It’s Not a Joke: More Signs the Stimulus Failed
As President Obama jokes that “shovel-ready was not as shovel-ready as we expected,” it’s worth revisiting a recent Congressional Budget Office (CBO) analysis. The report really throws a wrench in the claim that the American Recovery and Reinvestment Act, or stimulus, helped the country. At all. CNS News reports that:
“The maximum number of jobs created or saved as a result of the stimulus through the second quarter of this calendar year (which ends in June) will be 2.9 million. The CBO estimated that it was also possible the jobs created or saved by the stimulus by the end of this quarter might be as few as 1 million.”
Remember that when the stimulus was signed, President Obama said that it would “create or save 3.5 million jobs over the next two years.” So by his own terms, it was a failure, but I’m sure he has selective memory about that. Considering 1.8 million jobs have been lost since the stimulus was passed, this has not been a good deal for Americans.
The CBO also reports that by 2012, the average number of jobs that Obama will be able to claim were created or saved by the stimulus will be between 200,000 and 700,000. Remember, most of the jobs “saved or created” are temporary jobs for construction projects that will be ending soon, if they haven’t already.
The re-estimated true cost of the stimulus, according to the CBO, is currently $830 billion. If only 700,000 jobs were “saved or created” that amounts to $1,185,714 per job. On the low end, it would be more than $4 million per job. I don’t think anyone who got a job thanks to the stimulus is making that much.