The Bailouts, Stimulus Package(s) and Me

I am trying to figure out where I fit in in this economic turbulence. If I believe the prevailing wisdom as to the root causes of this mess, I don't have a part in the blame.

I do not have a mortgage and haven't had one for some years, and even when I did have one I had a substantial equity in my house. It was real equity, not some housing bubble induced froth equity like some people at least thought they had. My equity came from a large down payment out of personal savings and from equity obtained in previous homes I owned for years and years and managed to squeeze, sometimes, small appreciations in value. So, I was not a subprime mortgage holder with no real stake in my homes.

I am not a banker and don't really have a depth of understanding of that business, but I understand debt versus income. If you loan money to people that are living on a thread, and they are buying properties that are appreciating at rates that surpass reality, than you are juggling a time bomb. Banking's answer was to package the mortgages and sell them. Pass the time bomb. Greed and moral hazard packaged pretty for the next guy to handle.

The time bomb exploded and the bailouts began. First, billions to banker and other financial establishment. Much with no strings attached, just money to keep them from failing immediately and keep hope alive. Next, more billions to anyone that can convince the government that they are a bank, but at least this round they were told to "please" lend the money and keep the system alive. We'll see.

And now comes the inevitable stimulus package, and this is where I want to know how I fit in. Numbers for a stimulus package that are being tossed around are HUGE. Five hundred billion to well over One Trillion US Dollars. Stimulus in the form of public works, tax cuts, extended unemployment benefits and such. Where do I fit in Mr. President? The exploded time bomb cost me. My investment accounts are down, substantially down. My cash is earning next to nothing in interest, and my self employment income has taken a nose dive. My property is worth less than it was, even though I have plans to move, it has mental repercussions to me, An American Consumer.

I don't see applying for a public works job. I am self employed, so no extended unemployment. I have faithfully paid my "fair share" in taxes, so I suppose a tax cut could be seen as something for me...but that doesn't have the mental effect of "giving" me anything...that is letting me keep a little more of what was already mine. A tax break isn't going to make me run out and consume.

So, unless you are offering me some cold hard cash like the corporations are getting, I assume I will get left out of this cash grab, and others, probably not of the middle class I reside within, will benefit while I lick my financial wounds having been a victim of friendly fire.