Obama’s Stimulus Created ZERO Permanent Jobs, Says FED…
According to recovery.gov, the President’s website designed to track the stimulus plan, the $800 Billion plus porkulous bill passed in February 2009 is responsible for 3,348,813 jobs.
But according to a new analysis conducted by the San Fransisco office of the Federal Reserve, the president’s projection is off by only 3,348,813 jobs.
That’s correct The American Recovery and Reinvestment Act of 2009 created exactly zero permanent jobs.
Those of us who are still unemployed or even those who simply watch the unemployment numbers know that the stimulus bill was a failure, but what this study shows is that we could have saved the $800+ billion.
Jobs would have been almost the same and the federal deficit would have been in better shape. I say almost because the plan did create short term jobs but they are long gone.
The study also kills the Democratic party argument that we would have fallen into a depression without the Presidential porkage because for all intents and purposes, based on the effect of the plan, there was very little help to the economy:
The study results suggest that though the program did result in 2 million jobs “created or saved” by March 2010, net job creation was statistically indistinguishable from zero by August of this year.
Taken at face value, this would suggest that the stimulus program (with an overall cost of $814 billion) worked only to generate temporary jobs at a cost of over $400,000 per worker.
Even if the stimulus had in fact generated this level of employment as a durable outcome – which it didn’t — it would still have been an extremely expensive way to generate employment.