Economy WILL NOT improve until unemployment (the real unemployment number that include those who are underemployed and/or given up) improves drastically. Until then, I dont care what anyone says, the economy is going to struggle.
People cant spend money they dont have. So that slows down the movement of money which grinds the economy to a halt.
This is economics 101, folks.
The faster a dollar moves through the economy, changing hands, the better the economy.
If the government confiscates cash (taxes income) the velocity grinds to a halt.
It is Economics 101.
The government does not "create jobs." All it ever does is put up obstacles, provides dis-incentives to employers to hire employees.
You don't have that exactly right. What I think you mean is that...
People cant spend any more money they don't have because their credit card limits are tapped out or the interest rate on those cards is now so high they can barely afford the minimum payment much less speding more money that they dont have.
In other words, Americans are natorious for spending money they dont have. Their credit limits are just maxed out now.
People cant spend money they dont have. So that slows down the movement of money which grinds the economy to a halt.
This is economics 101, folks.
And the solution is real tax cuts for all businesses and individuals, not government spending.