Stimulus To Kick In Soon

President Obama said yesterday that the country will feel the effects of the $787 billion federal stimulus package later this year. According to the Wall Street Journal, the administration admits it's been on a "learning curve," as only $60.4 billion of $499 available for spending has been used. (A third of the package, tax cuts, have already taken effect.) The paper says that the White House has told agencies working with funds "to find ways to cut red tape," both for transferring payments to states and hosting competitions for grants. CNNMoney.com reports that Treasury Secretary Timothy Geithner has said that it's too soon to say whether the U.S. economy needs a second round of government stimulus because the "biggest thrust" of the first package is yet to come.

The New York Times takes a look today at the budget woes of Michigan. Since 2002, the state has been making budget cut after budget cut—from making some prisoners sleep two to a cell to cutting funds to state colleges and zoos. Still, the state is facing a $1.8 billion shortfall for the coming year. As the paper says, "While many states have experienced a year of pain or perhaps two during this downturn, Michigan is approaching nearly a decade of budget misery." It's in a tough spot: The state has already taken many steps that other states are only thinking about resorting to now. The state budget director says that all reserve funds have been exhausted and that Michigan's rainy-day fund is a measly $2 million. "The big difference here," he told the paper, "is that we have very little to fall back on."

In other state budget news, the Associated Press reports that California lawmakers are moving toward a compromise that could help to close the state's $26.3 billion deficit. Negotiations have resumed after two weeks of "inaction and partisan bickering." Eventual budget cuts are expected to be amount to $14 billion to $15 billion. The current shortfall—the difference between the amount of incoming state tax money and its previously approved spending obligations—is equal to more than a quarter of California's general fund, the state's main spending account.

Goldman Sachs (GS) is expected to announce second-quarter earnings on Tuesday. Whether earnings are great or terrible, from a public relations standpoint, the bank is stuck in "a no-win situation," according to Reuters. "If earnings are too good critics may lambaste it for ramping up risk too much and embracing a hedge fund-like model that could make it vulnerable to big market swings," the article says. But, at the same time, "If they fall short, investors may accuse the firm of failing to live up to its reputation for being more aggressive and intelligent than its rivals."

According to Bloomberg, Steve Jobs, Apple's chief executive, may relocate "components" of his Woodside, Calif., mansion "to fend off preservationists who oppose his plan to tear it down and build a modern home." His lawyer today told a state court judge that Jobs is in negotiations to remove historic pieces of the mansion, which would then be resembled at a different site. Built about 1925, the Colonial Revival-style mansion is called the Jackling House after its first owner, copper magnate Daniel C. Jackling.

And, finally, the Washington Post introduces us to Amazon.com's (AMZN) No. 1 product reviewer, calling him "one of the most influential consumer-tech pundits whose name you've never heard." Mark Espinosa has reviewed more than 500 products—from video game systems to a kitchen faucet—and spends about 10 hours on each review, all without getting paid. "Almost nobody in my regular life knows about this hobby," he told the paper. "The one or two people who do think it's a colossal waste of time."