Friday, December 05, 2008
What I Would Do With One Trillion Dollars
It seems to be the question of the day. Well, the very first question seems to be 'How much money do we need to solve the economic problem?' US$1,000,000,000,000 seems as good a starting place as any other amount.
So, should we:
a) Give a few large chunks to a few large companies that have failed because they are too big to fail?
b) Give many small chunks to many small companies, improve the odds that a number of small businesses can do a better job than a couple gigantic businesses and restart competition?
Its instructive to look at the last time a similar situation demanded evolutionary thinking. No, I'm not talking the 1930s.
I'm talking 63,000,000 BC, right before that meteor struck and nature had a choice: save the dinosaurs or give mammals a chance.
We've seen the financial meteor hit. Rather then pour US$1,000,000,000,000 into that impact crater, how about the Small Business Administration? Want US$10,000,000 to start a new bank? Great. And there would be money left over for 100,000 more. Think Tesla could use a few more dollars to bring its car to market? How about James Fallow's Day Jet ideal? Even my brother once looked in to starting his own credit card company.
Wasn't it a good thing that mammals got an opportunity?