Stimulus Spending Doesn't Work

The Wall Street Journal ^ | 09-30-09 | ROBERT J. BARRO AND CHARLES J. REDLICK

[GOP_Lady]

Our new research shows no evidence of a Keynesian 'multiplier' effect. There is evidence that tax cuts boost growth.

The global recession and financial crisis have refocused attention on government stimulus packages. These packages typically emphasize spending, predicated on the view that the expenditure "multipliers" are greater than one—so that gross domestic product expands by more than government spending itself. Stimulus packages typically also feature tax reductions, designed partly to boost consumer demand (by raising disposable income) and partly to stimulate work effort, production and investment (by lowering rates).

[metalcor]

The Cash for Clunkers certainly stimulated the economy, but only by pulling forward sales from subsequent quarters. Auto companies are working OT in some cases to fill up the lots again so dealers can stay busy dusting them off. So, technically, in the long run, I suppose it could be said to have not stimulated the economy.

[Senator Goldwater]

Taking a bucket of water from the deep end of the pool and dumping it into the shallow end of the pool will never make the water level rise.

Only an Obamunist would think it could.

[rdl6989]

Stimulus spending doesn't work.

I do hope N00bama learns that lesson.

[combat_boots]

I am looking forward to ‘clinkers for cronies’ energy bills myself....... /ridicule

[HiTech RedNeck]

If the Porkulus spending had been done as a pure tax cut package instead, we’d probably already be seeing a cheerier economy, including jobs.

[Typical_Whitey]

Hey OBAMA .......... YOU LIE

[SE Mom]

Of course it doesn’t work- but that didn’t stop FDR from doing it like crazy and it won’t stop Obama either. Keynes lives forever in the liberal mind as the answer man. I’ll put my money on Milton Friedman.

[Rocky]

Wait till election year. You’ll see it working then.

[pietraynor]

So we are doomed to repeat history, because we did not learn 28 years ago when Ronald Reagan gave us TAX CUTS AND LESS GOVERNMENT, that it worked then and would work now. Why did we vote in the opposite? The American public is now reaping what it has sowed. Obama told you exactly what he would do in his speeches, yet he was still elected. Everyone was mesmerized by his speeches, yet no one LISTENED!

[goodnesswins]

NO...SHIIIEEEITTEEEE....SHERLOCK!

[goodnesswins]

46+ percent listened!

[JohnQ1]

Stimulus spending probably bought a bunch of votes (with our tax money) at BO’s NIH meeting today. Does this count?

[ari-freedom]

Someone once wrote that while FDR built dams and Eisenhower built the interstate highway system, Obama fixed potholes. He really believed that he could just spend on *anything* and that would be enough to stimulate the economy.
Now, I think there are some projects that can make a big difference that only the govt can fund. It doesn’t mean the govt bureaucrats should run these projects but there is no way the private sector can come up with all the resources.

[Uncle Miltie]

Keynsian spending has never worked anywhere. Not once. EVER.

It is an excuse for liberals to spend more. That’s Keynsianism. Not one iota more.

[uncitizen]

Do we know if any of Illinois’ stimulus money has been gambled on the “Olympics in Chicago” campaign?

[Liz]

Obama hid $17.5 billion of stimulus money in New Jersey, parked with NJ Gov Corzine who is running for reelection---with VA, the only two states with elections. Obama is desperate for Dem wins---his agenda depends on it.

Corzine's previous job was w/ Goldman Sachs---guys who know how to wire-transfer faster than you can say......"numbered offshore accounts." Course, they could just bleed off the interest. How much could they earn rolling 90 day commercial paper (before it is wired to a numbered account in the Isle of Man)?

Might be a couple games being played w/ Obama's hidden $14.5B stimulus----

NETeller is an Isle of Man-based payment-processor for gambling Web sites (and is suspected of having operations in the US Virgin Islands---a notorious money-laundering bank haven)

How easy it would be to profit---especially with Obama knowing the Fed's rate moves BEFORE anybody else does.

NEED TO KNOW Obama appointed VP Biden to allocate the stimulus trillions.
Both Biden and Obama visited Corzine when NJ got the $14.5B.

"Hi there, Americans. My son and brother are gonna help me disperse the trillion dollar stiumulus. "

REFERENCE Fraudster had links to fund run by Bidens
Reuters on Yahoo | 2/23/09 | BY Ajay Kamalakaran
(Excerpt) Read more at news.yahoo.com ...

(Reuters) – A fund of hedge funds run by two members of VP Joe Biden's family was marketed exclusively by firms in offshore Antigua controlled by Texas financier Allen Stanford, charged by regulators with an $8 billion fraud, the Wall Street Journal said.

The Bidens $50 million fund was jointly branded between the Bidens' Paradigm Global Advisors LLC and a Stanford Financial Group entity, and was known as the Paradigm Stanford Capital Management Core Alternative Fund, in offshore Antigua, the paper said.

Stanford-related companies in offshore Antigua marketed the fund to investors and also invested about $2.7 million of their own money in the fund, the paper said, citing a lawyer for Paradigm.

Paradigm Global Advisors is owned through a holding company by the vice president's son, Hunter, and Joe Biden's brother, James, according to the paper. Paradigm's attorney, Marc LoPresti, who represents Hunter Biden and James Biden, as well as Paradigm, told the paper he did not know which Stanford-related companies in offshore Antigua invested the roughly $2.7 million. He told the paper the Bidens NEVER met or communicated with Stanford.

===================================

And then he said........."duh."

There don’t you feel better now? (/snicker)

[Rocky]

Well, you’ve revealed some of the mechanics they are probably using. I was sure they would be doing crooked things with the stimulus money to get their crowd elected, I just couldn’t put together the details. Thanks for the information.

With the Democrats in control of the White House and Congress, can this juggernaut be stopped?

[Liz]

Most of Obama's stimulus bucks are still in Washington, ......save for money supposedly used to "bailout" states like NJ.......like the $17.5 BILLION Obama hid in NJ for himself and the Bidens.

Obama's pork-laden stimulus and other wasteful spending isn't doing much good. US unemployment keep rising to levels not seen in decades, w/ scant hope of a rebound.

We can safely conclude that creating jobs was NOT the reason for Ohaha's trillion dollar stimulus.

On June 9, 2009 Ohaha called a press conference to announce, "Several financial institutions are set to pay back $68B to taxpayers."

Course, it was assumed that any money or profit would be returned to the general funds from whence it had come .......in order to pay down the debt. The truth, however, is that the money returned by the banks is finding new life as part of what amounts to a Treasury Dept-controlled slush fund.

Obama's obsessive reach for "health care reform" confirms reform is another trillion dollar govt slush fund for hand-picked insiders.......Dems, ACORN, Obama, Rahm, Soros.

Americans are awakening to the fact that govt insiders are mishandling trillions in stimulus------that monies are being laundered in the states, and/or are being illegally directed to Democrat campaign coffers, or wire-transferred offshore into personal accounts.

Now what?

We pressure Republicans to prod L/E------we need to get WH cell phone records, computer links, wire-transfers, and bank records to locate the missing stimulus.