PPP question if anyone knows, since there's now a some miscreant businesses that got a PR-induced conscience and returned the loan. When the loan is returned, does that free the money to be lent again? My guess is that it is not lent again; it just goes back to the government coffers as though it's work was done. If I'm right, by taking the money and then giving it back, it becomes dead money as far as the crisis goes -- it neither helps to keep an employee employed nor goes to another, more needy recipient to keep their employees employed. Heck, without time for interest to accumulate, it doesn't even pay for its own administrative costs for writing a check and then cashing another one later. If I'm right about that, that's probably at least 10 restaurants that got nothing so that the Lakers could sit on some cash and then wash their hands of it like nothing happened. I'm hoping I'm not right.
I believe you're correct. Government has different pots of money. The money that was meant for the PPP is handled by different people and so when it comes back, it gets put in a likely pot that encompasses all money paid into the government. That money will likely get reutilized later in the year when everyone is scrambling to spend fiscal money and this money is doled out to government agencies. Saw this a bit in the military...we'd get told all year long that we were having our budget cut or that there was no money, and suddenly, in September, there was suddenly a huge pot of money that had to be spent quickly. it was often this type of money that was suddenly released because it had nowhere else to go.
