Krugman: This is really, really bad

[w¡n9Nµ7 §£@¥€r 123]

What the centrists have wrought

I’m still working on the numbers, but I’ve gotten a fair number of requests for comment on the Senate version of the stimulus.

The short answer: to appease the centrists, a plan that was already too small and too focused on ineffective tax cuts has been made significantly smaller, and even more focused on tax cuts.

According to the CBO’s estimates, we’re facing an output shortfall of almost 14% of GDP over the next two years, or around $2 trillion. Others, such as Goldman Sachs, are even more pessimistic. So the original $800 billion plan was too small, especially because a substantial share consisted of tax cuts that probably would have added little to demand. The plan should have been at least 50% larger.

Now the centrists have shaved off $86 billion in spending — much of it among the most effective and most needed parts of the plan. In particular, aid to state governments, which are in desperate straits, is both fast — because it prevents spending cuts rather than having to start up new projects — and effective, because it would in fact be spent; plus state and local governments are cutting back on essentials, so the social value of this spending would be high. But in the name of mighty centrism, $40 billion of that aid has been cut out.

My first cut says that the changes to the Senate bill will ensure that we have at least 600,000 fewer Americans employed over the next two years.

The real question now is whether Obama will be able to come back for more once it’s clear that the plan is way inadequate. My guess is no. This is really, really bad.

http://krugman.blogs.nytimes.com/2009/02/0...s-have-wrought/

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Here's one local example of what this inadequate "stimulus" promises for local economies. A big fat nothing.

Perth Amboy schools could get $4.3 million in stimulus funds; board studies options

By SUZANNE C. RUSSELL • Staff Writer • February 6, 2009

PERTH AMBOY —The Perth Amboy school district could receive $4.3 million in federal funds for school construction under the federal economic stimulus package.

But that's not nearly enough to build a new $100 million high school, according to school officials.

And now the school board is left with the difficult decision of what to do next.

...

"The school district is grateful to the federal government and the Obama administration for the $4.3 million. Unfortunately that amount is woefully inadequate to build a high school," said Board of Education President Kenneth Gonzalez.

Edited February 8, 2009 by A.J.

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PA school district says stim is inadequate

District could get $809K in stimulus plan

by Bobby Cherry

Staff Writer

February 5, 2009

If the plan makes it through the Senate this week, Quaker Valley School District could receive $809,000 over the course of two years.

...

"We're very pleased to get it, but it's not as much as we would like," said Quaker Valley Superintendent Joseph Clapper.

...

Under the plan, Quaker Valley officials could see an additional $60,000 in federal funding this year for low-income students through the Title I program. That amount could rise in 2010 to more than $195,000. Quaker Valley received more than $187,000 for the 2008-09 school year.

"We use what little Title I money we have to go toward the cost of remedial reading and full-day kindergarten," Clapper said. "That amount of money from the federal government is woefully inadequate. So this additional revenue would be welcome, but folks should not overestimate its overall impact to the district."

[I AM NOT THAT GUY 5,715]

I heard an analysis this morning on one of the news shows (or was it The Colbert Report?): "This is so-called stimulus bill is just an excuse to put every pet project that won't get past the 40 Senate Republicans in one giant omnibus bill!"

[one...two...tree 2,762]

Congress and the President needs to raise the income rate for those making over $200,000 to level it was under Clinton - then take that tax revenue and make it an ongoing investment into infrastructure. The rich can have their names engraved onto bridges and levees.

[I AM NOT THAT GUY 5,715]

Congress and the President needs to raise the income rate for those making over $200,000 to level it was under Clinton - then take that tax revenue and make it an ongoing investment into infrastructure. The rich can have their names engraved onto bridges and levees.

You and Ben Stein! If they eliminate the AMT (being a small business owner), then I could agree with you!

[w¡n9Nµ7 §£@¥€r 123]

The AMT needs fixing. And this time they need to work CPI into the formula so it doesn't get out of wack again.

[Dan J 277]

I think they just need to call it all defense spending and Republicans will want all that they can get.

