The economy is in pretty bad shape, or at least most people seem to say such. A lot of the population has no idea of the state of the economy. We know what we hear, but we don't exactly know how to check to see the state of the economy. We can't just ask it. Of course the high number of lost jobs and closing businesses give us an idea that the economy is failing, but no one knows how to stop this from happening. President Obama instituted the stimulus plan to try and help businesses pull themselves out of the recession our economy has fallen into. This has sparked a large debate on the effectiveness the stimulus has brought forth.
Through the stimulus plan, billions of dollars were poured into businesses to keep them afloat. These businesses then used that money in a variety of ways, all of which were supposed to help improve their standing in the economy. The main issue with the stimulus is the billions of dollars that were spent. This money was used in a time that America already has an increasing debt due to the war in Iraq. Though the stimulus may turn out to work years from now, many believe there was another way to deal with this issue.
Chapter eleven bankruptcy is a way for businesses to remain open while they pay off their debts by coming to an payment agreement with their creditors. Many politicians and Americans believed this is what President Obama should have made the businesses that were bailed out do. If the corporations filed for chapter eleven bankruptcy, they would have had to reach an agreement with creditors that would have these businesses pay back their debts over a period of time while still being able to remain open and keep all their workers employed. This may have been a more effective way to fix the economy while saving billions of dollars. The truth is that no one knows for sure what will work, or how the economy continues to fluctuate. All we know is that it does go up and down, and we try to stay on the right side of the line as often as we can.
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