This is the most outstanding image from John B. Taylor where he offers clear graphical evidence that the Bush stimulus did not work and the Obama stimulus did not work because as learned long ago temporary income changes do not change long term behavior.
Friday, October 30, 2009
This chart is cited in an excellent testimony by Dr. Kevin A. Hassett, Senior Fellow and Director of Economic Policy Studies, American Enterprise Institute before the Joint Economic Committee October 29, 2009. His testimony is "The Impact of the Recovery Act on Economic Growth" and is an excellent review of economic thought on how to grow the economy.
The entire Joint Economic Committee session is on video here as are links to all the testimony by each of the presenters.
WHAT: JEC Hearing: The Impact of the Recovery Act on Economic Growth
WHO: Panel I: Dr. J. Steven Landefeld, Director of the Bureau of Economic Analysis, U. S. Department of Commerce
Panel II: Dr. Karen Dynan, Vice President, Co-Director of the Economic Studies Program and Robert S. Kerr Senior Fellow, Brookings Institution
Dr. Simon Johnson, Ronald A. Kurtz Professor of Entrepreneurship, MIT’s Sloan School of Management, Senior Fellow, Peterson Institute for International Economics
Dr. Mark Zandi, Chief Economist, Moody’s Economy.com
Dr. Kevin A. Hassett, Senior Fellow and Director of Economic Policy, American Enterprise Institute
WHEN: 10:00 a.m., Thursday, October 29, 2009
WHERE: 2237 Rayburn House Office Building