Most Needed:The Consumer or Stimulus Bill?

Last night, Barack Obama gave a more optimistic speech concerning the economic crisis in our country. Obama said, "We will rebuild, we will recover, and the United States of America will emerge stronger than ever." The Chicago Tribune this morning said that "consumers were the most important audience" because "[Obama's] policies won't be effective unless confidence is restored." Obama 's optimism was meant to encourage consumers to be more confident in the economy and more willing to consume. The 787 billion dollar stimulus package will help, but the consumer needs to contribute as well. The more people begin to buy, the faster the economy of our country will recover. The consumer needs to take responsibility to help America out of this recession.

In class we talked about the trade-offs of capitalism. In our country, many people are losing their jobs or having their salaries lowered. Because of this, people are beginning to save more and spend less. But there is a problem with this. The consumer needs to be active so the stimulus bill will be more effective and can help our country out of a deep economic rut. If consumers do not begin to buy, more companies will suffer and the stimulus bill will have minimal effect. Obama made his speech particularly optimistic hoping America would feel more comfortable spending money, which should help our country move towards economic recovery.