Occasio

Economic Stimulus Rebates: final thoughts

At the risk of having beat this one to death, here's some final thoughts on the economic stimulus payment.

• After reading the comments and talking to many people over the last few weeks, I have been encouraged by the number of folks who have processed the issue of what to do with the rebate. I've been excited by the amount of mental energy that many have put into this discussion.
• As a practice, I do not open my finances and giving habits to public scrutiny, but I felt it was essential on this issue. Tracy and I are giving the money away, but the point of the conversation was not to guilt others into doing the same. Each family/person should decide how to use the money after thoughtful and prayerful reflection.
• Giving the rebate away is only one anti-story to the consumerist narrative we find ourselves in. Others are focused on social justice issues. Some are working on environmental responses. Still others are seeking lives of moderation. I have heard so many wonderful and creative ways of responding.
• While many of us have been having a helpful conversation on the issue, I am very disheartened by the lack of discussion on a public level. There has been little, if any, critical dialog; it's virtually nonexistent in the news and media outlets.
• Saddest of all, very few people are considering using the rebate in charitable ways. I acknowledge that many need the money because of uncertain or difficult economic situations, but why isn't this at least an option? I have only been able to find one (of many) surveys that even asks whether people will use their rebate on charitable causes. And that survey reveals that only 3% of respondents are considering the donation option:

Finally, some words of humor regarding the economic stimulus payment from Dave Barry. (source)

This is a very exciting new program that I will explain using the Q and A format:

Q. What is an Economic Stimulus Payment?

A. It is money that the federal government will send to taxpayers.

Q. Where will the government get this money?

A. From taxpayers.

Q. So the government is giving me back my own money?

A. Only a smidgen.

Q. What is the purpose of this payment?

A. The plan is that you will use the money to purchase a high-definition TV set, thus stimulating the economy.

Q. But isn't that stimulating the economy of China?

A. Shut up.

Daddy's Gonna Pay For Your Crashed Car: one more look at the economic stimulus plan (or, the hermeneutic of a U2 song)

“Daddy’s Gonna Pay for Your Crashed Car” is a quirky U2 song from the Zooropa album (1993). It’s always struck me as a commentary on greed and excess, but the recent economic stimulus plan has really helped me see it in a specific context. As with many U2 songs, this one has taken on a new life and a fresh interpretation due to a particular situation.

Millions of Americans received their stimulus rebates today, over a hundred million more will receive them in the coming weeks.  The story that is being lived out is almost surreal: here’s some money, go out and spend it so that the American economy will be healthy. Not a very hopeful story. Nor is “Daddy’s Gonna Pay.” Check out my previous posts if you’re interested in some theological problems with the government's “big give.”

You're a precious stone, You're out on your own
You know everyone in the world, But you feel alone
Daddy won't let you weep, Daddy won't let you ache
Daddy gives you as much as you can take

A-ha sha-la, a-ha sha-la, Daddy's gonna pay for your crashed car

The economic stimulus plan was designed by Washington to infuse the economy with $168 billion dollars of buying power. The message: be a good American and spend, spend, spend. The government says the answer to our economic anxieties, high gas and food prices, and deflated home values is a little extra cash. “Daddy” will watch out for us, take care of us, reassure us. No room for weeping or aching here. Contentment and moderation have no place in this story. Three thousand advertisements a day work to reinforce the notion that pain is bad and that happiness can be bought. Get as much as you can take.

A little uptight, You're a baby's fist
Butterfly kisses up and down your wrist
When you see daddy coming, You're licking your lip
Nails bitten down to the quick

A-ha sha-la, a-ha sha-la, Daddy's gonna pay for your crashed car

Remember that experiment with Pavlov and his dogs? He learned that dogs salivate even before they receive food; this is a conditional reflex associated with the mere presentation of food.  The stimulus in our situation is money, the response is the irresistible need to buy something. In fact, that is exactly the response Washington wants. The economy is a junkie searching for a fix. Gratification comes in the short term, but the health of the organism is certainly in jeopardy. So we wait for our checks, salivary glands working over time, licking our lips.

