On Feb. 13, Congress passed the stimulus bill known as the “American Recovery and Reinvestment Act of 2009.” Though this bill can be seen by some as a milestone for America, we have yet to see its effects on our country. Much is to be said about how the $787 billion will be spent and whether or not it will have a positive outcome for our economy.
The past two presidential terms have been full of scandals, inconsistencies, and cover-ups, so, when a bill is passed that breaks this mold, it’s no wonder there is so much criticism. The bill looks to spend nearly $550 billion within the next 18 months on aid for the poor and unemployed, infrastructure improvements, health care modifications, and education programs such as Head Start.
Also, $275 billion will be used for several purposes: to cut federal income taxes, expand child tax credits, decrease taxes for college students, give $8,000 to all who buy a home this year, give home energy tax credits, and improve unemployment compensation benefits.
Aside from the $275 billion tax cut, $141.6 billion goes toward funding education; $112.1 billion will improve the health care system; $102 billion will benefit those on welfare and the unemployed. $90 billion will make national infrastructure more efficient; $58 billion will create jobs in energy, and close to $4 billion goes to developing telecommunications.
Unfortunately, reactions from economists have been mixed.
Some say this is a balanced package, which will indeed counteract the chaotic economy; others argue it will only increase the national debt.
A number of economists state the only way to escape this treacherous economy is by implementing reforms that improve work, savings, and investment conditions for Americans and reducing taxes; this will allow the economy to restore itself (as per the “economic cycle”).
Analysts have countless arguments and suggestions, but President Obama clearly stated in his economic speech, “This isn’t some abstract debate … this is not a game … it is important for us to set aside some of the gainsmenship in this town and get something done.”
With regard to the last eight years, President Obama wishes to make this budget as transparent as possible. The American people must know where their money is being spent.
For this reason, the government established www.recovery.gov. This Web site provides a full account of how money is being spent and what effects it is having.
It also provides a timeline of events and even allows users to post comments and suggestions about the results of the stimulus bill. The Web site features videos of Barack Obama (via YouTube) giving guidance and encouraging users to continue visiting the site.
Even with all the criticism, President Obama, Congress, and their staffs are making an honest effort to improve the lives of Americans; ultimately, that is what government is all about. The bill is a sincere attempt to restore normalcy in these trying times, and for that, we must be appreciative.