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This blog post originally appeared on RealMoney Silver on March 6 at 7:43 a.m. EST.

The frustration, fatigue and the fear of market participants is palpable.

In this environment, no one is smart; some are just less stupid.

The weight and the pressure have intensified as the investment wounds run deep.

I have noticed that many are angry and are spending a lot of time articulating what's wrong, with the ambiguity of policy and the lack of swiftness in its execution being the most often mentioned factors. That criticism is coming from both ends of the aisle.

While I am not a policy maker -- I am a hedge fund manager -- it has reached a point in time when I would now prefer to be in the mode of making suggestions as the sickening stock market decline steepens and solutions are sought.

I did that in yesterday's column, and though some agreed with my recommendation, many (especially those of a free market capitalist view) disagreed. The most popular response had the word "preposterous" in it.

This morning, I would like to offer another proposal that could serve to address some of today's economic woes.

For a long time, the U.S. has had a policy of issuing green cards rapidly to foreigners willing to invest in a business here. Few have taken the option because:

    a.) Canada has a lower amount of investment needed; and

    b.) Canada has not the stipulation of taxing green card holders on all income generated overseas.

Hence most economic émigrés during the Hong Kong transition went to Canada.

If the U.S. had a new policy to issue rapid green cards (with the usual security checks) to immigrants willing to buy a house or apartment for $200,000 or more and to eliminate taxing their overseas earnings for 15 years, we could get a flood of good immigrants, with skills and assets, providing an immediate catalyst in soaking up the surplus of unsold housing inventory.

Likewise, the extant policy should lower the bar on company investments, if a house is not bought. It is about $1.5 million currently and should be lowered by at least two-thirds, maybe more, with the same overseas tax holiday instituted. The employment effect would be profoundly positive to the economy.

These policies would cost the U.S. very little and would bring in direct capital for housing and employment.

U.S. residency/citizenship (sans the iniquitous foreign earnings tax policy) would be highly prized and desired among foreigners anxious to live in a stable society with opportunity, compared to the growing instability all over the world.

Doug Kass writes daily for RealMoney Silver , a premium bundle service from TheStreet.com. For a free trial to RealMoney Silver and exclusive access to Mr. Kass's daily trading diary, please click here.


Know What You Own: The most active stocks at the time of publication included SPDRs (SPY), Citigroup (C), Bank of America (BAC), General Electric (GE), Wells Fargo (WFC), Financial Bull 3X Shares (FAS) and PowerShares QQQ (QQQQ). For more on the value of knowing what you own, visit TheStreet.com's Investing A-to-Z section.


How you can survive -- and even prosper -- in a rocky midyear market? Get the "best ideas to make real money" from Jim Cramer, Doug Kass, Helene Meisler and other RealMoney experts at our May 2 Investment Conference. Learn more here.

At the time of publication, Kass and/or his funds had no positions in the stocks mentioned, although holdings can change at any time.

Doug Kass is founder and president of Seabreeze Partners Management, Inc., and the general partner and investment manager of Seabreeze Partners Short LP and Seabreeze Partners Long/Short LP.

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