Thursday, February 07, 2008

The stimulus package joke

The bad news is that the Senate killed a stimulus package last night that would have extended unemployment benefits and increase heating assistance for the poor.

It died by a single vote. The Republican front-runner for president, John McCain, didn't bother to show up for it.

The good news is that the Senate killed a stimulus package last night that had become a double-sided duct tape for special interests and included favors for the oil and coal industry.

The bad news is that Congress' fall-back position is a House stimulus package that includes tax rebates for individuals that won't get into the economy for months, at best, and that includes more tax breaks for big corporations. (The Senate plan also had tax rebates.)

It's possible that the package will end up in a conference committee, where undoubtedly it will be festooned with more favors for rich, fund-raising friends. Will the donations, or the tax rebates, make it into the economy faster?


softwareNerd said...

If the government can produce wealth out of thin air, they should use the same magic to produce knowledge and wisdom. We could use a stimulus package like this one for education. Let the evasions roll!

eRobin said...

Jared Bernstein of the EPI finds things to like about the bill they passed but it makes me sick.