The CBO agrees, The Stimulus Will crowd out private investment.

Obama’s Stimulus Will Cause ‘Lower Wages’ for American Workers, Says Congressional Budget Office

Wow. The forces of reason are really making an impact when even part of the government agrees with Austrian theory.

The analysis concludes that the stimulus will put downward pressure on Gross Domestic Product (GDP) and wages after 2014.

But they are still a little bit off on the date. It’s going to be a lot sooner than that.

Although it gets better:

Rep. Paul Ryan (R-Wis.), the ranking Republican on the House Budget
Committee, said the CBO analysis underestimates the long-term economic
consequences.
 
“Number one, the spending spends out very slowly, so it doesn’t give
you much of a pop,” Ryan told CNSNews.com. “Number two, it costs much
more than advertised. Number three, at the end of the day, it would
have been better to do nothing for the economy given that it [the
stimulus package] will reduce GDP growth and wages.”

In the end, all we have is a government that creates a crisis, then uses the crisis for its own benefit, and then lengthens the crisis.

 

 

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