You've got a head full of traffic, You're a siren's song
You cry for mama, But daddy's right along
He gives you the keys to a flamin' car
Daddy's with you wherever you are
Daddy's a comfort. Daddy's your best friend
Daddy'll hold your hand right up to the end

A-ha sha-la, a-ha sha-la, Daddy's gonna pay for your crashed car

Isn’t it nice to know that our government, both Republicans and Democrats (there’s no difference on this issue), is with us? The political spin on the stimulus package is strong. Congressional representatives feel our pain; our president has only our best interests in mind. I never had so many best friends! It’s good to know that no matter how stupid or self-indulgent or materialistic or in debt I am, “Daddy’s” gonna pay for my metaphorical crashed car.

Sunday, Monday, Tuesday, Wednesday, Thursday, Friday, Saturday's alright...

In one of Jesus’ parables he tells the story of a very self-righteous self-confident man who found great success and had acquired vast wealth.  The man said to himself, "You have plenty of good things laid up for many years. Take life easy; eat, drink and be merry." (Luke 12:19, NIV). There is a kind of arrogance in this man’s perspective. He believes he is immune to the troubles that plague those without money and resources. He is a self-made man. It’s the same kind of arrogance that prods, “Just be a good citizen and spend your rebate check at Sears or Best Buy, and everything will be alright.”

If you want to experience, and not just listen to, the song, you must watch it on the Zoo TV tour from Sydney. Bono plays Mr. MacPhisto, that decrepit persona of a has-been rock star who bears a striking resemblance to Mephistopheles. It’s not a coincidence that pyrotechnic canons shower the crowd with paper play money just when the boys sing “Sunday, Monday..., Saturday's alright.” Hmm, a shimmering devil offering monetary rewards to a blindly addicted populace only concerned with their own addictive materialistic cravings…. Sounds vaguely familiar. See MacPhisto sing “Daddy’s Gonna Pay For Your Crashed Car” here. See MacPhisto’s speech following the song here.

People of the former Soviet Union
I've given you capitalism
So now you can all dream of being
As wealthy and glamorous as me
                                    -MacPhisto

 

Economic Stimulus Update

The engine is revving up to full throttle. MSN Money is reporting that the economic stimulus rebates are going to be sent out earlier than planned. This is certainly a response to the perceived crisis in the economy. All direct-deposit rebates should be sent by May 2. Paper checks will be mailed according to the recipient's Social Security number.

MSN calls this "good news" in a time when consumer confidence has reached a 26-year low and gas prices continue to rise (they just hit $4 per gallon in Fresno). Yesterday President Bush said,

The money is going to help Americans offset the high prices we're seeing at the gas pump, the grocery store and also give our economy a boost to help us pull out of this economic slowdown.

MSN reports,

Whether you plan to save it -- a good idea given the economic downturn -- invest it, spend it to cover rising food and fuel costs, or take advantage of retailers' special rebate offers, consider it a gift from Uncle Sam.

A gift? The answer to an economic slowdown? What will you do with your rebate? I have had a number of people tell me they are also looking for ways to opt out of the consumption narrative - a story that so engrosses us we can't even recognize ourselves as the lead characters. I continue to ask, "Why isn't sharing an option for most Americans?" Read my previous posts if you're looking for a theological perspective on the issue.

Get ready for warp speed, factor nine. Engage.

More on the Economic Stimulus Rebate

Jay MacDonald, a writer for Bankrate.com, has made some interesting if not skeptical comments about the economic stimulus payment that is coming our way in May (see my original post for some theological objections to this rebate).

Excerpts from MacDonald's article:

Irony runs rampant through the tax-rebate debate. After all, this is the Internal Revenue Service giving us money back -- not exactly the agency's strong suit.

In addition, the government is saying times are so dire that we should go out and spend -- not exactly our first instinct in such circumstances.

Finally, someone is stating the obvious. Does it make longterm sense to go out and spend more money, incur more debt, and pursue greed when rice is being rationed at Costco and Sam's Club?

To encourage spending, Epley [an economist from Univ. of Chicago] suggests the government partner with businesses to build incentives for people to put their rebate to work.

For example, the government and businesses could schedule a national shopping day or weekend. This could be planned to coincide with a major holiday or state tax-free weekends.

I agree. The government wants us to spend and consume. It seems like they could have done a better job than direct-depositing the payment right into my checking account. Sears has the "right" idea: they are adding 10% to your rebate check when you bring your stimulus check to one of their stores. Still, virtually no one is talking about opting out of the consumerist framework and giving it away to those in need.

