…because people aren’t stupid.
Well, except for the people who thought this would work.
12 thoughts on “Why The “Stimulus” Didn’t Work”
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…because people aren’t stupid.
Well, except for the people who thought this would work.
Comments are closed.
Shouldn’t that be, SOME people are not stupid?
Amusing, that lefties think the money multiplier principle doesn’t go into effect when government reduces the costs it imposes on businesses (and would-be entrepreneurs), but they think it will go into effect when government forks money over to rent seekers.
“Household goodies included a one-time $250 payment, refundable credits and the “making work pay” tax credit.”
Wasn’t this spread out over a year?
It would have been nice if we at least could have gotten some new highways (or highway lanes) here in southern California out of the deal.
Or think of the manned Mars misision we could have put together for just a fraction of the stimulus total. We could have a pressurized Bentley roving around Mars as we speak, complete with flashy gold rims and a bitchin stereo system.
287K per job created or saved.
What if there was a way to find organizations that create productive jobs and only give the stimulus to those organizations?
What if the organization got zero stimulus if it did not succeed at making more productive jobs?
Any small business paying income taxes is by definition such an organization. Doubly true if the manufacture, build or harvest here in the U.S.
Instead of giving small businesses any stimulus, Paul, why don’t we just stop stomping on them with regulations and uncertainty. Any stimulus to small business will distort the market – the expansion you hope for would be artificial and would only last as long as the money kept flowing. Instead, reduce the tax and regulatory burden so they can grow more naturally. Quit demonizing the business owners as “the rich” and threaten to take more of their money in taxes.
A week or so ago, one government official (Geithner?) said we need to raise taxes on small business owners in order to prevent cuts in government programs. How incredibly stupid! Lower tax rates on businesses so they can hire more people. More people paying taxes means more revenue to the government and has the added bonus of fewer people needing government assistance in the first place.
In the course of human events, when the govt. is so stupid or evil that it thinks it can print wealth out of thin air… or regulate success…
Only one thing produces wealth… free trade.
Lower prices are a result of… competition.
Every single time business is demagogued as evil by anyone (and BO can’t help himself) it needs to be challenged immediately and loudly. Even including those evil oil guys (some of which may actually qualify as evil or stupid but had kept the price of gas down before BO took the oval office.)
In light of the fact that almost none of the construction money was spent, and almost none of the projects were “shovel ready”, I find it amusing how Obama and the Democrats were screaming that Bush had let America’s infrastructure crumble, and that roads and bridges were in desperate, even critical need of immediate repair, and thus we must pass the stimulus.
When will a liberal pundit ask the question, “If the infrastructre was falling apart before, and we haven’t actually done anything to fix it, what condition must it be in now?”
Alan K. Henderson Says:
“Amusing, that lefties think the money multiplier principle doesn’t go into effect when government reduces the costs it imposes on businesses (and would-be entrepreneurs), but they think it will go into effect when government forks money over to rent seekers.”
That is the most astute statement I have read in months.
“In light of the fact that almost none of the construction money was spent, and almost none of the projects were “shovel ready”, I find it amusing how Obama and the Democrats were screaming that Bush had let America’s infrastructure crumble, and that roads and bridges were in desperate, even critical need of immediate repair, and thus we must pass the stimulus.”
Our infrastructure needs are so great that a couple years of printing money wont solve them. We would only create a construction bubble if we pumped money into every project imaginable.
What we really need is something like a sovereign wealth fund where the yearly profits/interest is channeled into infrastructure repairs. It would be sustainable, limited, and cost effective.
The condition is awesome, just like Obama!
What we really need is something like a sovereign wealth fund where the yearly profits/interest is channeled into infrastructure repairs. It would be sustainable, limited, and cost effective.
In theory, fuel taxes are supposed to pay to maintain the highway infrastructure. However, a lot of that money gets siphoned off for things like bike paths, light rail, and other boondoggles, especially when the money goes into the general fund. As for the cost effective part of your statement, the words “government” and “cost effective” are in practice mutually exclusive.
Infrastructure is far more than bridges and highways. Our energy infrastructure also needs a lot of upgrading. This would be more likely except for the NIMBYs, BANANAs, and enviromental activists who can (and frequently do) tie up projects for years, substancially driving up costs. There will come a time when we’re going to have to tell them to sit down and shut up. I hope that happens soon.