I've been reflecting on our current situation. I think that the President has captured the essence of it: a wartime effort. However, we continue to muddle with a lack of focus and clarity. I believe that by grasping the machinery for past war efforts, we could "defeat" this enemy.
First, during wartime, we repurpose citizenry and companies. We could divide the entire population into two components: active and reserve. The reserves would be people over 70, those with compromised health systems and pregnant women. The actives would be everyone else over 18. All military members would receive monthly or weekly wages. The actives would be divided into two parts: those currently employed in critical areas and those who are available to be repurposed. For example, cable and food and health workers would stay put. Hotel and restaurant workers would be reallocated to other positions. The incomes would be set around prior tax records. Stock options excluded as well as those who are paid according to the following section.
Next, our corporations would be used for the war effort. Software companies would be reallocated to the development as needed. Income for corporations would be the same with the profits to the shareholders limited to prior year's taxable income. Those who haven't been paying taxes (we know who they are) would not receive any profits, but could maintain infrastructure, debt service and employment.
Our wartime provisions are set up for major disruptions to the economy. To fight a full war effort and expect the economy to trudge along with full funding from the Federal Reserve is to do nothing more than highlight the limits of central banking. I don't see the need to invent a new set of structures; let's just repurpose WWII processes. At the same time, we need to maintain preparedness. What if a terrorist attack occurred now?
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