College of Political Knowledge
Federal Deficit Series
We hear these words daily coming out of the mouths of Repubs…..Obama’s plan is a bust…the economy is worse because of his policies….on and on…..they prattle and they prattle and we sink deeper into the hole that the Washington crowd has dug, all of them not one party over another….all of them!
But was the American Recovery& Reinvestment Act (the stimulus) really a failure? Not really….why? CBO (or maybe it was the GAO)…..anyway their report on the stim plan shows that 1.3 to 3.0 million jobs were either created or saved and that it created $2 billion of economic activity and that it has added about 2% of the country’s GDP. NONE ot that sounds like a failure….yes, it could have been better but at least it did stop some of the slide to the economic abyss.
The failure that one may be thinking of is that of the Bush presidency’s bank bailouts…..these institutions were bailed out so that banks would start lending the money and re-start our economic engine….guess what? It did NOTHING to improve the economy….it did however, save a bunch of gambling banks from disaster for the games they were playing with the people’s money…..
Maybe we should stop calling everything a failure and just stick to the facts…….or at least fix the designation to the thing that was the real failure and stop playing political games for electoral advantage…..