Replies to post #76238 on Intel Corp (INTC)

[Elmer Phud]

Please don't turn this into a flame war.

Discuss ideas, don't insult others.

[Sarmad]

w,

Let's start fresh. Consumer spending in the US economy is expected to decline by $500B this year.

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(based on $10T drop in household wealth. And 5% drop in spending, based on models of past behaviour).

http://www.forbes.com/2009/02/05/spending-housing-equity-opinions-columnists_0206_bruce_bartlett.html
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Basically, this means US corporations will have $500B less domestic revenue. I am not sure whether this wipes out all profits, or not. I would appreciate a pointer to that aspect.

The issue is whether government spending can offset this revenue loss. Maybe it can, this year and next.

The next point is whether consumer spending will revive after that. Without that revival, the unemployed will not be rehired by the private sector, because there won't be funds to pay them.

For me, a relevant discussion has to focus on that issue. I think as long as house prices continue to decline, consumer confidence cannot be restored, and recovery cannot happen.

The so-called Stimulus is meant to keep employment up, while some solution is found for housing. (which is the root of the bank problem).

[Tenchu]

Beamer, > Do you think you can try to come up with some independent thought for a small time, instead of regurgitating Republican propaganda?

I have a great idea. How about the supporters of this bill prove to me that most of its elements have the characteristics of a "stimulus"? After all, I'm a taxpayer, right? I have a right to know where my tax money is going and to demand more than just "Trust me, I know what I'm doing."

All I've seen are the following two requirements put forth:

a) It puts money into the hands of working people.

b) It benefits society in some way, even if it is just to save some endangered mouse or reduce CO2 emissions.

That's not "stimulus," that's socialism. If that's where this country is headed, fine by me, but you have to admit that socialism can never be sold to the American public if it was labeled as such. Instead, it has to be labeled in more American-friendly terms, like "stimulus."

I guarantee you, by the way, that once we have this socialism in place, the ones who will be saddled with the bill are going to be the most successful people and the most successful companies. For example, Intel.

Tenchu

[tecate]

Well I wish we got a stimulus check but we didnt.. I would love to be stimulated ;-) especially by check.

[mas]

http://finance.yahoo.com/news/Finding-the-Pork-in-the-Obama-usnews-14418781.html