It is no surprise that the economy is not in good shape. The Great Depression back in the late 1920's left the country stunned as hundreds of Americans began to find a home in the infamous "Hoovervilles". The newly elected Franklin Delano Roosevelt used his New Deal policy to try to bring about reform and reconstruction. Who will be the Franklin Roosevelt of 2009?
Based on the chart above the 2008 Financial Crisis appears to be a nightmare for most homeowners. Even the countries in Europe are beginning to feel the pinch of recession. From the 1980's to 2007 the housing prices began to increase rapidly to 200,000 until 2008, when the prices decreased by $50,000. If this trend continues, the the housing prices may decrease another $50,000, or even more. However, if things begin to look up, they will obviously decrease, but how much? As the prices in housing began to decrease, the amount of sub prime homeowners also began to increase. Although, once the housing prices decreased, the amount of sub prime homeowners began to increase even more. In 1990s, there was about four red dots mixed in with the black. Once the housing prices increased and drastically increased, the number of red dots also drastically increased.
It is quite extrodinary how the different countries in the world depend on eachother. Nevertheless, it is not a good thing when one begins to fail. Because there has been a decline in confidence in the banking systems, the United States, European Union, and also the United Kingdom have began to decline. Japan, China, and Russia have seemed to have a hold on their banking system, although it has had it's ups and downs. Currently, it would appear that the United Kingdom (in 2008) has dropped the most while leaving the United States and European Union in the dust. Our country is entering a long recession, and we are all going to feel it. What will be our"saving grace," and when will it happen?

Task one: http://www.cnbc.com/id/29082942



Task two:

Pork barrel is a government project (for example, Roosevelt's alphabet soup) that helps bring about a surplus of jobs (like the WPA) and can also bring about other benefits by making improvements through funds.



Earmark is something that can identify or help distinguish mark or characteristic.

Task three:

House and Senate views on the different projects and how much they are willing to spend differs. As it would seem, both the House and Senate are willing to spend more money on certain projects than others. For example, the Senate is willing to spend more for Energy and Homeland Security while the House is willing to spend more money for Medical, Bonds, Healthcare, and Infrastructure. Based on what they are willing to spend more money in, it would seem that the House refers to spend more money in Healthcare and Medical,w hich can directly help the people whereas Energy can help the environment.

Task four:

The House wants to use the stimulus plan to help aid education while the Senate wants to use tax cuts and help individuals and families. The House is willing to spend more money on electricity while the Senate wants to spend the money on medical research...ect (an idea of prok barrel)



Money will go to a new MTA in Washington D.C and other capitol projects (pork barrel)

However, the stimulus plan has all the earmarks of something great...but it is promising too much and giving hope to many people. Obama is trying to act as Roosevelt did when he used his "alphabet soup" which did help bring a surplus of jobs and bring about prosperity to the country, however many things that are included for the stimulus plan, in my idea are just an earmark. there is too much controversy at the present moment, and for everything to get done. it will take years...and who knows what shape the country will be in at that point.

Stimulus plan: Is it right for our country?

Obama's Plan:
http://www.boston.com/news/nation/articles/2009/01/09/obamas_stimulus_package/


It has been known now, that recently inaugurated President Barack Obama has proposed a stimulus package which is estimated to cost about $775 billion over the next two years. This new package includes heavy tax cuts and a large cut in all of the governmental spending. The tax cuts include to cut taxes $500 for individuals and $1000 for couples. Other points that President Obama wants to hit in his stimulus package are to computerize all medical records in the
next five years, and to help change all educational facilities around the United States to a modern classroom environment. He also wants to expand the internet around the country and start to invest in science, research and technology, just as John F. Kennedy did.

Opinions:
http://blogs.tnr.com/tnr/blogs/the_plank/archive/2009/01/10/team-obama-exlpains-stimulus-krugman-galbraith-not-buying.aspx


The basic idea of President Obama's stimulus plan is to create jobs, since the United State's has come face to face with their own recession. However, the conservatives are arguing that the stimulus package would "fatten" the rolls of the government employees. "...nine out of every ten new jobs will be in the private sector." Paul Krugman feel thats this new economic stimulus is not providing enough for a succesfull recovery. "The plan looks to weak." Another major point that is pointed out in this particular article is that, that chart shown estimates that unemployment will peak about 9%, however, how can they be so sure that something like this may actually happen? "We don't. It's a guess. Essentially, it's a guess made by a technician with a computer."

The main question is not, what will this new stimulus package do for the country, but what needs to be looked at is if this package is fit for THIS particular crisis.