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A Stimulus That Won’t: The standard stimulus package won't foster real economic change

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Publication Date: January 2008

Publisher(s): Hoover Institution on War, Revolution, and Peace

Author(s): Russell Roberts

Funder(s): Hoover Institution on War, Revolution, and Peace

Funder(s): Hoover Institution on War, Revolution, and Peace

Topic: Economics (Economic policy, planning, and development)

Keywords: Economy; Stimulus; Economics

Type: Brief

Coverage: United States

Abstract:

The standard stimulus package doesn’t change incentives. It’s a check from the government. The hope is that the receiver will spend it. But when you just send out checks from the government, whoever gets stimulated is likely to be offset by someone who gets unstimulated.

This essay was broadcast on National Public Radio’s All Things Considered on January 16, 2008.