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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsJust got this from a friend..........
It is a slow day in the small Saskatchewan town of Pumphandle, and streets are deserted. Times are tough, everybody is in debt, and everybody is living on credit.
A tourist visiting the area drives through town, stops at the motel, and lays a $100 bill on the desk saying he wants to inspect the rooms upstairs to pick one for the night. As soon as he walks upstairs, the motel owner grabs the bill and runs next door to pay his debt to the butcher.
The butcher takes the $100 and runs down the street to retire his debt to the pig farmer.
The pig farmer takes the $100 and heads off to pay his bill to his supplier, the Co-op.
The guy at the Co-op takes the $100 and runs to pay his debt to the local prostitute, who has also been facing hard times and has had to offer her "services" on credit.
The hooker rushes to the hotel and pays off her room bill with the hotel owner.
The hotel proprietor then places the $100 back on the counter so the traveler will not suspect anything.
At that moment the traveler comes down the stairs, states that the rooms are not satisfactory, picks up the $100 bill and leaves. No one produced anything. No one earned anything...
However, the whole town is now out of debt and now looks to the future with a lot more optimism.
And that, ladies and gentlemen, is how a Stimulus package works.
Hoyt
(54,770 posts)On positive side, what if several tourists arrive? More questions arise, but the likely answers are depressing.
My lady friend today said that not only will she tell medical people to take no heroic efforts to save me, but she will tell them to make no effort at all. . . . . . .
CaliforniaPeggy
(149,595 posts)Glad you enjoyed!
I think you should have every effort made in order to save you.
After all, you saved my thread from the ignominious fate of no responses...........
Solomon
(12,310 posts)CaliforniaPeggy
(149,595 posts)oasis
(49,379 posts)CaliforniaPeggy
(149,595 posts)FailureToCommunicate
(14,013 posts)DENVERPOPS
(8,817 posts)if it is sent to your bank, like most will be, Trump is allowing the Bank to take the money and apply it towards any debt you owe them.....I would hope I didn't have a car loan or mortgage with that bank if that bank wants to interpret it that way......
sandensea
(21,625 posts)But these days, it's just...
PufPuf23
(8,769 posts)putting $$$ into corporations.
Granted there is the modest stimulus check many get.
CaliforniaPeggy
(149,595 posts)My friend is a Republican and I sometimes wonder if she's making a right-wing comment with the way the joke ends.
PufPuf23
(8,769 posts)To say nothing of putting taxpayer dollars right into Cheeto and Price Jared's pockets (the depreciation and pass-through cap eliminations Cheeto had the GOP sneak into the bill at the last minute).
His ransom, really.
Bernardo de La Paz
(49,000 posts)... has benefits 85% of which go to millionaires by taking away a restriction in the 2017 tax giveaway. This affects their 2018 and 2019 tax returns.
The economy runs when money is in motion. Injecting it into bottom rung of consumers put it immediately into motion. Giving it to the 1% means it gets parked in real estate and investment art.
PufPuf23
(8,769 posts)stimulus in CAPeggy's scenario not the Trump stimulus you mention. As you state, the Trump stimulus stimulates the top and not the bottom (consumers).
I 100% agree with you.
Bernardo de La Paz
(49,000 posts)FoxNewsSucks
(10,429 posts)from an episode of Corner Gas
Baked Potato
(7,733 posts)Roy Rolling
(6,915 posts)Im a math nut, and natural skeptic.
Everyone feels better except the hotel ownerthe $100 eventually paid to him by the hooker was snatched by the tourist. He didnt get to keep it.
Great story, though. And stories are how to give hope, sometimes false hope. The cuteness of the story hid a fatal flaw of logic. Its the same way Trump deceives people by saying China pays the U.S. billions in tariffsits intuitively true but mathematically flawed. And because he cant tell the difference he has multiple bankruptcies from deluding himself.
CaliforniaPeggy
(149,595 posts)That flaw made me put the last sentence in bold. I wasn't sure it really worked.
Roy Rolling
(6,915 posts)I didnt want to be a smart ass. But if you agree, Then I know my math is correct.
But a bigger point evolvedhow things that seem so correct intuitively can be at odds with reality. Its one of Trumps favorite propaganda tricks.
My current rant: we need to stop saying open and reopen, that is Trump framing. States dont open or close like an amusement park or jar of mayonnaise.
The words open or close make the event seem precise and simple, when in fact it is staged and messy. That bastadization of the language is another Trump propaganda weapon.
Tommymac
(7,263 posts)Kablooie
(18,628 posts)Which is what he would have done with it if the tourist didn't show up and the Hooker had paid her bill herself.
So it works out.
Alwaysna
(574 posts)coti
(4,612 posts)over services or goods that had been provided.
Heartstrings
(7,349 posts)CaliforniaPeggy
(149,595 posts)benld74
(9,904 posts)CaliforniaPeggy
(149,595 posts)stonecutter357
(12,695 posts)Joinfortmill
(14,417 posts)Talitha
(6,582 posts)Thanks Peggy, this is pure gold.
Ok if I spread it around a bit?
