Stimulus creates 640,000 jobs

Let’s see… $150 billion to create 640,000 jobs works out to a cost of $234,375/job created. This works out to an average annual salary of about $40K for about 6 years for each job. How many of these jobs are going to last that long?

There is no way to determine how many jobs were “saved” because no one collects this type of statistic. Also, coming a day or two after this makes me wonder how many jobs were actually created and how reliable this new statistic is. The article mentions that out of this 640K jobs “as many as 30,000 jobs [came] from private companies.” Where did the other 610,000 come from? Government jobs?

Finally, at a cost of $234K per job, couldn’t more people have been helped by just giving everyone cash?

From CNN:

WASHINGTON (CNNMoney.com) — The largest stimulus program in the nation’s history has created or saved about 640,000 jobs, the Obama administration said Friday.

Based on approximately $150 billion in spending from the $787 billion recovery package, the tally is the first broad, concrete look at the stimulus program’s impact on the economy. The numbers are drawn from tens of thousands of reports from state and local recipients and include as many as 30,000 jobs from private companies.

The Obama administration continued to maintain that the actual number of jobs created so far is closer to 1 million. The reports did not reflect measures such as tax cuts, boosted unemployment benefits or jobs created indirectly by stimulus spending. A total of $339 billion has been drawn down so far under the American Recovery and Reinvestment Act.

“Every dollar being spent from Recovery Act is helping put someone back to work,” said Vice President Joe Biden. “My message today is that we’re on track.”

The Obama administration is expected to announce further details about jobs on Friday afternoon, after the government posts complete reports online on its stimulus data tracker Recovery.gov. Already, the administration revised the figures downward from an initial 650,000 announced early in the morning. Each job cost $234,000 to create.

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US government’s claims of 30,000 stimulus jobs overstated by thousands

From Yahoo! News:

A Colorado company said it created 4,231 jobs with the help of President Barack Obama’s economic recovery plan. The real number: fewer than 1,000.

A child care center in Florida said it saved 129 jobs with the help of stimulus money. Instead, it gave pay raises to its existing employees.

Elsewhere in the U.S., some jobs credited to the stimulus program were counted two, three, four or even more times.

The government has overstated by thousands the number of jobs it has created or saved with federal contracts under the president’s $787 billion recovery program, according to an Associated Press review of data released in the program’s first progress report.

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.

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Chief WH Economic Advisor Admits $Trillion Stimulus Job Creation Plan is a Bust!

From Flopping Aces:

Yet, we’re supposed to believe their promises for health care reform?

Readers may recall that the same White House bunch promising a “deficit neutral” health care plan promised that if we passed the $787 billion stimulus ($one trillion after debt cost) that we would save millions of American jobs. They even put out a chart which showed their projections state by state on the jobs they expected to be created.

Earlier this week, I posted a report from the House Ways and Means Committee Ranking Member which shows that instead of creating millions of new jobs, we have lost an additional 2.7 million since the stimulus bill was rushed through congress.

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Latest in Stimulus: ‘Cash for Refrigerators’

Great, another government give-away. We could set up The Department of Bailouts and have a “Cash For” Czar. The last one (Cash for Clunkers) is generally considered to be a failure. It didn’t do what it was (supposedly) intended for: get old, low MPG cars off the highways and replace them with eco-friendly high MPG cars. This will be just another in a long line of government (taxpayer) subsidized “stimulus” efforts which won’t stimulate anything but consumers taking on more debt. And it wouldn’t be so bad if the products being bought were manufactured in the U.S., but most of them aren’t, so those taxpayer dollars that are subsidizing all of this ultimately go out of the country, most likely to China in this case.

From Yahoo! News:

A $300 million cash-for-clunkers-type federal program to boost sales of energy-efficient home appliances provides a glimmer of hope for beleaguered makers of washing machines and dishwashers, but it’s probably not enough to lift companies such as Whirlpool (NYSE:WHRNews) and Electrolux out of the worst down cycle in the sector’s history.

