Underground Economy

I am all in favor of President Obama's statements regarding fiscal responsibility.  As a bookkeeper, I know enough about the economy to realize that credit is not solid if it can't be turned into hard cash, or real money.  So right up front, let's grab some hard cash from the underground economy, which is loaded up with money.  The state of California has just today introduced legislation to tax and regulate marijuana in the same manner that alcohol is taxed and regulated.  Common sense is what the author calls it.  I agree, let's put that underground economy into our destitute marketplace.

Cities and towns would benefit from the sale of business licenses.  Counties could charge sales taxes.  Payroll taxes could be charged.  It's a win-win situation. Marijuana needs to be taxed, thereby bringing in hard cash, and also saving money on cops, courts, and prisons.  Prohibition does not work for marijuana any more than it did for alcohol.  This could all be done on a probationary or trial basis.  It could be voted on after five years or so.

The country is in deep trouble and running on credit.  When credit surpasses the ability to repay, then it is meaningless.  Jimmy Carter said it a long time ago, but no one listened.  It is ok to fix or replace broken things, like the economy.  Actually it's wise to take action before the crisis point, but we didn't.  We waited for the fear to compel us, and now that it has, we need to add actual dollars into the economy, not more bad credit.