There's a few people I know who would love it!
CaliforniaPeggy
(149,595 posts)Of course you may spread it around! After all, I took it from my girlfriend so all of you could see it!
Talitha
(6,582 posts)CaliforniaPeggy
(149,595 posts)She is a Republican!
pengillian101
(2,351 posts)intrepidity
(7,294 posts)For each of those transactions, the government expects to be paid income tax
That $100 will have been taxed multiple times on the way back to where it started. That just seems wrong. But then, I'm no economist.
jmg257
(11,996 posts)And no one owes more then $100.
Imagine if the hooker wanted to eat too.
And the hotel guy needed food AND electric.
And the butchers freezer broke down.
And the pig farmer needed...whatever pig farmers needed.
kentuck
(111,083 posts)logosoco
(3,208 posts)and I am certainly not a germaphobe, but I kept picturing germs spreading on that $100 bill!
KY_EnviroGuy
(14,490 posts)Suddenly one sunny day, a hooker in the small Saskatchewan town of Pumphandle has an epiphany caused by watching Little House re-runs on TV and decides to take a humanist view of life.
She runs to the guy at the Co-op and tells him because she misrepresented her abilities numerous times, she's forgiving his $100 debt and he can consider her past services a gift of love.
The Co-op man takes this moment to heart, runs to the pig farmer and admits he's overcharged him for years for low-grade feed and forgives his $100 debt.
The pig farmer takes this moment to heart, visits the butcher and admits he's been in cahoots with the weigh scale man for years so he received less pork than he thought and forgives his $100 debt.
This event bring forth an epiphany in the butcher that he's been watching too much Fox-Canada and should make amends with the motel owner, to whom he's sold inferior cuts of meat for decades.
The butcher visits the motel owner, apologizes for his corruption and forgives his $100 debt. This shakes the motel man to his very core.
A tourist visiting the area stops at the motel and to his surprise the motel owner offers him two free rooms for the night if he will cater to the other businesses in town. The visitor whole-heartedly agrees and brings his extended family in from his van.
The visiting family loves the town and stays for a full week, spending their entire vacation budget of $1,000 within the town, including big meals at the motel's restaurant, sausage to take home from the butcher, big bags of chicken feed from the Co-op and the family's lonely uncle sneaks in two late-night visits to the hooker.
The town is now out of debt and $1,000 more wealthy. The vacationing family is happy and will return next year.
That, ladies and gentlemen, is how humility, honesty, and a healthy community works.
KY...............
CaliforniaPeggy
(149,595 posts)Thank you for your imaginative re-telling!
KY_EnviroGuy
(14,490 posts)which gave me chance for a good dose of humanist thinking and emotional release in writing it.
Excellent way to gain a little peace in this age of tremendous turmoil.
KY.............
mathematic
(1,439 posts)malaise
(268,960 posts)Perfect - full circle
Celerity
(43,333 posts)have been completely dispensed with (not needed at all) if the parties in the exchange circle simply got together and agreed to cancel out their debts to each other.
There was no net economic activity as each person had a 100 USD debt and a 100 USD asset (the debt owed to them.)
It is a bad example of macroeconomics as there are no explanations for the pre-existing state of the system, either from exogenous or endogenous forces. It implies that town is closed loop internal system, which is impossible, as the town cannot consume more than it produces under a system of purely internal debt.
WhiskeyGrinder
(22,328 posts)Bernardo de La Paz
(49,000 posts)nolabear
(41,960 posts)pandr32
(11,581 posts)Who should I credit if you say yes?
CaliforniaPeggy
(149,595 posts)That's what I did!
keithbvadu2
(36,784 posts)Where is the tax break for the billionaire so it can trickle down?
Don't eat the yellow snow.
ThoughtCriminal
(14,047 posts)Apparently this is why every town needs a prostitute.
But in that case, the hotel owner has to come up with $100 but really is no worse off than when he owed it to the butcher.
rurallib
(62,410 posts)marieo1
(1,402 posts)We all know this.........thanks for sharing.
Pluvious
(4,310 posts)... The bill being contaminated with C19 and infecting the whole town.
( I read too many fiction stories heh )
Grins
(7,217 posts)As usual it was simple answers to simple people on complex problems.
CaliforniaPeggy
(149,595 posts)I'm sorry to hear it was used against Obama.
Sloumeau
(2,657 posts)Keynes believed that economics largely revolved around demand. Now demand is not just people wanting stuff. It is also about people having the ability to buy or barter for stuff. It is why FDR created the WPA and the CCC so that regular people would have jobs, get important stuff done, and then have money to buy things like food and clothing. It is why Bill Clinton created a massive infrastructure program. It is why Obama created a $787 billion stimulus package. It is always why Trump singed a stimulus package worth over $2 Trillion. When the economy crashes, only Keynesian Demand-Side Economics makes the economy move again, and you can tell Supply Side Economic Republicans to go pound sand!
marble falls
(57,079 posts)bucolic_frolic
(43,144 posts)Who knew?
BobTheSubgenius
(11,563 posts)A little story to bring a smile and a bit of understanding to those who need it.