Obama Stimulus Plan Could Hit $1 Trillion

(AP)  After consulting with economists from across the political spectrum, President-elect Barack Obama's advisers are contemplating an economic recovery plan that could cost as much as $1 trillion over two years.

The figure is far bigger than the $600 billion that Mr. Obama's team initially envisioned.

A number of economists, including former advisers to Republican presidential candidate John McCain, have suggested to Mr. Obama's team that the economy needs a much bigger cash infusion, possibly up to a $1 trillion over two years.

Mr. Obama's top economic advisers solicited the opinions as they worked to assemble a spending plan that would meet Mr. Obama's goal of saving or creating 2.5 million jobs over two years.

Mr. Obama advisers say his team has not settled on a figure. But the advice represents a far bigger sum than his advisers had considered.

Among those whose opinions Mr. Obama advisers sought were Lawrence B. Lindsey, a top economic adviser to President George W. Bush during his first term, and Harvard professor Martin Feldstein, an informal McCain adviser and former chairman of the Council of Economic Advisors under President Ronald Reagan.

Feldstein recommended a $400 billion investment in one year, Mr. Obama aides said. Lindsey told Mr. Obama's team that a package should be in the range of $800 billion to $1 trillion. The advisers revealed the discussions on the condition of anonymity because no decisions had been reached.

Mr. Obama's team has been spending the past several weeks reviewing economic data and consulting with experts to arrive at a dollar figure considered large enough to turn around the sinking economy. Many economists agree that an infusion of government spending is critical to get out of a recession.

Obama advisers say they agree with forecasts that predict that without a government infusion, unemployment will rise above 9 percent and not begin to come down until 2011.

Mr. Obama's economic team believes that to put unemployment on a downward trajectory with a goal of 7.5 percent or less over two years would require a stimulus package of about $850 billion.

A stimulus package that approaches $1 trillion, however, could run into significant Republican opposition in Congress. It also could cause heartburn for moderate and conservative Democratic lawmakers, known as Blue Dogs, who are budget hawks and loathe large budget deficits.

Mr. Obama has said he wants Congress to assemble a recovery package that includes massive spending on highway and bridge repairs and maintenance, new and upgraded schools, energy-efficient government buildings and a host of new environmentally friendly technologies.

This week, House Speaker Nancy Pelosi said Democrats are preparing a recovery bill in the range of $600 billion, blending immediate steps to counter the slumping economy with longer term federal spending that encompasses Mr. Obama's plan.

[scienceman1-2009]

Someone help me with the MATH. Bush''s stimulus was 150 billion and I got $1500.00 Dollars. If this stimulus is 850 or more billion then I would get 5 time more or at least or about 7500.00 WOW. What am I missing if anything?????????????

[truthislife1]

Ever thought about paying the bills with the 600B instead of stimulating anything besides more debt?

[vranger]

You know, Ronald Reagan reduced unemployment from almost 8 percent (caused by the Carter/Demo Congress combo) to just over 3 percent ... without one single jobs program.

This lamebrain can''t even get sworn in before he has to plan on spending all that money he lied to you that he didn''t plan to spend.

ROFLMAO

[likenoone-2009]

.
This has proven the fact that white people are stupid

[rhs648]

Without making any judgements about the possible trillion dollar stimulus package under President Elect Obama, it is obvious that tax increases will be needed. Already, many state and local governments are seeing revenues falling short of what is needed to keep things going. This tax increase will probably hit the middle class hardest. Government has the ability to tax, sell bonds, print money, and borrow as needed. Even if taxes are raised on the wealthy, they will probably pay less in taxes since the value of their investments have tumbled. Of course, the value of pensions and investments of the middle class have also been hurt.

[faletinme]

Dems have already spent double the cost of the Iraq War in trying to convince the markets that Obama won''t be a total economic disaster. They have failed.

As everyone knew, these dems are BIG BIG spenders. They voted to blow 700 million on Wall St, now a Trillion on feel good public works projects. At the end they''ll borrow another trick from the Democrat playbook....just like their hero FDR they''ll put us into WWIII as a means of econobamic "stimulus".

[faletinme]

This poor little photogenic neophyte is in way way way over his head. It''s gonna be funny as hell watching him back away form all his lofty promises, trying to use the "well I guess I was wrong" excuse. The thing is, everyone told Obama he couldn''t pull off all that he promised but he just kept LYING.

The funniest will be when Federal Tax increases impact those below the 250k/yr annual level. This was the one thing that Obama swore on his honor that he would not violate.

We''ve been under Democrat rule since Jan 2007. How many here can truly say they are better off since Pelosi/Reid/Obama and company grabbed power? Personally, I''m lucky. I''m about the same. It doesn''t seem as though most are.

But then, we can take solace in knowing that Obama has had years of experience managing difficult economic time. I''ve heard that he can cure any ill by yelling "Yes We Can!" in energetic fashion!!! Thank God.

[edintex]

Lets see. Somebody tell me if my math is correct...1 TRILLION dollars divided by 2.5 million new jobs equals $400,000 per new job created.

If the math is correct, why dont they just GIVE those 2.5 million people $50,000 per year over the next 8 years. It would end up costing LESS than 1 TRILLION dollars to do that since it is over an 8 year period. We should have a national lottery to get a chance to be one of the lucky 2.5 million.

[slinginrich]

Kennedy knew that if the silver-backed United States Notes were widely circulated, they would have eliminated the demand for Federal Reserve Notes.
This is a very simple matter of economics. The USN was backed by silver and the FRN was not backed by anything of instrinsic value. Executive Order 11110 should have prevented the national debt from reaching its current level (virtually all of the nearly $9 trillion in federal debt has been created since 1963) if LBJ or any subsequent President were to enforce it. It would have almost immediately given the U.S. Government the ability to repay its debt without going to the private Federal Reserve Banks and being charged interest to create new "money".
Executive Order 11110 gave the United States the ability to, once again, create its own money backed by silver and real value worth something.

[slinginrich]

"The high office of the President has been used to foment a plot to destroy the American''s freedom and before I leave office, I must inform the citizen of this plight."

- President John F. Kennedy, 10 days before he was murdered.

http://www.john-f-kennedy.net/thefederalreserve.htm


JFK vs. The Federal Reserve

On June 4, 1963, a virtually unknown Presidential decree, Executive Order 11110, was signed with the authority to basically strip the Federal Reserve Bank of its power to loan money to the United States Federal Government at interest. With the stroke of a pen, President Kennedy declared that the privately owned Federal Reserve Bank would soon be out of business. The Christian Common Law Institute has exhaustively researched this matter through the Federal Register and Library of Congress. We can now safely conclude that this Executive Order has never been repealed, amended, or superceded by any subsequent Executive Order. In simple terms, it is still valid.

(The FED is acting in violation of present U.S. Law)
(as are ALL our Representatives in both Houses, the) (Judicial, and the Executive. All Federal Reserve) (Notes are unlawful.)