CBO head acknowledges flaws in stimulus reporting
We all knew that the “created or saved jobs” rhetoric was a red herring. The administration’s attempt to spin declining jobs after passing massive Keynesian-style spending to “bring us from the brink.” The Congressional Budget Office has gone along with it, but recently we got some truth from the head of that government agency:
CBO director Doug Elmendorf has finally conceded that they never actual examined this stimulus bills’ affect on the economy. Responding to a questioner following a recent speech, he admitted that the CBO’s jobs count was “essentially repeating the same exercise” as their initial projections. When asked if this means their jobs projections would have ignored any failures of stimulus spending to perform as CBO predicted, Mr. Elmendorf responded “that’s right.” (Exchange begins at 38:20.)
CBO never actually counted the jobs. Nor did their analysis take into account the rising unemployment rate. Or the economic figures. Or how effectively the money was spent. They merely assumed this government spending “must have” saved 1.5 million jobs.
There you have it. Now, if only the media give it some attention.