Obama’s administration is spinning hard to try and lower expectations for the so-called “stimulus” bill.
Speaking on “Fox News Sunday,” David Axelrod, Senior Advisor to President Obama, tried to lower expectations for Obama’s bailout boondoggle:
Signs that the $787 billion economic stimulus program is working will be obvious as work begins on infrastructure and other programs that are ready to begin around the country.
Yet, Axelrod warns, it’s going to take time for the effects to register in employment statistics and the economy is likely to get even worse before it begins to rebound.
On CBS’s “Face the Nation,” White House press secretary Robert Gibbs also tried to lower expectations:
SCHIEFFER: When are we going to begin to see the effects of this legislation?
GIBBS: Well, Bob, we certainly hope that this money gets moved out to the states and localities to prevent them from having to cut police officers or teachers, that the money that comes down through unemployment insurance, and certainly the tax cuts to middle-class families — we think that money can get out of the system and to people very quickly.
One caution I have, Bob — I don’t think there’s any doubt that we’ve seen this economy has gotten worse just in the last few months. The acceleration in job loss probably means that this economy is going to get worse before it gets better.
But we’re happy that Congress, in a bipartisan way, took steps to make whatever happens in this recession easier to take for the American people.
They should be backpedaling.
Irwin Stelze points out that most of the money in the “stimulus” will not be spent soon:
It seems that most of the money will not be spent very soon. About 30% won’t hit the economy until 2011, and the balance is likely to be tied up in the procurement processes of the federal and state governments until well into 2010, and beyond.
How long are people willing to wait to see some progress from largest spending package in history?
If progress isn’t seen quickly, are people willing to accept another stimulus bill?