Tuesday, October 27, 2009

Stimulus Money Is Not Stimulating Enough for Business

There is no decent bank credit available as the result of the stimulus so far. Banks who were “too big to fail” were given funds to help clean up their books but do not have enough, nor have they the inclination to make sufficient loans to meet demand.

The Obama Administration was hoping stimulus money would be spent quickly to boost the economy. That hope has been a complete failure.

Treasury and Federal Reserve officials in charge are great bureaucrats with wonderful resumes. But they have one common failing. They contribute little hands-on business experience. They cannot imagine the mindset of a small, successful businessman with a few or perhaps fifty employees who needs bank funds and cannot find ANY bank with funds to give.

No comments:

Post a Comment