Now that most of the payments have been sent, we can analyze the Economic Stimulus Package of 2008. Was the economy stimulated? Did the payment really help people? Was it all worth it?
I've answered so many questions about the stimulus payment that I've quite frankly gotten sick of the whole thing. It's ridiculous how much confusion it caused.
We'll never know what kind of impact the stimulus payment had on the economy. The economy of the United States is just too complex to measure, no matter what the economists tell you.
We do know that much of the stimulus payment is spent on essentials like food and gasoline. According to this survey by the National Retail Federation, a majority of consumers were spending the stimulus payment on bills and necessities and only a small percentage planned on buying luxury items.
I know however, that this payment cost a lot of money. The IRS was overwhelmed with questions. How much did the new computer system cost? How much was spent on overtime? What about the cost of printing and sending the checks themselves?
The bill itself cost taxpayers $152 billion. However, it just shifted government money from other programs. So in reality there is no net gain to the economy.
In the end, the Economic Stimulus Package of 2008 was a political stunt. An attempt to bribe voters in an election year. I hope voters, especially those that had problems with the stimulus payment, remember this lesson when the politicians try to take over health care.
Government is bad. The government is just not very good at many things. It's slow and wasteful. The private sector isn't always that much better but at least the private sector isn't dipping into your wallet with one hand and trying to put it back with the other.
What do you think about the economic stimulus payment? Was it all worth it?
Tags Economic Stimulus Government IRS Opinion Stimulus Payment TaxesRelated Posts
- Stimulus Payment - Make Too Much? You Might Not Get One
- How I Spent My Stimulus Payment
- IRS Where's My Stimulus Payment Web Page
- What Does the Stimulus Notification Letter Look Like?
- Where's My Stimulus Payment Tool Worked For Me
Comments
4 Comments so far
I think the stimulus payment was a joke. Bush used it to pay his oil buddies back. He knew that the oil companies could raise prices and the government would pay for it with stimulus checks. That Bush is one crafty SOB.
I think it was in part a political stunt but to say it was just used to pay oil buddies back is a bit much.
If Bush did use it to pay his oil buddies back, please do tell the details of that. I hear people make these comments all the time, and I fail to understand how that all works. Could you explain in a little more detail? I want to understand.
I'm not a Bush fan, but how did he use that stunt to pay his oil buddies back ? Plz explain…..