Hey, here’s an idea... Why don’t we just have the government build some new cities... Where will the money come from you ask. That’s easy, we can just borrow it from the Chinese... or simply print it. Yeah, that’ll work!
Actually there is a growing field of Economics called Modern Monetary Theory, (MMT for short), that pretty much makes the case that a sovereign currency, (such as the US dollar), can do just that. Here's a decent primer on MMT
in case you're interested. *hint* You should read and try to understand it.
It must be wonderful to have such a straightforward, simplistic & uncomplicated view of how the world works.
Another option might be to establish an environment that allows American businesses to be competitive in the world, produce goods & services and sell them at a <gasp> profit... and have some money flowing back into the USA for a change.
I think it's more a matter of demand. The economy sucks right now. When consumer demand is suppressed the only alternative is public expenditures. Besides that, banks are sitting on a 1.3T surplus, and don't lend because of incentives that essentially allow them to borrow from the FED at 0% interest and lend it back to the US at 2-3% without risking anything in the process. We subsidize this "rent-seeking" behavior by the banks. Take away the government subsidies and they'll find more profitable ways to invest in small business and some of that public investment will trickle down to the middle class where it's really needed instead of to the top 1-10% of Americans. Even if we do that, the evidence right now is that business is not investing in growth due to lack of aggregate demand, and only the public sector can step in to reverse that spiral in demand from collapsing even further with even longer lasting effects.
What can we produce here in the USA you ask. Well, how about we start with energy. The world needs it, the demand is outstripping the supply and we have a slew of it right under our feet!
Now that's funny! You're gonna start quoting Rush Limbaugh soon as a source if you continue along that avenue. The US gumint has proven oil reserves at 22.3B blls and natural gas reserves at 255Tcu ft.
We are currently importing 9.44M blls
of oil per day. So if we could tap all those oil reserves to completely offset imports, they'd last us about 6-1/2 years at our current usage. We're never going to be exporting it in any significant way. With gas we currently use about 24M cu ft/year so we're much better off with seemingly nothing to worry about for a long time, but check the graph out here
which shows increasing reliance on shale gas as traditional reserves are depleted. Note the trajectory of the lines in the graph. Now google "fracking, water table contamination". Oil and gas exploration are temporary fixes at best for the economy and potentially environmental calamity for those of us who still live locally, unlike the companies doing the exploration/development. Please note all my sources here are US gumint and *gasp* the Nat gas industry site, naturalgas.org, not some commie/enviro sites.
Opening up those resources would immediately create tens – if not hundreds of thousands of new jobs... the speculators (you know, those `evildoers in the caves’ who drove the gas prices up at Bush & Cheney’s command) would see into the future (that’s why it’s called `the futures market’) and start betting, bidding & driving the prices down (you see, it wouldn’t, as the anti-oil, anti-coal, anti-natural gas, anti-anything that works EnviroWhackos routinely claim “take 10 years to reduce prices”).
Here's something I wrote a couple of years ago which countermands your seemingly unflappable belief in futures markets which you should also read called Goldman Sachs and the Great $2.5T oil scam.
Lowered energy costs in America would in turn lower production costs in America on everything that’s manufactured & shipped in America... from cars, to homes, to that loaf of bread...
We agree on this, just not on how to achieve it. We should be subsidizing alternative energy, subsidizing automobile deep charge battery research/production. We could easily cut our imported energy needs by a third in 25 years if we pursued this course. That lack of demand for fossil fuels will do far more than tapping the remaining domestic fossil fuel reserves to support the dying paradign of transportation and energy we currently labor under.
Yeah, let’s put Americans back to work – but not with illusory & negative cash flow `make work jobs’
. Let’s build our bridges & highways with China’s money!
Again, Back atcha. Just substitute "magical thinking" for "illusory & negative cash flow "make work jobs’
", and then substitute "Let's destroy our environment without creating energy independence by pumping and fracking our diminishing reserves of fossil fuels" for your last sentence. GO TEAM USA!