I propose a 60% / 40% split between tax cuts and infrastructure projects repsectively.
The 40% that would go to infrastructure we would require language insuring fastrack approval of all valid projects, which would go to a private contractor within any given state. The contractor who receives the contract will be chosen by the States Legislature with consent of the Governor. The State will have an open bid process where the local citizens can see the business and their profiles, allowing them to influence their State legislatures in the desire they choose. The work would have to take no longer 2 years, unless they continue without money from the federal economic stimulus plan.
The 60% percent that would go to taxes would be a progressive tax cut across the board. Now I know what you are thinking, this is a good progressive thing. We would lower all of the tax rates, drop income tax rates by 25% and the corp 10% and so forth (I would need a good mathematician to work this out for me, but it’s the idea I am selling, not a detailed plan…works for Geithner..). In addition the tax bracket of he income tax would be slightly progressive in nature cut the lower incomes at a higher rate then the higher incomes, clause out the small business reporting as income, this would create wealth at all levels and still satisfy the idea of equality. Now I know that this won’t win us bipartisan support, but it will show that we tried, and it is not as destructive as other options and can be changed later.
I believe these two things would jumpstart the economy and create private wealth to everyone in the nation no matter the income level. This could be used to bring targeted, timely, and temporary stimulus to our nation. We are 7 months into the recession (can’t cite this right now, heard it today somewhere) and the fact is that we may start out of this slump naturally pretty soon. Even with today’s jitters in the market I still think we are near the bottom and the signs of growth are just over the horizon.
This plan would more than likely speed up a healthy economy, and I think it will also have the capability of saving our sick economy. Then again, I ain’t no economist, just a simpleton who has had to deal with some tight budgets. What do I know?