Thinking out of the box.........

This post will be real short. That's because it's a reaction to something I read and I need to do more research to make sure my idea's make sense. As you can see I'm willing to speak before I have all my facts straight. It seems all the rage these days especially in politics.
Oddly enough I'm going to comment on Ben Bernanke and his plan to pump $900 billion into the economy to create additional liquidity. He's going to start by purchasing $600 billion in Treasury's in an effort to keep interest rates low which should spur banks to lend and business to borrow so that they expand and hire new workers so that unemployment or underemployment decreases which will give us, the general public, the confidence to spend and save the economy, again!!!
Ben, haven't we tried this already and no one showed up?
The last time we tried this the banks took the money and held on to it. I assume they still have it since they just wanted to shore up their balances sheets and continue with business as usual which is why they are making great profits now at everyone's expense. Ben, didn't you find that embarrassing the last time? Is it necessary to do this again? Have you checked the world press today? They think your nuts because this policy will destabilize the world's economy's and cause inflation. Inflation may not be very harmful at this point but if your policy creates a cheaper dollar or on the flipside more expensive foreign currencies then won't it cost us, the American public---the Main Streeters more to buy goods since just about everything we buy is from China, Japan or a handful of European countries? What are you thinking?
Since I'm not an economist I could be wrong. But isn't it also true that every move you make is being telegraphed to the fixed income Wall Street crowd? Won't they be able to know what you are doing before you do it? And won't they be able to buy the securities you want to buy before you buy them and at a lower price so they can sell them back to you at a higher price?
This is completely nuts!!! Even Paul Volcker thinks so!!!
If you want to stimulate the economy put the money where it belongs and will do the greatest good. Try something new!!! Put the money on Main Street. Instead of helping the financial fat cats, help create a new breed of bank right on the corner of the only street light in town. Foster the creation of state owned banks! I believe there is only one in the entire country in either North or South Dakota. It lends money to small business' and other local borrowers who are trying to put the money to a good use locally and which can create jobs locally. Help all the states do this on a permanent or temporary basis so they can get the money flowing even though the big banks are not inclined to do so. Why continue to enrich the very people who don't need it right now? Doesn't this make more sense? And to get the money Downtown even faster you can foster a synergistic relationship between the SBA and these new State Banks!!! With the ability to borrow low interest rate funds from the Fed and an SBA with a new purpose we can create a financial dynamic outside of the traditional banking system to invigorate the economy in thousands of local towns and neighborhoods and create hiring and wealth through smaller local business'. These funds can also be used to spur creation of start-ups of green companies who want to manufacture or assemble wind turbines and all their other parts. Solar panels, energy efficiency contractors(lot's of construction workers out there can do this), wind farms, geothermal projects and so much more. These manufacturing activities are now being done on a massive scale in China, Germany, Spain, Brazil and other countries. We need more manufacturing jobs here dammit!!!. Don't you get it?
I said this would be short, I'm sorry, I was wrong. As I said at the beginning, I am not an economist and I need to do much more research on state owned banking. When I do I will be back with a better plan. Until then I hope, Mr. Ben Bernanke, that this gets to you somehow and you reconsider shelling out $900 billion to the wrong people.
I'm just saying.....
Allen Bauman

P.S.: If anyone does actually read this blog and agrees with me please pass it on through your social network so that they can let Ben Bernanke know what they are thinking. I'm interested in hearing opinions also......Thanks