Tuesday, February 17, 2009

What was in the stimulus bill?

Apparently, someone read it:
  1. The CBO says that only 22% of the plan is focused on true tax cuts
  2. Only $107.1b will likely be spent this year;
  3. About 64% of the total package will find its way into the economy within 19 months


  1. Do you view #2 as a good or bad thing? Especially in light of October 1 being the end of the FY (which is what CBO references I believe) and the fact that the tax items will mostly be put in place for 2009?

  2. the only case for keynesian stimulus is expenditures that are timely, targeted and temporary.