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Published - Thursday, September 04, 2008

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Editorial: Rebate checks disappear into economic ether

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We’ve all received our tax rebate checks and spent them.

Now what?

It appears that the economic stimulus checks didn’t accomplish much. No sooner were the last checks mailed than the Commerce Department reported that retail sales dropped by 0.1 percent in July, the weakest performance in five months. The checks -- gobbled up by rising food, energy and health care costs -- were nothing more than a quick-fix measure, and the buzz has already worn off. The hangover, of course, still awaits. Every penny of the $100 billion was tacked onto the national debt.

Should anyone be surprised? The stimulus checks were the ultimate form of bi-partisan, free-lunch politics designed to get scared officeholders through another election. Can’t we do better? There was nothing wrong with a stimulus package -- such packages are often necessary during economic slowdowns. Instead of rebate checks, however, the money could have produced:

*Transportation projects. Not only does America need to repair its crumbling roads and bridges, it also needs a commitment to mass transportation. For example, America has very few miles of light rail, but a system of light rail can replace connecting airline flights that clog so many of the largest airports. What makes more sense, a connecting airline flight from La Crosse to Minneapolis, or connecting light rail service?

*Safer dams. Thousands of dams across the United States, including many in western Wisconsin, either must be fortified or torn down. Either way, it costs money to make them safe, and there’s no reason to wait for the next flood to fix them.

*Water and sewer upgrades. Perhaps nothing distinguishes an advanced nation from a developing one more than access to reliable and clean water. If we continue to neglect our water and sewer systems, it’s only a matter of time before one of them bursts into the headlines as an expensive public health risk.

*Alternative energy. It’s clear that the era of cheap oil is over and that alternatives to finite carbon-based fuels must be developed. The same nation that pooled public resources to develop a nuclear bomb and send a man to the moon can certainly develop clean, renewable and affordable alternative energy.

Instead of building infrastructure, Congress wasted $100 billion on checks that have already disappeared into the economic ether. The next time, let’s spend stimulus money on something that lasts beyond the next election cycle.
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Dugan wrote on Sep 24, 2008 9:18 PM:

" As of a week or so ago, it's been estimated that only 20% of all the money from the rebate checks has been spent. That additional spending did help the strong 3.3% GDP growth in the second quarter, however. Second, infrastructure projects are not good economic stimulus. They have a low multiplier affect and simply take too long to get the money flowing through the economy. Third, some of the categories listed as infrastructure already see a large amount of investment from private and state sources, so some additional federal money wouldn't make the impact some seem to expect. "

Bozos wrote on Sep 13, 2008 3:49 PM:

" " Well let's look at what the democrats have done for over 20 years. They have blocked ............."
Take a look at who was in control of the House and Senate the last 5 Congress'. It wasn't the Democrats. So it may be all those things weren't that popular to anybody.

Mayor of a city of 4,000 people, governor of a state with a population less then 13 cities in the United States, and chair of the Alaska Oil and Gas Conservation Commission. Boy what an executive resume. Ed's still got more years in then she does.

It's Reagan with an "a" and trickledown works? Oh that's right $5 million a year is Middle class. Give me a break.

Chris, as your riding your 4-wheeler, driving your boat around, hopefully using your snowmobile this year and driving your 4x4 or SUV around by yourself to work maybe you'll find a place or better yet volunteer your backyard for the spent fuel rods from the nuke plant. "

Chris King wrote on Sep 11, 2008 4:01 PM:

" Yeah, remember Chernobyl? The tragic accident that happened two decades ago!

As if the technology and safety of nuclear power has not improved since then.

Next... "

can you rememeber wrote on Sep 11, 2008 12:21 PM:

" chernobyl? "

REThe Republicans got the experience and so does Tomah wrote on Sep 9, 2008 6:20 PM:

" Well let's look at what the democrats have done for over 20 years.


The have Blocked "nuke" power because of one stupid movie and the whacko's (meanwhile socialist France has built them)

They have Blocked Drilling Oil and building refineries and now we have had $4.00 a gallon gas and we are Dependant upon countries to supply us with oil that hates us

Still today they are Blocking OIL SHALE from the Green river area that has more "Oil then Saudi Arabia...

They have Blocked most Natural Gas drilling although we have enough Natural Gas for 300 years.

They are blocking New Transmission lines for Windmills right now, what good is Producing Wind mill Energy if we can't transmit it

They and some Stupid Repubs put BILLIONS into Ethanol which was a disaster but made a lot of money for certain lobbyist, and Obama actually sponsored a bill with Grassy and Luger to make it worse

The have lied about Man-made Global warming and created a "CULT" of believers all while bashing "religious people" which in effect require "Faith on both parts"

They repealed banking laws in the late 90's that have totally messed up the financials BIG TIME. Hence the mess today with the Banks, Also wanted more poor people in houses and guess what THE HOUSING BUBBLE HAS POPPED

Certain Democrats mismanaged Fannie Mae and Freddie Mac(ie Jamie Gerolik, and the guy connected to Obama that resigned a couple of months back)

There should be investigations at to what happened to Freddie and Fannie this will cost us 2 trillion dollars before it's over with, Why did we throw people from ENRON in jail and we Do nothing for those CRIMINALS that run Freddie and Fannie

Y2K was another lie to pump up the economy from 1998 on to 2000, complete fabrication.

