Obama: Give economy $50 billion boost

Obama: Give economy $50 billion boost

money.cnn.com

On the first day of what is to be a two-week economic tour around the country, Barack Obama said Monday that lawmakers should inject another $50 billion immediately into the sluggish U.S. economy.

"Such relief can't wait until the next president takes office. ... That's why I've called for another round of fiscal stimulus, an immediate $50 billion to help those who've been hit hardest by this economic downturn,"

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I am not an economist, but would an injection of 50bn into the economy really do anything besides further devaluing the dollar and increasing inflation?

I am aware this is most likely just pandering for votes, but I can't say that I support the move.

money.cnn.com
(visit the link for the full news article)

reply to post by Karlhungis


That's pretty much exactly what it will do. It might help things in the very short term, but it won't do a thing long term. It's kind of like trying to smother a fire with wood. You might get the flames down for a few moments, but then the wood will catch fire and make things even worse. That's like what this $50B injection would do to the economy.

reply to post by DragonsDemesne


Thanks for the response. I liked the analogy you used there. Did Obama not notice that Bush already tried to throw money at the problem with his stimulus checks and it did nothing?

So while he is pushing legislation for the Global Poverty Act and Universal Healthcare totaling in the very least 1.7 Trillion$, Obama plans on finding another 50 billion$ to stimulate the economy?

Obama's an economic wrecking ball.

reply to post by jetxnet


Obama does scare me with the amount of money he seems willing to spend but it isn't like McCain is making me feel any better. So far he seems to be sticking to business as usual and honestly, that is equally frightening.