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Report: Obama's stimulus package now hurting the economy

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A report released by President Obama's White House Council of Economic Advisers the Friday prior to the holiday weekend shows that not only has the "stimulus" cost an extraoridanry amount of money, the country is also now losing jobs as a result.

Before anyone claims that the numbers are skewed, please note that the Council of Economic Adviders is a group of three economic advisers to the White House all handpicked by President Obama. Their sole charge is to document the "accomplishments" of the controversial "stimulus" each quarter. On Friday, July 1, the council released its "Seventh Quarterly Report" on the economic impact of the "stimulus." The contents are not good.

Jeffrey Anderson of the Weekly Standard explains: "The council reports that, using “mainstream estimates of economic multipliers for the effects of fiscal stimulus” (which it describes as a “natural way to estimate the effects of” the legislation), the “stimulus” has added or saved just under 2.4 million jobs — whether private or public — at a cost (to date) of $666 billion. That’s a cost to taxpayers of $278,000 per job."

Remember, the White House measures not only jobs created - the traditional method for measuring job growth - but also attempts to estimate how many jobs have been saved by the "stimulus." Even including those "saved" jobs, the stimulus still has cost taxpayers $278,000 per job.

Anderson puts the numbers into perspective: In other words, the government could simply have cut a $100,000 check to everyone whose employment was allegedly made possible by the “stimulus,” and taxpayers would have come out $427 billion ahead.

Unfortunately, it gets worse.

Furthermore, the council reports that, as of two quarters ago, the “stimulus” had added or saved just under 2.7 million jobs — or 288,000 more than it has now. In other words, over the past six months, the economy would have added or saved more jobs without the “stimulus” than it has with it," Anderson writes. "In comparison to how things would otherwise have been, the “stimulus” has been working in reverse over the past six months, causing the economy to shed jobs."

Employment numbers from the Bureau of Labor Statistics show that the unemployment rate was 7.3 percent when the “stimulus” shortly before the stimulus was signed into loaw. It has since risen to 9.1 percent. Meanwhile, the national debt at the end of 2008, when Obama was poised to take office, was $9.986 trillion. It’s now $14.467 trillion — and counting.

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