Productivity, quotas, coupons vs. supply, demand, and welfare.
What we most fear in the economy is inflation, lack of demand of goods and services, and no welfare programs for the unfortunate?
Productivity is easy by using computer aided decision making to reduce waste, use just in time raw material and labor, And each year while planning business strategy, to restructure organization then increase revenue and profit margins.
Quotas are based on population, which could increase or decrease locally. Each person demands certain amounts of goods and services. It depends on wages, which depends on productivity. So wages goes up on productivity, and demands go up for better quality goods and services. The economy grows. Credit is thus given to wage earners with increasing amounts.
Coupons, are for discounts of price of goods and services, it can increase demands to take advantage of productivity increases. When business slows coupons are used to promote increased demands. Even Feds use coupons as deposits in member banks to have available more bank reserves to loan out more for businesses, to rebuild economy in local regions. So, when the economy is not uniform in regions of US; Feds use coupons to stimulate local economy without upsetting national monetary policy of credit and interest rates. This micro management of economy is very powerful tool, although not known in many circles(Wall street for one). In hospital emergency rooms across the nation, if you have no money, they have slush fund to treat your healthcare needs. Deeper welfare is in the hands of Salvation Army, who can even give you a job in the local businesses.
Since 1991 on president G.H.W. Bush's watch, the US economical policy had begun to use productivity, quotas and coupons to balance and grow our economy; despite Greenspan's gyration of interest rate; which could not sabotage the overall growth, just had a little hiccups since 2001. |