Stimulus 2.0

Ok, I just figured out the perfect way to implement the stimulus, whilst simultaneously dealing with the Mortgage crisis and resolving the credit crisis.

Whats that you say?  This trifecta seems too good to be true?

I Say Thee Nay!

Heres the scoop.

The gummint buys out - i.e., pays for - the mortgages of the 2,000,000 or so people out there who are currently at risk of defaulting on their mortgages.

Before you start throwing stuff at the screen, here me out.

Thats 2 Million people.

At approximately $300,000 per head (on average) on a "What I can't pay on my mortgage" basis, that comes to $600 Billion.

What we do is just pay it off.  Completely.  At one shot.  These people no longer owe  a mortgage.

How does this help?  Bear with me on this.  Each of these 2  Million people now own - free and clear - their house.  That means they are free to go ahead and get home-equity loans on their houses to buy a new LCD TV, a Hummer H2, a new Astro-Turf backyard, or some other remarkably stupid consumerist idea, thus pumping money into the economy, and thus solving the current financial crisis.  And the banks will - quite readily - loosen their purse-strings since this is real cash-money sitting there waiting to be exploited

Thats a *lot* of moolah.  

Yes, that just postpones the day of reckoning. But, we are Americans, which means, we are nothing if not dumb.  We don't worry about tomorrow, if we can make it through today with our Krups coffee mker.

Brilliant, no?  And I thought of it first!