Happy Birthday, Stimulus!

Republican or Democrat, everyone has an opinion about President Barack Obama. If you are in favor of the current regime, you may view him as a revolutionary leader who has expanded presidential power and authority for the better.

On the other hand, if you are not a fan, you may discard the legitimacy of Obama’s regime with the simple argument made by Skowronek: that every president grabs and expands executive power…And Obama has happily done his share.

Whether you love him or hate him, we’re thinking on this five-year anniversary of the American Recovery and Reinvestment Act, ( AKA the Stimulus) it might be a good time to reflect briefly on Obama’s economic stewardship. How will history remember his legacy? 

It is worth remembering the bad hand he inherited (if bad is not an understatement).  That hand included an economy close to shambles, a record high unemployment rate, the devastating remains of the housing market crash and a grumpy population.

So his answer was The Stimulus, a monster $787 billion bill consisting of 40% tax cuts, short-term initiatives as temporary fixes for the rising unemployment rate, and long-term job creation. This expensive legislation passed through Congress at a time when little to nothing seemed negotiable.

The medium term sucess of the program is debatable. Today unemployment is down (but not down enough) from its post-crash highs. But economic growth is stubbornly slow, the auto industry is back… but so are the bad boy banks that got us into this mess. Then there’s the debt incurred…

It’s a mixed bag.

Then again…what would the economy look like today if there had been no stimulus…? ( that discussion alone could last 5 years)

So considering the inconclusive evidence at hand, we’re tempted to hold our rash opinions on the Stimulus and President Obama… let time run its course and revisit the subject again in a few years.

But we welcome you to leave your Happy Birthday thoughts below!