Stimulus Package gets an F from CBO
POSTED AT 9:50 AM ON FEBRUARY 17, 2012 BY ED MORRISSEY
Today we, er, celebrate the third anniversary of the 2009 stimulus package’s presidential signature. When Barack Obama applied his signature, he promised that the $800 billion authorized to his administration by a Democratic Congress would allow him to keep unemployment under 8% and revamp the American economy for long-term prosperity and solid economic growth. Yesterday, in an early anniversary present, the CBO scored the performance of the stimulus and the Obama administration on that very metric, and the first paragraph delivers the verdict clearly, emphases mine:
The rate of unemployment in the United States has exceeded 8 percent since February 2009, making the past three years the longest stretch of high unemployment in this country since the Great Depression. Moreover, the Congressional Budget Office (CBO) projects that the unemployment rate will remain above 8 percent until 2014. The official unemployment rate excludes those individuals who would like to work but have not searched for a job in the past four weeks as well as those who are working part-time but would prefer full-time work; if those people were counted among the unemployed, the unemployment rate in January 2012 would have been about 15 percent. Compounding the problem of high unemployment,the share of unemployed people looking for work for more than six months—referred to as the long-term unemployed—topped 40 percent in December 2009 for the first time since 1948, when such data began to be collected; it has remained above that level ever since.
Frankly, there isn’t much to be added to this score. It’s a good, solid F- for the stimulus and the President who wasted $800 billion on it, three years after insisting that his gimmicky approach to economics would create a modern economy that would generate prosperity for all. But just in case you need it, the CBO includes this very helpful chart on unemployment at the beginning of the report:
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