Bob Sullivan, author of "Gotcha Capitalism" and iconoclastic voice of MSNBC's The Red Tape Chronicles, says it may be votes -- not stock prices -- that the government hopes to stimulate. He finds the timing of Rebate '08 more than coincidental.

"It's very transparent to me what's happening here," he says. "Both Republicans and Democrats got together to say, 'Well, the one thing we want to do is make people feel a little bit better about us in the middle of the election cycle.' There isn't a lot of good data to back up what kind of boost this can give to the economy, and unless I'm missing something, there is nothing in the tax rebates that addresses any of the fundamental problems that brought us here or can get us out.

"Is it anything more than a bunch of elected officials getting together and quickly sending us money to buy us off? I really don't think it's any more complicated than that."

"Both Republicans and Democrats...." As I have said, there is no difference between the parties on this issue. Capital Hill is unified. Isn't there another way? Not when an economy needs every-increasing consumption to keeps its engine running.

Finally, here's a screen shot of a survey that Bankrate.com is running. Do you notice an option that's missing?

Consuming Culture

Rene Padilla is a Latin American theologian. I like him because he is an evangelical who has been shaped by Liberation Theology (Gutierrez, Segundo, etc.). He grew up in Ecuador and Columbia and knows first-hand how unjust governments can use religion to oppress people. He did graduate work at Wheaton College and completed a PhD in New Testament under F.F. Bruce. What a strange combination of influences! After doctoral studies he lived in Peru and currently resides in Argentina where he works with the poor.

Padilla has committed his life to understanding the relationship between evangelism and social responsibility. He regularly advocates for Christians to become more active in social justice issues. He says, “Poverty is powerlessness. It is about people being unable to meet their basic human needs. Most often this is due to a lack of opportunity in a society marked by oppression and injustice which has led to disempowerment. The poor and the non-poor are created in the image of God. They are designed to grow into mature human beings able to meet their own socioeconomic, personal, social, cultural and spiritual needs. Poverty is powerlessness to fulfill that God-given role.” (source)

View the clip below for a helpful perspective on the pervasive culture of consumption in which we live. See my last post for a discussion about the "economic stimulus payment that we will receive this May, a rebate of sorts that is given by our government in hopes that we will be good little consumers. Is Padilla correct in his analysis?

The .wmv file is 3 mb, just press play and wait for it to load

The Economic Stimulus Payment: how will you spend yours?

I will receive $1,800 this May. The IRS will pay me $1,200 because I’m married and $600 for my children. The money comes with no strings. And therein lies my quandary—how will I use my economic stimulus payment?

Through the Economic Stimulus Act, Washington wants 130 million recipients to spend $168 billion in an attempt to bolster the economy. The prescription is consumption.

The message is striking. The American economic engine requires an ever-increasing rate of consumption to remain functional. Good Americans are good consumers because when they stop consuming, the system fails. Like a junkie in search of a fix, the economy needs an injection of cash.

Is consumption really a viable answer? I find two problems with this approach: one practical, one theological.

This is the intro for an article I wrote for FPU's Scholars Speak feature. I raised the issue at faculty prayers the other day and was surprised by the vigorous amd engaging reactions I got. The dilemma is this: as Christians we claim that material possessions should be low priority and that our "treasure is in heaven," but our government is telling us that spending and consuming is the answer to a weak economy. This raises all sorts of questions: Should good Americans be good consumers? Can an economy continue to grow and can Americans continue to consume in greater quantities at an endless pace? Is there also a place for saving and sharing our money? Is it un-American not to spend the stimulus rebate? Are there any theological implications? What should Christians do with the stimulus checks that will be sent out in May?

In my recent research I have been shocked to discover that no one is raising these questions. I suspect that there are people who are interested in the theological ramifications of the stimulus package, I simply can't find a public place of discourse on the issue.

I offer the following suggestion in the spirit of being transparent, certainly not to be haughty.... Tracy and I are giving our rebate away. We'll split it between an urban ministry in Fresno, a transitional home for homeless families in Pasadena and a HIV/AIDS clinic in Jos, Nigeria.

What will you do with yours? Would you consider giving a portion to a ministry or charity? Would you leave a comment and let other readers know about your issues, dilemmas, concerns, and suggestions? I know money is a private matter, but maybe on the advent of May's stimulus rebate it should be a public discussion.

Here's the full article to spur other thoughts and conversations.