******************** THIS BLOG HAS MOVED TO WWW.LEGALINSURRECTION.COM ********************

This blog is moving to www.legalinsurrection.com. If you have not been automatically redirected please click on the link.

NEW COMMENTS will NOT be put through and will NOT be transferred to the new website.

Thursday, October 29, 2009

Shocked To Find Stimulus Jobs Overstated

Yet another "shocked to find gambling in Casablanca" moment. This time, the AP -- yes the AP! -- checked claims of jobs "created or saved" by stimulus bill spending, and found that the number of jobs was overstated by a factor of 1 in 6:

But the 30,000 figure is overstated by thousands -- at the very least by nearly 5,000, or one in six, based on AP's limited review of some of the contracts -- because some federal agencies and recipients of the money provided incorrect job counts. The review found some counts were more than 10 times as high as the actual number of jobs; some jobs were credited to stimulus spending when, in fact, none were produced.
Maybe they confused jobs with "job equivalents."

Related Posts:
Shocked To Find Lobbying In Obama Administration (Part 2)
Shocked To Find Lobbying In Obama Administration

Follow me on Twitter and Facebook


  1. I don't know whether or not to act surprised or not. Here's the media's general take on the current situation regarding stimulus jobs though: http://www.pressdisplay.com/pressdisplay/showlink.aspx?bookmarkid=Y8M97SN9OQ96&preview=article&linkid=319eee9f-53ef-46b2-ab5a-b9cd2dcc9f9f&pdaffid=ZVFwBG5jk4Kvl9OaBJc5%2bg%3d%3d

    Maybe that may prove useful, but for now, I'm not drawing any conclusions.


  2. Of course the stimulus spending has produced few jobs. The whole idea is to skim money from this quickly arranged spending, with poor or no accounting.

    The worst result is that the few jobs created are temporary, even the full-time jobs. Stimulus money is not going into wise investment to create the jobs of the future. It is being used for the projects that are already organized by federal, state, and local governments, like road repair.

    Road repair and the like are useful projects, but they are not the high-value investments that create new and lasting job opportunities. Stimulus jobs will disappear as soon as the stimulus spending stops. Meanwhile, the taxes to pay for the stimulus are reducing the high-value investments that "the rich" would have made in response to the recession.

    A Tested Stimulus Plan

    The economic crisis is the result of a giant six year stimulus provided by housing loans. As we now know, it worked for a while and ended in disaster. What will the current so called stimulus plans produce when the money runs out? We know the answer: an economy like the current one, but somewhat worse.

    Stimulus Does Not Cure a Recession

    Jobs change when people change what they want to buy or can afford. It is possible to keep people at their low-value or unneeded jobs for a bit longer, only by wasting the savings that should be financing a real recovery.