The road to 9/11 run right through the 90's and Clinton and the rest of the "Nuanced" democrats did nothing, absolutely nothing...

This list could go on forever. I might add the "country club republicans" are just as bad, this is why we need to get back to Reagen Conservatism "

Chris King wrote on Sep 8, 2008 9:16 AM:

" Re: Republicans got the experience...

Let's remember, with a all due respect, Ed Thompson got his rear kicked in his contest for Governor!

Palin has been Governor for over a year and a half. She has more EXECUTIVE experience than any other POTUS or VP candidate, including McCain. "

curmudgeon wrote on Sep 7, 2008 4:57 PM:

" I recall back in 1976 or so, Wisconsin gave back $300 to all taxpayers, and the next year the state was short on funds to repair highways. No one person can do much with $300. A state or nation full of persons with $300 can accomplish a lot, like keeping up the infrastructure. If we paid no taxes at all, what would get taken care of?

Prices can go up but taxes can't. No more taxes -- are we wise enough to survive in such a society? We can trust business and all it Enrons but we can't trust elected officials we can throw out at the next election -- or impeach before then. Go figure. "

The Republicans got the experience and so does Tomah wrote on Sep 6, 2008 5:54 PM:

" Let's cut the gas tax too so more bridges fall apart. And give every Alaskan $1200 instead of using the money for infrastructure in the state. Oh that's right the eamark money for the "Bridge to Nowhere" that wasn't built, but the money kept by Alaska, can be used for that.

Just think Ed's got the type experience you need for VP. "

Re First off wrote on Sep 6, 2008 11:08 AM:

" I agree with this article on how Wisconsin waste Federal Transportation Funds. One is the highly subsidized Share The Ride Program. This is the program the City of Tomah believes is such a great idea. Wisconsin thinks every city, town or village needs 6 fully loaded vans for 24/7 cab service. Never mind that many of these communities already had cab service. In my opinion, that program is going to end. It was just reported today that the federal transportation fund is broke. The $8.3 billion projected gas tax revenue came in at $8.1 billion, (less driving) and it is all spent. Lets see how many of these share the ride programs survive without that 65% subsidy. "

Brian wrote on Sep 5, 2008 6:31 PM:

" Now what? The Barracuda lady and McTitedOld Fart will enter the White House and teh world is plunged into World War III. "

First off the States get money for Infrastructure wrote on Sep 5, 2008 2:17 PM:

" States get Billions of Dollars from the Feds especially for "INFRASTRUCTURE" But let's address the real problem the STATES have taken that money and put it to other programs not associated with INFRASTRUCTURE......

I say how about Doyle open the books and show specifically where each and every dollar has went since he's been in charge, we all know he has been robbing that fund since his was sworn in.

Your whole article is so DISINGENUOUS ITS DISGUSTING.

For you to complain we should have sent a Hundred billion to the states to be MISAPPROPRIATED AS USUAL that's priceless

There is NO "CHECKS AND BALANCES" when Highway money is sent to the STATES, NONE nobody says hey what happened to all the highway use money for the last 20 years????Maybe it's time to hold State Governments accountable maybe it's time to start showing where every dollar is wasted


The problem is not enough money the problem is "MONEY AND THE CORRUPTION OF STATE AND LOCAL GOVERNMENTS" Not to say the money that the FEDS throw away on needless projects


How dare you blame the Feds for the lack of control when your state gets a big check to fix roads and it's used for the state Governments pet projects

As far as alternative Fuel what a joke. First off look at the hundreds of billions throwed at Ethanol over the last 30 years and you complain about high food cost well DUH when you take 25% of the corn crop out circulation to support a less then genuine ETHANOL program with very little if any real results that's NONSENSICAL

We should have spent that money on CNG that is a technology that is proven and affordable and we have abundant natural gas reserves that of course we cannot use also we could not DRILL OIL in PROVEN AREAS.

This whole myth that we have all these alternative "GREEN ENERGIES" available is just a huge LIE.

But until we develop them we have resources that we should be using until the technology does come available

It's time to act as adults and handle this situation like adults and recognize that we need to open up all fronts for all sources of Energy

The fact that we stifle Drilling and refining and then expect other countries to supply us with these much needed Resources to expand our economy and supply the needs of Americans is astounding.

Let's think like real ADULTS and real AMERICANS let's DRILL, DRILL, DRILL and pressure The big 3 to make Natural Gas vehicles NOW this would greatly help and help the SO-CALLED environmental problems.....


Obama talks about getting off Foreign Oil in 10 years but his ideas are to basically do nothing or invest into unproven technology, how about we use proven technology until we develop these pie in the sky dreams.

The fact that people have drastically cut driving will show up with the federal highway fund, because the more people drive the more money is taken in...So if we drive less there is less money the States will get.....How can an economy expand if were trying to cut oil use. No one has taken the time to think this out at all. This will impact the state coffers

OBAMA still means knee jerk liberal reactions that sound great to those that cannot think in future terms.

HEY OBAMA LOOK UP CNG "

Wakeup wrote on Sep 5, 2008 8:22 AM:

" I finally agree 100% with an editorial in this paper. I gladly accepted the check, but I knew at that time that it was a ridiculous, election year debacle. Although, for me, and I would assume many others, most of the check is still in the bank. "


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