"Reality-Based" Economics? I Think Not.

by Pejman Yousefzadeh on September 3, 2009

I see that the White House is still using the same, silly argument to justify its economic policies:

Vice President Joe Biden said Thursday that the stimulus saved hundreds of thousands of jobs this year and kept the country from sinking into a depression

[. . .]

Biden cited independent economic reports by Moody’s and the left-leaning Economic Policy Institute, which estimated that the stimulus has created or saved between 500,000 and 750,000 jobs this year. He also noted that Goldman Sachs economists found the stimulus to boost economic growth by more than 2 percent in the second quarter, and that they expect the stimulus to add more than 3 percent in the third quarter.

[. . .]

But unemployment, pegged at 9.4 percent in July, remains high, and is expected to stay near or surpass 10 percent in coming months. The next jobs report is due Friday.

Biden, however, said the stimulus had helped create or save 150,000 jobs in its first 100 days and another 600,000 jobs in the second 100 days. The White House Council of Economic Advisors will issue its report on stimulus jobs on Sept. 10, Biden said.

(Emphasis mine.) Do we really need to go over again the many ways in which the “created or saved” rhetoric is utterly misleading?

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