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  • economic stimulus

    A Fifth Keynesian 'Stimulus'?

    The concept of a Keynesian stimulus never seems to tire among politicians eager to grow the economy artificially by spending other people’s money. Recently, Obama’s Secretary of Agriculture Tom Vilsack encouraged expanding SNAP, the Supplemental Nutritional Assistance Program aimed to help the poor, as a way to stimulate the economy. … More

    Where Are the Jobs, Mr. President?

    Rep. Jeb Hensarling (R-TX) is convinced that President Obama has no viable plan to revive the economy and reduce unemployment. Two years after the failed stimulus and a year since the administration’s “summer of recovery,” the unemployment rate now stands at 9.1 percent. Without much hope coming from the White … More

    No Celebration on Stimulus Anniversary

    Today marked the two-year anniversary of President Obama’s economic stimulus law. But based on the reaction from Capitol Hill, there was little reason to celebrate. Rep. Jim Jordan (R-OH) held a House Oversight and Government Reform Committee hearing Wednesday morning with Heritage’s J.D. Foster, George Mason University economics professor Russell … More

    Onion WPA Joke Would Be Funnier if Krugman Wasn't so Serious

    In an op-ed from last week, Paul Krugman again called for greater government control of the economy to combat unemployment writing: “A rational political system would long since have created a 21st-century version of the Works Progress Administration — we’d be putting the unemployed to work doing what needs to … More

    Goolsbee Refudiated

    It doesn’t matter who asks the question (CNN, Gallup, Pew, Fox, ABC, or CBS) the answer is always the same: the American people believe President Barack Obama’s $814 billion economic stimulus failed. The White House believes that this is a failure of communications not a failure of policy. Enter newly … More

    Raising Taxes Won't Stimulate the Economy

    Earlier this week, Maya MacGuineas, a fiscal policy expert at the New America Foundation, ranked Congress’s options in addressing the pending expiration of the 2001 and 2003 tax cuts. A little more than two months remain before an automatic tax hike on all American earners sets in, and Congress has … More

    CBO Makes the Case for Change of a Different Sort

    Congressional Budget Office (CBO) Director Douglas Elmendorf recently testified before the Senate Budget Committee on policies that might give the economy a helpful lift in the near term. Congress is right to be concerned. But for an inventory surge last winter, the economy remains stuck in low gear at about … More

    Spending Cuts Are Good for the Economy

    Reducing budget deficits by cutting government spending has a stronger record of economic stimulus than either reducing the deficit with tax increases or increasing government spending. That’s what Harvard economists Albert Alesina and Silvia Ardagna have found in their recent research. They examined 107 instances of large reductions (at least … More

    Stimulating Competitive Disadvantages in Broadband

    By now it’s obvious that the government’s “stimulus” spending spree has failed to achieve its intended results—just as critics of Keynesian economic theory predicted. Compounding the policy blunder is the failure of officials to properly vet some of the costly public works projects. Case in point is the $7.2 billion … More

    Discovering China’s State-Led Economy, Years Late

    The front page of The New York Times yesterday featured a very long story on the state displacing the market within the Chinese economy. Hats off to the Times for getting it right, but they’re late. Very late. In fall 2002, a new Chinese government, led by current President Hu … More