Obama blew it with the stimulus

If you’d like a little light reading to put you to sleep tonight find The American Recovery and Reinvestment Act: Public Sector Jobs Saved, Private Sector Jobs Forestalled by Timothy Conley and Bill Dupor.

There’s a darn good chance it will make your eyes glaze over, but in summary, it confirms what any Fairly Conservative housewife could have told you:

The Act’s Impact: More Government Jobs, Fewer Private-Sector Jobs


  1. My guru Dennis Prager says that 90+% of “studies” are one of two things: 1) wrong 2) complex ways of confirming things that are obvious.

    Obviously this is a good example of the latter.

  2. You would try to read that, wouldn’t you. 😉

  3. Its not the stimulus fault that the private sector is not hiring….the stimulus was very much a success

  4. jimspice says:

    Hey, since you’re into citing published papers, would you be interested in reviewing about 20 or 30 critiques of this work?

  5. jimspice says:

    Or trust me, and check page 20, table 4. Even though a liberal (in the benign sense) confidence level is utilized, with one exception, their expectations fail. In other words, there are no results.

  6. J. Strupp says:

    I can’t say that I disagree with some of Dupor and Conley’s findings. There can be no doubt that a lot of ARRA funding went to offset the collapse in state and local government revenues since 2009. Likewise, a small amount of ARRA funding was allocated to infrastructure improvements so there’s no doubt that ARRA did little to nothing to boost employment in that sector of the economy.

    In general, Conley and Dupor seem to be saying that ARRA did more to support collapsing AD than boost it over the last few years. I’m with them.

    I have no idea where they were going with their “crowding out” arguments. There’s no indication anywhere that government stimulus has crowded out business investment and/or private sector employment.

  7. http://www.forwardlookout.com/2011/05/the-governors-tools-and-the-presidents-stimulus/10642

    These make such great talking points, but in reality the governors “tool” do not work, but the stimulus did! The problem with the stimulus was it was too small.