Don't Get Uncle Scammed

As Wall Street's greedy Capitalists call for more Socialist-style (i.e. taxpayer) bailouts of their failed "investments" (leverage is NOT productive capital), the geniuses inside the White House are counting on deceived taxpayers to spend their so-called Economic Stimulus "rebate" checks that will be coming our way later this spring.

What's the catch?

The catch is that those "rebate" checks are actually a credit toward your 2008 income tax deduction! It's not free money at all, but money that the federal government will call on you to essentially pay back when you file your '08 return in 2009! See article. They're banking that the economy will be doing just fine then, but I'm not counting on it.

The fact that the government is resorting to such smoke-and-mirrors just shows how much of a financial crisis we're really in. Modern global Capitalism itself is on the edge of complete and irreversible collapse. What Wall Street is counting on is that consumers will spend their "rebate" checks on things that will stimulate the economy, namely widescreen HDTV sets, iPhones, new cars, and all other forms of high-ticket junk (nobody really needs) which keeps 66% of the American economy afloat. If we don't spend it on that, they're hoping we'll blow our checks on paying down existing credit card debt -- which amounts to funneling the cash directly to the Wall Street banks who created this mess in the first place! Talk about "trickle-down" economics: the Fat Cats get bailed out while we all starve to death.

No thanks!

As Permaculturists, what should our approach be?

I advise the following: Take your Uncle Scam advance and buy tangible investments in things that will provide for the practical needs of your family during the coming crisis: food, water, energy, clothing and shelter.

My particular plan involves planting a perennial food forest, upgrading our home water system to include a storage tank, filtration and solar pumping, a 12V emergency power back-up system to keep the lights and fridge on during black-outs, a solar oven and perhaps even a cob oven, good quality clothing, food preserving and storage equipment, and a good set of rechargeable batteries. Of course a bountiful annual vegetable garden is also in the works.

Of course we can't buy all this with Uncle Scam's "rebate", but you get the idea. Invest in your future. In the process, we'll be financially supporting businesses that really matter, and doing our part to keep the whole, corrupt apple cart going for just a little while longer... hopefully long enough to get our personal life-support systems in place before the wheels fall off the cart and the whole stinking mess collapses into a rotten pile that fertilises the path towards a truly sustainable future.

Spend wisely!

Finally, for a humorous (yet not untrue) take on the recent letter you received from the IRS please see Charles Hugh Smith's recent post.