Thread: Michael Steele
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Old 02-11-2009, 07:07 PM   #5
Beestie
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Join Date: Feb 2003
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Posts: 4,081
What Steele is probably talking about is productivity.

In order for the economy to right itself, we need an increase in GNP. Put another way, we need the government to buy more stuff so that companies hire more folk to make more stuff. The resulting economic activity has a stimulating effect on the economy.

If, on the other hand, the government hires people to pick up trash, the stimulating effect on the economy per dollar shelled out is substantially less.

That is a major point of contention between the two sides on how to spend the money the government is prepared to spend to best serve the country. Directly to those in need which doesn't provide much of a boost - just delaying recognition of the problem or for the government to assume the role of a mega-consumer buying massive amounts of stuff to make up for the consumption drop off. Consumption via spending is very effective for the economy but only indirectly helpful to the unemployed.

Take your pick or figure out a way to allocate some funds to each idea. But the debate is meaningful and important.
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