The haggling between Democrats and Republicans is over, as President Barack Obama and House Speaker Nancy Pelosi’s nearly $800 billion “stimulus” program becomes law, and the cash works its way into the economy. But the burning question is, will it work? Will this “stimulus” bill stimulate the economy?
We have heard endlessly from pundits on both sides of the aisle, from folks who call themselves economists, and from politicians of every stripe about the efficacy of this package. But what do business leaders think? What do people in the capital business think? And most important, what do the markets think?
As a person who deals with capital every day, who works with and funds entrepreneurs for a living, and who knows the nuts and bolts of job and wealth creation, I believe this program is nothing less than a rip-off of US taxpayers, and will not work. Indeed, it looks like 25 years of government expansion jammed into one bill and sold as stimulus.
This stimulus package is short on incentives to get consumers spending again and long on social goals that won’t stimulate economic activity. It is totally unfocused and spreads a lot of money around on nickel-and-dime programs that will have the little lasting impact on our economy.