>>>>http://www.foxnews.com/politics/2009/01/28/special-groups-line-piece-stimulus/
>>>>
>>>>They'll spend us out of debt, right?
>>>>
>>>>Lots of new jobs to revitalize the economy in..
>>>>
>>>>"$400 million for global warming research; $335 million for the Centers for Disease Control to combat sexually-transmitted diseases; and $650 million coupons to subsidize TV viewers for digital television conversion"
>>>>
>>>>I bet they can add another trillion to the deficit (which is a good thing, right?) before the end of February.
>>>
>>>Hmmmm, I missed your messages regarding the deficits during the Bush administration.
>>>
>>>History shows that unlike the common thought, the Reps are the big spenders, not the democrats. The history of the national debt shows a very clear line.
>>>
>>>BTW, Looking at those numbers it only adds up to about $4.5 per US citizen. Its better to get heated on the real money wasters.
>>
>>The majority of the jobs created will be in the construction industry. Without greater oversight on that industry, the companies have the opportunity to hire who they wish and that has typically been illegal immigrants where they can pay less and not pay benefits. They are typically hired either under the table or as sub-contractors. It will be interesting to see during the next 18 months how many jobs went to citizens and how many went to illegal immigrants.
>
>Interesting would be if Moody's had considered this as well (see link's . Regardless, concerning finance, I'm inclined to have more regard for Moody's, SmartMoney and Motley Fool than Fox 'News'. ;-) Some jacka$$es won't agree no matter what. They're cute though so let 'em post their ignorant insights, it entertains us. haha
>
>http://caps.fool.com/blogs/viewpost.aspx?bpid=135009&t=01009471911616523983


The first thing I noticed is that the article you cite has twisted their sources which puts the whole article into a precarious position. For starters, it states:

As reported in SmartMoney’s February 2009 issue (p.84), a “recent study by Moody’s Economy.com found that for every $1 spent on a lump-sum tax rebate, the country’s GDP grows by only $1.02 within the first year; spend the same dollar on aid to state governments and infrastructure and the economy grows by $1.36 and $1.59, respectively. Investing in construction of roads, schools and water-treatment plants… will create employment opportunities for years to come.”

however, it wasn't a study, it was a simulation of a model of a large-scale econometric model of the U.S. economy as stated in the source:

Increased income support has been part of the federal response to most recessions, and for good reason: It is the most efficient way to prime the economy's pump. Simulations of the Moody’s Economy.com macroeconomic model show that every dollar spent on UI benefits generates an estimated $1.63 in near-term GDP.x Boosting food stamp payments by $1 increases GDP by $1.73 (see Table 2). People who receive these benefits are hard pressed and will spend any financial aid they receive very quickly.

from (see page 9):

http://www.economy.com/mark-zandi/documents/Economic_Stimulus_House_Plan_012109.pdf

A simulation produced those numbers, not a study of any real data and experience showing one way or the other. It's impossible to take those numbers as facts. The simulation could have been manipulated to reflect whatever they wish and without the actual simulation data, it is impossible to tell.

That's the first time I seriously question SmartMoney information.