Saturday, March 7, 2009

On what would you spend it?

DISCLAIMER: this is not a political blog. This is a real estate blog. Sometimes that focus broadens to include economics. Economics is unfortunately laden with politics. I hope that justifies the apparent crossover. Thanks.

The President says that tax cuts are not going to help our economy. Wow. Apparently I could have gotten into Harvard and earned a law degree because today, I am smarter than President Obama.

Let's say you earned $100,000 in 2008. On 15 April of this year you better be ready to pony up at least what... $25,000? Now, to illustrate the point, let's say that Harry Reid called you tomorrow and said, "Hey dude, just keep the $25K." What would you do? Shove it under the mattress? I bet most folks would spend all or most of it. Heck, even Dave Ramsey would spend it on a "growth stock mutual fund."

Want to know what the Odens are putting off as we wait for revenue to increase?

  • $6,500 in new fencing for our cool Murphy pad
  • $3,500 in Granite-type counter tops for our cool pad
  • $11,000 in a new used car for J.T. to peal around the City in style
  • $4,500 on a nice domestic vacation
So, there's $25,000 I'd love to pour into the local, state, and regional economy. Now, if I'm right, how much of our economic woe would that effect alone cure?

Nope... tax breaks wouldn't have any positive effect on the economy, Mr. President!! Respectfully, sir, that's a worse misunderestimation than anything Geo. Bush EVER did.

This post was inspired by this article:
Obama warns of need for stimulus bill right away

P.S. Better Ideas:
Dave (pdf file)

FACT: Folks are still buying and selling everyday.
FACT: Lenders I work with have plenty of money left to lend.
FACT: We are in fact still in a buyers market--prices are steady to flat, inventory is respectable, but foreclosures are up.

For a foreclosure list that is updated several times an hour, go to the Powerpage on my website at

1 comment:

JTOden Realty said...

Sen. Cornyn’s Amendment To Lower Income Taxes For All Texans Blocked By Democrats:

Apparently I am smarter than Prsedident Obama, but not smarter than Senator Cornyn.