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A Stimulus Project That’s Not Creating Any Jobs

A Stimulus Project That’s Not Creating Any Jobs

But does that really make it a failure?

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Stimulus

The food kitchen bought $20,000 of food, no? From a food manufacturer? It sounds like the $20,000 might help save a job or two at the cannery or whatever down the line. Sure, it's attenuated, but there's a strong case that this money made it to businesses in the economy which needed the boost -- while helping those who just needed a meal. It's a boost -- however small -- that they might not have gotten.

In the sense that no jobs were created at the food bank you are correct, but in that way it was only a way-station for the $20,000 (and one that you note does combat the effects of the recession), until the $20,000 made its way into the broader economy.

stimulus that does not create jobs

Um . . . seems to me a person suffering from hunger is not likely to be fit enough to even apply for a job. Likewise, a person suffering from both hunger and homelessness is even less likely to be fit for and seriously considered for a job. So, although this use of stimulus funds does not directly create jobs, it may make the securing of a job more likely to occur for those who are hungry and homeless.

Your Piece Makes No Sense

Matllin's premise is 100% flawed imho.

Every penny of increased food aid to the poor and homeless is spent as it is distributed.

That money is IMMEDIATELY injected into the economy!

If Obama is serious about stimulating the economy how about another 500,000 Section 8 grants? That would sure be a boon to the RE markets?

How about doubling the food stamp program? That would be a boon to farmers and the rest of the food industry.

How about increasing the grants to SSI folk by 50%! They would still be dirt poor but they would surely spend all the money!!!

How about setting up primary/preventive health care appointments with the working poor who have no insurance and then funding a year of real coverage to take care of things before they become ER matters down the road.

We don't have to wait months for projects to be "shovel ready"....many billions could have been injected into the economy virtually overnight......but heaven forbid we make life any easier/better for the poor folk who rarely vote and even more rarely "contribute" to campaigns.

Such moves may not technically "create jobs" but the surely staunch layoffs and could even result in some new jobs as demand increases.

Also, how about 5 billion in streamlined micro loans to TRULY small start ups! They would all spend the money and maybe half of them would wind up as ongoing operations growing and hiring.

As it is most of the "stimulus" will go to well connected contractors who will pocket far more money than they spend on hiring new employees. The boondogglers and scammers are in their heaven.

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