The president is considering more stimulus spending. According to Bloomberg News:President Barack Obama is considering a mix of spending programs and tax cuts to respond to widening job losses that would amount to an additional economic stimulus without carrying that label.
The discussion of the initiatives, including a boost in transportation spending and an extension of an expiring tax credit for first-time homebuyers, comes as the White House is balancing rising concern about unemployment and a budget deficit the Congressional Budget Office estimates will total $1.6 trillion for 2009, and $1.4 trillion in 2010.
The New York Times claims that these new initiatives do not amount to another stimulus. I agree — it won't stimulate the economy. It never does. But one thing is certain: It amounts to more spending. For instance, the White House is considering giving employers a $3,000 tax credit for each new hire, or extending the always popular $8,000 tax credit for first-time homebuyers that was included in the $787 billion stimulus law because as we know, we need another housing bubble and more people buying houses they won't be able to afford.
Via.
No comments:
Post a Comment