Friday, November 11, 2011

Stimulus 1

The first stimulus was signed into law in February of 2009 so I believe enough time has passed to properly evaluate the results.
The 787 billion dollar stimulus included 275 billion in tax credits and 512 billion to stimulate jobs. The CBO said it was difficult to precisely determine how many jobs were created but the administration claims that 3 million jobs were created or saved. If we accept this number the math show the cost was $170,000 per job. In September of 2010 there were 153,854,000 people working and in September of 2011 there were 154,022,000 working for an increase of 168,000. This tells me that most of the jobs were in the jobs saved category not the jobs created. Many of the jobs saved were public sector employees including teachers but the money given to the states just postponed the layoffs which are now occurring and adding to the unemployment problem.

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