By GottaLaff
President Obama's doing such a terrible job. Impeach him now. He's expanding security efforts to include
both of our borders, he's
restoring the rule of law, he's protecting
the environment,he's supporting
women's rights, he's
inclusive, and now... of all things, he's
devising a recovery plan for our flatlining economy. Is he nuts, or what?
Economists think the stimulus plan that the House of Representatives will vote on Wednesday, while far from perfect, will help stimulate the moribund U.S. economy. [...]
[M]ost leading economists who are experienced in public policy generally favor the stimulus plan that the House is considering because through it the government will step up spending at a time when private-sector spending has fallen off sharply. Some economists are ideologically opposed to any such massive government plan. The Cato Institute, a libertarian research center, has organized a list of dozens of academic economists who oppose the plan, urging instead tax cuts and smaller government, in favor of free markets and lower taxes over big government activities. Cato will advertise its list in coming days. However, that isn't where the balance of expert opinion comes down today.
The House legislation would erect four pillars of economic stimulus. It would provide income support to the poor and recently unemployed, distribute aid to state governments, seek relatively quick employment gains through public works spending and aim to spark consumer and business spending through targeted tax cuts.
"I think it's a reasonably well-designed package," said Mark Zandi, the chief economist for forecaster Moody's Economy.com and a former adviser to the presidential campaign of Republican Arizona Sen. John McCain. [...]
House Republicans have lampooned some modest spending provisions in the package that have little to do with stimulating the economy, but those measures account for only a small portion of the money. [...]
The nonpartisan Congressional Budget Office, in an analysis released Monday and in congressional testimony Tuesday, said that the Democratic stimulus plan generally would get government money into the economy quickly, with 65 percent of it spent by October 2010. [...]
Private-sector economists who support the stimulus plan say that it could be made better, and, yes, bigger.
"I would make the package bigger . . . increase the package to over $1 trillion," Zandi said.
One change, he said, could be to take the $7,500 tax credit being proposed for home purchases by first-time buyers and apply it to all home purchases, payable at closing. This would help reverse the deep slide in the national housing market.
Zandi also proposes a bigger payroll-tax holiday, which would provide temporary relief for workers and their employers, getting more cash into the economy.
Drawbacks are outlined in the piece, too, but, generally, the consensus is positive... despite what Campbell Brown and Ed Henry are trying to sell us. No bias, no bull from those two, uh-uh. And if you believe that...