Stimulus Funds: Good Politics, Bad Economics

Stimulus attempts by government most often are a political ruse. That they have failed in the past always seem to be forgotten by some academics. So they, along with willing politicians, occasionally rehash them.

What was used was actually “slush funds” to prop up favored state governments, to meet budget deficits. The latter have been primarily due to outlandish, public employee union contracts.

Very few private jobs were created by so-called stimulus funds. It was slush fund money that helped temporarily preserve government union jobs. (See the Earl J. Weinreb NewsHole® comments and @BusinessNewshole at Twitter.)