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   v. January 17, 2017
Stimulus Package / possible solutions

Stimulus Package Solutions
Innovation, capital allocation, investment in future technologies, education, labour for all, institutional progress, banking

This text had been created late 2008 during the financial crisis. But this text is of general permanent interest. As far as details in this text might still refer to the crisis 2007...2011, this will be removed soon.

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(This text should be reviewed by an English speaking person, to improve its linguistic level. Volunteers? Please send a mail to ok @ infos7.com.)
Usual economic stimulus packages can not settle the problemsv

Basic reasons of the Economic World Crisis 2009 ... 2011++

Relative market saturation in industrialized countries.

Significant parts of the world are unable to win the battle against poverty: Political instability and/or lack of school education and/or lack of institutional infrastructure.

Significant capital generation by raw materials, especially petrol, since approx. 1975, in countries without productive investment opportunities..

Permissive regulations for financial markets, casino style, neutralizing this capital flow by absorbing it: Mostly transformation into consumption-type pseudo- investment and into long-term losses, e.g. by investing it into subprime loans for housing in the US.

Huge annual spending deficit in the US, not any more to absorb by this permanent transformation.

The growing US spending deficit is due to a unique historical situation: The US fulfills worldwide mostly respected empire functions without being financed by empire partners for these functions, and without wanting colonies. - Reminder: The Russian empire function had collapsed in 1990 after having subsidized for decades in a similar manner the empire function. (Russias financial exchange balance with its "colonies" had turned into deficit since approximately 1965).

Europe: High unemployment rates of persons excluded permanently from labour, due to "welfare state" politics during 4 decades. Due to this, there is significant accumulation of public debt, since 2009 close to the risk of bankruptcy for same European nations.

This list shows: The economic crisis 2008...2011++ is not just some further temporary recession. It is the point where the economic system of many nations and of the world will have to change significantly. Remedies like rapid superficial stimulus packages can only hide for a small additional time the need for basic changes.


Solutions and suggestions


This is no free idea service for money makers in public organizations

The following specification is sufficient to enable some understanding of the required steps.

It is intentionally left without sufficient details for application.

If more information is wanted, a payment suggestion should be send to: ok @ vox7.com

List of recommended economic stimulus politics.

In wealthy countries,
market saturation is the underlying problem. This historical crisis type typically ends by significant technological advances, creating new needs and new markets. This move requires to stop subsidy distribution by bureaucrates and by their usual "amigo" distribution concept. Totally different subsidy distribution concepts are required, to make sure that innovators get the money, instead of "amigos". - More information on request: ok @ vox7.com

In many wealthy countries,
welfare politics have generated a significant percentage of persons excluded permanently from the access to labour. This can only end within months by some kind of a national contract between government and entrepreneurs. This is the "Vox Concept" - more information on request: ok @ vox7.com

The financial system should not be protected but should shrink. Traditional industries like car manufacturers should get aid to shrink, not taxpayers' aid to maintain their current production volume.

Countries with insufficient living standard level:
Wealth is normally the result of a combination of the following: Political stability with some kind of citizen participation, a coherent legal system, experienced and controlled institutions, good educational level of the masses, at least 10 % with higher professional education, high freedom level, health service and a retirement scheme for the masses. In all countries below the world average wealth level, at least several of these condition are not fulfilled. In very poor countries, mostly all of these conditions are not fulfilled. The best economic stimulus package for less wealthy countries is fast progress towards a modern institutional level. This is typically not a financial problem. - More information on request: ok @ vox7.com




► Suggestions for rectifications to: ok @ mrmio.com
► Consult / trariff? Please communicate the subject for a suggestion to: ok @ mrmio.com (Typical per hour rates: Like those for lawyers.)














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