coming in the market will create revenues for government in form of sales tax and income tax offsetting the cost of this whole stimulus
This way no defecit spending and economy getting the best in less then a year