The Cure is just as bad as the Disease?

From Townhall.Com

Stimulus produced net job loss

When dealing with a subject as inherently "fuzzy" as economics, it is hard to draw hard conclusions based on "what if?" scenarios. Every push and prod is balanced and opposed by unforeseen events and forces. It remains as much an art as a science.

But that being said, it may be time to start drawing tentative conclusions about President Obama's Economic Stimulus Bill, as actual job totals by state now show that 49 out of 50 states have fewer jobs now than before the stimulus passes, and - more significantly - net job losses where the White House's projections predicted job gains. This means either (1) the economy was overall weaker than expected, so the stimulus effect was negligible, or (2) the stimulus was ineffective and may have caused more harm than good.

That being said, the American people clearly wanted a stimulus bill at the time, so we can't claim that we didn't get what we asked for. But one must wonder if the current rumblings about a "second stimulus bill" will help or hurt us in the end.

This was our experience driving in New Jersey

What did we get for all those billions?

From here. The sad part is you can be sure the response won't be "we have to change our course", but "we need more of the same!"

Dead men cash no checks?

Why is it most of the Obama administrations errors seem to be in the "well-meaning but clueless" category? Giving DVDs to the English Prime Minister that won't play in British DVD players. Sending VP Biden to talk about Swine Flu. And now issuing stimulus checks to the dead. Or did I miss a "Zombie Americans Act" somewhere?

Antoniette Santopadre of Valley Stream was expecting a $250 stimulus check. But when her son finally opened it, they saw that the check was made out to her father, Romolo Romonini, who died in Italy 34 years ago. He'd been a U.S. citizen when he left for Italy in 1933, but only returned to the United Stated for a seven-month visit in 1969.

The Santopadres are not alone. The Social Security Administration, which sent out 52 million checks, says that some of those checks mistakenly went to dead people because the agency had no record of their death. That amounts to between 8,000 and 10,000 checks for millions of dollars.

Communities who need it most, getting least Stimulus money

I guess we file this under "paving the road with good intentions". Anyone else wondering if rushing that bill through Congress may have caused a few "bugs" to slip though unnoticed?

Altogether, the government is set to spend 50 percent more per person in areas with the lowest unemployment than it will in communities with the highest.
The AP reviewed $18.9 billion in projects, the most complete picture available of where states plan to spend the first wave of highway money. The projects account for about half of the $38 billion set aside for states and local governments to spend on roads, bridges and infrastructure in the stimulus plan.
The very promise that Obama made, to spend money quickly and create jobs, is locking out many struggling communities needing those jobs.
The money goes to projects ready to start. But many struggling communities don't have projects waiting on a shelf. They couldn't afford the millions of dollars for preparation and plans that often is required.

Stimulus Money Coming to CT Rail-Trails

Most Mod-Bloggers know that I have been enjoying biking for the last year, and those of you who have ridden with me know that I have been enjoying the various rail-trails that Connecticut has to offer. For those of you who are not aware, a rail-trail is a biking/hiking trail that has been built on an old railroad bed that had been abandoned. It is a good way to make use of the many level areas of continuous path that are left over from the age of the iron horse.

It now appears that Connecticut will be using some of its stimulus money to extend and refurbish existing rail-trails across the state. While I am not a fan of the pork-laden stimulus package, I can think of worse things to spend the money on.

A Defense of the Geithner Plan

Since Secretary Geithner announced his $1 trillion plan for combating the economic crisis, there has been a surplus of critics and a shortage of defenders. The whole thing looks like a boondoggle to most of us. But I was able to find one intelligent defense of the package that is worth a read for Conservatives and Liberals alike.

Q: Where does the trillion dollars come from?

A: $150 billion comes from the TARP in the form of equity, $820 billion from the FDIC in the form of debt, and $30 billion from the hedge fund and pension fund managers who will be hired to make the investments and run the program's operations.

Q: Why is the government making hedge and pension fund managers kick in $30 billion?

A: So that they have skin in the game, and so do not take excessive risks with the taxpayers' money because their own money is on the line as well.

Q: Why then should hedge and pension fund managers agree to run this?

A: Because they stand to make a fortune when markets recover or when the acquired toxic assets are held to maturity: they make the full equity returns on their $30 billion invested--which is leveraged up to $1 trillion with government money.

The children are the future... of debt

A Defense of the Stimulus

These days it is easy to find critics of the various economic stimulus bills wending their way thru Congress. They look like pork-laden pieces of political claptrap designed to do nothing so much as pay off the friends of politicians. And most of the defenses are simply lame, "We have to do SOMETHING!" i.e. The supporters of a stimulus bill feel it needs no reasoned defense in light of the crisis. As though a fire were an excuse for any action, even throwing gasoline in its general direction.

Finally, someone has bothered to put together a clear defense of a stimulus which explains why its supporters feel that the details of the stimulus are less important than the bill itself. It is a short article and worth a read. I do not think it addresses many of the concerns of critics, but it is a good, clear defense.

"Green" Government

From here.

Catch-22

Tax rebate checks start arriving Monday

Yes, believe it or now, the stimulus checks will enter the economy in only a few days. Will they lift us out of the recession? Will they lead to rampant inflation? We'll have to wait and see. Either way, I suspect very few Americans will mind having a little extra cash, even if all they do is pay down some of their debt.

Of course, the President is still hoping you'll spend these things... but not on anything made in China.