We live in a very complex system. It is a cycle that is inter-connected to each other. The economy, producers and consumers affect the availability of jobs. So based on this fact, during this hard time of recession, will it make sense if we have more buyers, it means more business and that we will also have more jobs?
Around 8.8 million (just under 80 per cent of) families and singles in Australia are expected to receive payments under the household stimulus package. It is around 42 billion Aussie dollars. Yes, those who are working or at least worked during last financial year, will get average of $900,- and the government wants us to spend it as quick as possible to keep the economy going……
I heard it on TV that we have to spend this free money from government to buy Australian products. Of course it is a very good idea, but for the poor people I’m sure they will prefer to spend it on less expensive goods so the money can strecth more. Once again we are facing the same problem. How Australian’s made goods can compete with the cheaper ones from overseas?
Others will argue that even if people tend to spend their money to buy imported goods, it will still save shops or companies from sacking more people.
Then, what if people prefer to save their stimulus money for rainy season? I’m sure many people will do this. While others will use their money for paying debts.
I’m not an expert on economy, so I’m not really convinced that household stimulus package will really improve the economy and save jobs. But one thing I’m sure that it will really help those who really in needs during this tough time. It will be handy for those who just lost their job. It will be well appreciated by those who lost their homes in recent fire tragedy, or those who are victims of floods.
No matter what the outcome will be, it is still very wise for those who receive this household stimulus package to spend it wisely…..