Beginning late this fall, the program authorizes rebates of $50 to $200 for purchases of high-efficiency household appliances. The money is part of the broader economic stimulus bill passed earlier this year. Program details will vary by state, and the Energy Dept. has set a deadline of Oct. 15 for states to file formal applications. The Energy Dept. expects the bulk of the $300 million to be awarded by the end of November. (Unlike the clunkers auto program, consumers won’t have to trade in their old appliances.)

“These rebates will help families make the transition to more efficient appliances, making purchases that will directly stimulate the economy,” Energy Secretary Steven Chu said in a statement announcing the plan. Only appliances covered by the Energy Star seal will qualify. In 2008, about 55% of newly produced major household appliances met those standards, which are set by the Energy Dept. and Environmental Protection Agency.

Read the rest:

http://news.yahoo.com/s/bw/20090824/bs_bw/aug2009db20090821304909

‘The Stimulus Isn’t Working,’ Republican Says — Six Months Out

I guess this guy is among the 57% who feel the stimulus isn’t working.

From CNSNews:

(CNSNews.com) – Six months have passed since President Barack Obama signed the $787-billion stimulus bill into law, promising that it would “create or save three and a half million jobs over the next two years.”

On Monday, Rep. Mike Pence, chairman of the House Republican Conference, said the results are in – and “the stimulus isn’t working.”

Pence noted that the multi-billion-dollar infusion of taxpayer money has not prevented unemployment from rising above 8 percent. The latest numbers put the nation’s jobless rate at 9.4 percent. More than two million jobs have been lost since the stimulus was signed, Pence said in a news release.

Read the rest:

http://www.cnsnews.com/news/article/52600

Poll: 57% Don’t See Stimulus Working

I’m sure a large portion of that 57% is either out of work, working part-time due to no full-time work being available, working at something they normally wouldn’t do just to have some type of job, or has a significant other who falls into one of the above categories. And the reality is, the stimulus hasn’t worked, and won’t work. Government can’t create wealth, and none of the jobs created or “saved” by the stimulus is anything more than taxpayer subsidized busywork. These jobs are nearly all of relatively short-term duration and the work being performed doesn’t lead to the creation of other jobs. It is now acknowledged that FDR prolonged his Great Depression; I believe ultimately, Obama will do the same with his depression by trying to follow FDR’s failed programs.

From ABC News:

WASHINGTON – Six months after President Obama launched a $787 billion plan to right the nation’s economy, a majority of Americans think the avalanche of new federal aid has cost too much and done too little to end the recession.

A USA TODAY/Gallup Poll found 57% of adults say the stimulus package is having no impact on the economy or making it worse. Even more 60%  doubt that the stimulus plan will help the economy in the years ahead, and only 18% say it has done anything to help improve their personal situation.

That skepticism underscores the challenge Obama faces in trying to convince the public that the stimulus has helped turn the economy around. It also could complicate the administration’s plans to overhaul the nation’s health care system.

“This is a wake-up call for the administration.” says House Minority Whip Eric Cantor, R-Va. “People see the stimulus hasn’t worked, and now you want to lay on over $1 trillion in a health care plan.”

Read the rest:

http://abcnews.go.com/print?id=8344083

Clunkers’ Cash Buying Large, Not-So-Green Vehicles

This was never about getting “clunkers” off the road. It was about spending government money to act as an incentive to get people to go out and buy a new car, and get themselves further into debt, to make it look like people are out spending again, so we’ll think the economy is recovering. When the money runs out (again) the little up-tick it provided will go back down and so will any belief in the “recovery.” Unfortunately, the suckers that bought into this latest scheme will be stuck with their purchases and the bill that comes with it.

From CNSNews:

Washington (AP) – Transportation Secretary Ray LaHood, the nation’s top car salesman in recent weeks, has cited the Obama administration’s best-seller list of mostly smaller, fuel-saving cars like the Ford Focus to describe the success of the Cash for Clunkers rebate program.
 
But what LaHood and other administration officials usually don’t mention is that some trucks and sport-utility vehicles that get less than 20 miles per gallon, like the Ford F-150 truck and one version of the Cadillac SRX Crossover, also are being purchased with the new government subsidies. Both are bulky vehicles weighing more than 6,000 pounds when loaded that boast at least 248 horsepower.

Read the rest:

http://www.cnsnews.com/news/article/52454