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The Risks Of A $1 Trillion Government Stimulus

Nov 26th, 2008 | By Martin Hutchinson | Category: Politics & Economics

The incoming Obama administration is expected to launch a stimulus package that could reach up to $1 trillion. Martin Hutchinson says this is a popular – yet high-risk – strategy. In so far as the plan increases the budget deficit and national debt, while crowding out private-sector investment, the long-term damage to the economy could outweigh the stimulus benefits.

Tags: credit crisis, Economic Stimulus, Federal Reserve, government bailout, Keynesian, Martin Hutchinson, Money Supply, President Obama, Private Investment, Stimulus Checks, US recession, US Treasury Bonds
Posted in Politics & Economics | No Comments »

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