Having bailed out the banks despite their fiscal irresponsibility worldwide, the government is signalling that you - my dear plebeian - should shoulder your burdens and not look to the government to bail you out. Austerity is in - no more handouts - and if you're unemployed, i guess that's your fault. At least, it isn't any one else's, so try to cope, all right? You don't get a red cent. Says Paul Krugman:
Suddenly, creating jobs is out, inflicting pain is in. Condemning deficits and refusing to help a still-struggling economy has become the new fashion everywhere, including the United States, where 52 senators voted against extending aid to the unemployed despite the highest rate of long-term joblessness since the 1930s.
I've said many times that forking over money to banks to keep them afloat is a corporate welfare scheme. Okay. But it seems that personal welfare schemes are not as popular with the government.
And since you - you non-bank people- are the ones who put money into circulation, you are actually the ones who keep the economy afloat. You might think it would be beneficial if you had some money to spend, which is to say money to pay me with. But Obama, along with Greece, France, Britain, Ireland, Germany and half a dozen countries, thinks you shouldn't have it. Your lifeline, and your pension scheme should wither and die, however much you've paid into it.
If you're freaked out about deficits, here's something to be freaked out about.
Yeah, that's where the money is going.