Friday, November 25, 2011

Worst Recovery Since The Depression, $1T Down The Drain

As usual, the government's "cure" turns out to be worse than the disease:
...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. 
Adding insult to injury, the new report also says the stimulus will hurt economic growth in the long run because of "the resulting increase in government debt." Each dollar of additional debt, it reports, "crowds out about a third of a dollar's worth of private domestic capital."
[emphasis added]

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