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Decision to Close Plant Casts Toyota in Unfamiliar Role
California officials say as many as 40,000 jobs could be lost after Toyota closes the plant in Fremont, Calif., where it builds the popular Corolla sedan and a small pickup, the Tacoma. And the U.A.W., which accused Toyota of callously abandoning its workers, criticized it for shifting Corolla production to Canada and Japan after millions of dollars in cash-for-clunkers rebates from the United States government caused sales of that car to surge.
If a $3 billion Cash for Clunkers Program somehow ultimately helped Americans lose 40,000+ jobs then I suggest that we simply institute a reverse policy.
A $3 billion Clunkers for Cash Program could theoretically create 40,000+ jobs!
That's not all we could do though. When used together the two programs could become a monster success story.
The Cash For Clunkers and Clunkers For Cash Program
1. Trade in your clunker for cash.
2. Use that cash to buy your clunker back.
3. Repeat forever!
Long-term sustainable economic activity, that's what I'm talking about.
That's not all. We can improve it. If we got the Banking System involved to add much needed leverage to the equation, just imagine how fast our GDP could grow!
The Leveraged Cash For Clunkers and Clunkers For Cash Program
1. Trade in your clunker for 30 times its value in cash (29/30ths is a loan).
2. Use 1/30th of your cash to buy your clunker back.
3. Use 1/30th of your cash to make minimum payments on the loan.
4. Use 28/30ths of your cash to buy consumer staples and discretionary items.
5. Repeat a few times!
Gosh, I sure hope my math works out. I might be thinking a bit like a politician. You know, short-term knee jerk reactions based on back of envelope math calculations and a gut feeling that something needs to be done.
Ten Economic Questions for 2025
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Here is a review of the Ten Economic Questions for 2024.
Below are my ten questions for 2025 (I've been doing this online every year
for 20 years!). These...
2 hours ago
4 comments:
"1. Trade in your clunker for 30 times its value in cash (29/30ths is a loan).
2. Use 1/30th of your cash to buy your clunker back.
3. Use 1/30th of your cash to make minimum payments on the loan.
4. Use 28/30ths of your cash to buy consumer staples and discretionary items.
5. Repeat a few times!"
This is just crazy enough that it may work, I'm sending a copy to all members of Congress in hopes of immediate action.
You sir may have just saved the republic!
watchtower,
"You sir may have just saved the republic!"
It was actually my intention to "loan" the republic.
Damn those unintended consequences!
Jesse, of Jesse's Cafe Americain, is still dropping the notion that a bank holiday this fall will be put in place during which the banks will be "restructured". I would give this idea more credence if I had any idea what kind of restructuring we are talking about. Regardless, keep some cash and some metals handy. Plus SPAM and toilet paper, the soft 2 ply kind.
GYSC,
I can't offer much insight on that but I can offer a joke my dad told me many years ago.
Men, I know the war's been tough on you and I know that you've all been promised a change of underwear. Today is your lucky day.
Tom, from this day on you'll be wearing Fred's underwear. Fred, you'll be wearing Sam's underwear. Sam, you'll be...
That's exactly what our banking system needs. We'll no doubt be getting some serious "change" and restructuring. ;)
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