Correct. The overleveraged and over financialized system is based on debt, both of governments and most people living paycheck to paycheck. And then blaming them for it. *That’s the business model.* And it’s the deep, structural problem with our economy.
Take current package. @DarrenJBeattie 1.5 trillion could pay for all student loans, no? Make it 2 trillion & you take care of credit card debt. Do it in exchange for shutting down the federal loan system & putting higher ed in hook. Make easy credit harder, not easier to obtain.
The above would help change the structure of the economy (and higher ed) long term. Regardless of what the virus package should be, it’s the kind of thing pols don’t think about b/c not formerly on the table. But we are entering a time in which they must think bolder.
If economy is pushed hard, we go to a more pronounced caste system, or hamfisted socialism, leading to deep unrest. Virus recovery bill will be what it is—hopefully helps small biz somewhat. But as Darren says the way we do this now mimicing the past often doesn’t work well.
Long term, think about gradated debt erasure in exchange for eradicating easy credit. Free people. Take higher ed: their business model is getting people to sign for loans who likely should be for financial reasons alone. That’s what paid for all those woke administrators.
We need to change the structure of the system, not just send checks.
*shouldn’t
