But what an interesting recession it would be. Help wanted signs everywhere and rising wages. Congress would not need to take any measures like extending unemployment benefits and welfare costs would fall as people were induced into the workforce. Most Americans would experience an improved standard of living. It would be the kind of recession that was hard on the rich but good for the middle class and the poor. I've never seen one of those before and I think I might like it.
Until the global trade war and lack of oil finally impacted your own little household too.
And rising prices, and lots of companies going out of business.
Most Americans would experience an improved standard of living.
Unlikely. You could achieve the same effect by throwing out the last several decades of technology; suddenly we'd need lots of secretaries and phone operators and such, but it would not be good for the economy, or for the average American.
"Help wanted signs everywhere and rising wages."
The result would be massive cost-push inflation.
"Most Americans would experience an improved standard of living."
No, they wouldn't. Prices would race ahead of wages. Also, with a graduated income tax, inflation would shove people into higher brackets faster than Congress could index the brackets for inflation, so their tax bite increases even as their "increased pay" is debased in value.
"It would be the kind of recession that was hard on the rich but good for the middle class and the poor."
In other words, it would be hard on people who have capital to invest, which means investment (both foreign and domestic) in the U.S. would slow down or stop. What would be most likely to happen is capital flight to more investor-friendly climes, along with the capitalists who own said capital.
Last I checked, 1% of the population pays 37% of the taxes. Convince that 1% to leave, and you have the almost the same number of mooches trying to get their "fair share" of the loot . . . and only 63% of the loot to go around. Congress can either borrow a lot more money (at much higher interest than now), or they can raise taxes on the rest of us to "make up" that 37%.
"I've never seen one of those before and I think I might like it."
I have. It was back when we had double-digit inflation in the 1970s. The result was interest rates hitting record highs. That would cause ARMs to cycle to at-present unbelievable rates, which would result in many people losing their homes.
I have news for you: it will not be the rich losing their homes. It will be middle-class and poor people getting foreclosed.
Yeah, I'm sure you'd like losing your home.