[one...two...tree 2,762]

I think they just need to call it all defense spending and Republicans will want all that they can get.

Bombs not books.

[NickD 203]

A new $100 million high school is a lot of money for a building that sits empty 85% the rest of the time. Is my math correct, 7 hours times 180 days per year is 1260 hours per year, and there are 24 hours times 365 days for a total of 8,760 hours in a year. That is 1 minus the quotient of 1260/8760 or 0.856164, or times a hundred, of 85.6%, yep that its correct!

But the cost of that building if nothing compared to the operating costs of running it, and I was wrong in that other post, degreed comic book people can find a nice high paying job.

Then your kids get that needed social life to meet kids selling drugs, bring guns to school, and learn where all the beer parties are. Even get knocked up if they don't pay attention in planned parenthood class. Really a terrible place to send your kids when they haven't grown enough to develop an ounce of common sense. Enforcement to making sure your kids are there is left up to the parents now. Schools weren't that way when I was going, all BS today, kids learn and use every cuss word in the book, it takes extra hours to do the damage to your kids they cause before you can use that night time and weekends to teach them something useful.

Schools do not need more money, what they really need is a big kick in the a$$. Can say the same thing about our congress.

[Ban Hammer 13,678]

Here's one local example of what this inadequate "stimulus" promises for local economies. A big fat nothing.

Perth Amboy schools could get $4.3 million in stimulus funds; board studies options

By SUZANNE C. RUSSELL • Staff Writer • February 6, 2009

PERTH AMBOY —The Perth Amboy school district could receive $4.3 million in federal funds for school construction under the federal economic stimulus package.

But that's not nearly enough to build a new $100 million high school, according to school officials.

And now the school board is left with the difficult decision of what to do next.

...

"The school district is grateful to the federal government and the Obama administration for the $4.3 million. Unfortunately that amount is woefully inadequate to build a high school," said Board of Education President Kenneth Gonzalez.

most interesting.

Perth Amboy is a city in Middlesex County, New Jersey, United States. As of the United States 2000 Census, the city population was 47,303. Perth Amboy is known as the "City by the Bay".[7]

wiki

now if even half of that 47,303 was kids, that's 23,652 kids....of which, about 1/4 would be in high school, or 5913.

and they want to spend 100 million on a school for that rounded figure of 6000?

[NickD 203]

In my neck of the woods, having kids is a luxury today that many people cannot afford, let's leave the illegals out of this subject. But school population is declining, but they still want more money. That is all they want, more money.

[I AM NOT THAT GUY 5,715]

Here's one local example of what this inadequate "stimulus" promises for local economies. A big fat nothing.

Perth Amboy schools could get $4.3 million in stimulus funds; board studies options

By SUZANNE C. RUSSELL • Staff Writer • February 6, 2009

PERTH AMBOY —The Perth Amboy school district could receive $4.3 million in federal funds for school construction under the federal economic stimulus package.

But that's not nearly enough to build a new $100 million high school, according to school officials.

And now the school board is left with the difficult decision of what to do next.

...

"The school district is grateful to the federal government and the Obama administration for the $4.3 million. Unfortunately that amount is woefully inadequate to build a high school," said Board of Education President Kenneth Gonzalez.

most interesting.

Perth Amboy is a city in Middlesex County, New Jersey, United States. As of the United States 2000 Census, the city population was 47,303. Perth Amboy is known as the "City by the Bay".[7]

Middlesex County is a Democratic stronghold. In the 2004 U.S. Presidential election, John Kerry carried the county by a 13.6% margin over George W. Bush, with Kerry carrying the state by 6.7% over Bush.^[9] In 2008, Barack Obama carried Middlesex by a 21.8% margin over John McCain, with Obama winning New Jersey by 15.5% over McCain.^[10]

wiki

now if even half of that 47,303 was kids, that's 23,652 kids....of which, about 1/4 would be in high school, or 5913.

and they want to spend 100 million on a school for that rounded figure of 6000?

Does that help?