The Other McCain

"One should either write ruthlessly what one believes to be the truth, or else shut up." — Arthur Koestler

CBO: Stimulus Cost More, Did Less

Posted on | November 24, 2011 | 3 Comments

Recovery bummer:

After nearly all the stimulus money has been spent, the Congressional Budget Office now admits it cost more than advertised, did less to boost growth and will hurt the economy in the long run.
In its latest quarterly report on the economic effects of the Obama stimulus, the CBO sharply lowered its “worst case” scenario while trimming many of its upper-bound estimates for stimulus-fueled growth and employment.
The new report finds, for example, that the stimulus may have added as little as 0.7% to GDP growth in 2010 — when spending was at its peak — and created as few as 700,000 new jobs. . . .
So in other words, the CBO now says it’s possible that the stimulus had virtually no meaningful effect on growth and employment despite its massive price tag. . . .
All this comes after the CBO increased that price tag to $825 billion from its initial $787 billion — a 5% hike.

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Comments

  • http://edwardroyce.livejournal.com/ edward royce

    So we conservatives expected Stimulus to achieve nothing.  And instead it went beyond that and achieved even less than nothing.

    In a way that’s exceeding expectations.

    Man if Obama isn’t gone by 2012 we are so boned.

  • Anonymous

    It actually scores as a net drag on the economy.

  • http://twitter.com/biggator5 BigGator5

    Not surprised.