NPR interviews the AP reporter who conducted an analysis of stimulus spending in one particular area - road construction. His finding was that in addition to having no effect on total unemployment, it didn't improve construction employment either.
The American Recovery & Reinvestment Act was touted by President Obama as key to putting America back to work. A year later, the Associated Press found that though road and bridge spending employ some in that industry, it wasn't enough to be measured in total employment rates. These results may have an effect on the second stimulus bill known as the Jobs for Main Street Act which passed the House of Representatives last December.
"President Obama's $787 billion stimulus plan was intended to help the economy through tax cuts and job creation. One particular area of job creation was construction jobs to repair roads and bridges. But a new report from The Associated Press shows that spending in those areas has had no effect on local unemployment. AP investigative reporter Matt Apuzzo talks to Melissa Block about the report."
Interview is 4:15 minutes.
Thanks to MTC-ABAG Library
FULL STORY: AP: Road Projects Haven't Helped Employment
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Journal of the American Planning Association