Sunday, February 08, 2009

Stimulus Bill Is Nearly Half Pork!

No matter your political party affiliation, one should be concerned about the so-called stimulus bill making its way through Congress. Nearly half of this bill is earmarks (i.e., pork).

The Political Calculations website has a breakdown of the spending bill in a brief article titled:
The article contains the below chart:

(click to enlarge)

stimulus bill chart february 2009The seemingly "panic" efforts by the White House to pass this bill is representative of their lack of understanding of the the factors that are causing this economic crisis. Todd Sullivan has a brief comment that addresses the mark to market accounting issue in an article titled:
On one hand, I believe the market price is what it is. On the other hand, the dysfunctional market for some credit investments leads one to price investments far below market value even though all payments are being received. Is it as simple as a revision to the mark to market accounting rules that could ease the credit markets?


1 comment :

Miguel Barbosa said...

Hi,

Great insight into the bailout money. I tried to post a couple of articles regarding the fed's balance sheet on SimoleonSense. And I believe paul kedrosky is also addressing the issue rather frequently. Keep up the great work. I really enjoy linking to you.

Best Regards,
Miguel Barbosa
www.simoleonsense.com