Friday, February 13, 2009
Posted
5:32 PM
by Gene
The $800 billion is to be spread over several years; the peak is to be at most $356 billion in 2010, which is about 2 ½ per cent of GDP. The most optimistic estimate of the “Keynesian multiplier” that anyone has is 2, which would imply a 5 per cent boost to GDP. That is less than the 7 per cent gap, and so not enough to return the economy to full employment. IF....
|