I was talking to an associate the other day about the state of the economy and suddenly he blurted out, “Hitler had the right idea!” I gasped as visions of death camps filled my head. He must have noticed my look of horror and he continued,”Seriously, the way Hitler handled the German economy after World War One was ingenious!” He had my curiousity peaked.
And he went on to say that the economy was so bad that to say there was zero employment wasn’t far from an exaggertion. He had just been elected as Chancellor but at the rate he was going he was going to be the leader of a ghost town. So he printed millions of marks and gave interest free loans to all the home owners to have them fix up their homes which were diapitated by this time. These home owners hired people out of work to do repairs and additions on those homes thus putting construction workers back to work. In turn, those workers were able to start buying things for their own families which put retail workers back to work and that trickled down to factory workers making the goods desired by the newly employed retailers. And the money trickled down from there.
At the end when all the money was paid back, Hitler took the money out of circulation, thus preventing any inflationary affect.
Using this same concept, Obama could go and print money as wel, this time about $2 billion, and offer the same loans to homeowners as well as to those who want new homes to be built. Since our economy crashed on the backs of construction, then that’s the first place it should be rebuilt.
And these jobs wouldn’t be temporary jobs since once the ball gets rolling and money starts to flow again, more people would start buying new homes and the economy would be revived. This time the money would have come from a thriving economy. And then Obama could then take that money out of circulation just like Hitler did.
Hitler’s ideology should never be admired, but his economic ingenuity definitely should, because it worked.
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