Just Do It?

I have now read H.R.1–The American Recovery and Reinvestment Act of 2009, as passed by the house; I feel, therefore, that I am now entitled to an opinion on it. Yes, I went through some of it’s 647 pages pretty superficially. To use Tricky Dick Nixon’s phrase, I gave some sections – like the fine points of loan and tax provisions – a “fast brush.” Nevertheless, I have formed an opinion based on what I read.

I’m not an economist, so I don’t know how to reverse an oncoming depression any more than they do, but I can recognize a well thought out program when I see one (I did that for a living). Some very good thinking went into H.R.1. I’m not prepared to do a detailed explication or even a short synopsis, but there are plenty of both available on the internets. Here are some highlights though (without going into programmatic issues):

STRATEGIC CHOICE OF TARGET AREAS: The plan selects appropriate sectors for intervention. Just read the section headings.

SIGNIFICANT ACTIONS: The plan employs appropriate interventions in the chosen sectors.

STRONG SYNERGIES: The linkages between interventions within and between sectors have been carefully designed to be mutually reinforcing and to act in concert with one another.

TRANSPARENCY AND CONTROLS: Oversight as well as monitoring and evaluation systems are built into the plan, and funding is provided for them. Requirements for transparency are spelled out, especially with respect to grants and contracts, all of which are to be available on the internet. Funding is provided on a “use it or lose it” basis: grantees and contractors must get to work fast or the money is taken back.  Section 1.1.1.2, of the plan (Additional Assurance of Appropriate Use of Funds) stipulates that Illinois can not receive any funds while Rod Blagojevich is Governor (cute).

It’s a smart plan. I don't know if it can avert a long depression, but cutting taxes sure doesn't sound smart. And it does seem as though we ought to do something pretty damn fast. Maybe Paul Krugman is right, and it’s not big enough, but let’s get it rolling and we can beef it up later.

Shit Journalism: Is this guy malevolent or just dumb & lazy?

So this boston Globe staff writer, Michael Kranish, sees a pie chart on Moody's Economy.com. It's titled "Economic Stimulus: House Package" and one slice of pie is labeled "highway/rail/mass transit $42b."

Q.  What would another good name for that slice be?

A.  Transportation.

WRONG! according to Kranish. He calls it "infrastructure," and proceeds to spin out a very deceptive article, "Only 5 percent of $819b plan would go toward infrastructure" (The Boston Globe, 1/28/09).

Michael Kranish’s article is very misleading, if not deceptive. The author only counts highway, mass transit, and rail projects as infrastructure. He ignores all housing and military construction, rural development works, water projects, and other elements of infrastructure. He goes so far as to specifically exclude electricity distribution systems from infrastructure, in his reference to "smart electricity grids."
I went through H.R.1 – The American Recovery and Reinvestment Plan of 2009, line by line, and determined that about 25% of the money goes for infrastructure. That’s not a precise number. It could be about 10% less or it could be considerably more: I wasn’t able to precisely disaggregate the construction component of some programs from other program elements. Nevertheless, there’s no way it’s only 5%. My total came to $195,799,000,000, which is 24% of the total $819b. Here’s how it breaks down, showing the approximate amount allocated for infrastructure, by sector.

TITLE II—AGRICULTURE, NUTRITION AND RURAL DEVELOPMENT 13,391,000,000

TITLE V—ENERGY AND WATER 15,175,000,000

TITLE VI—FINANCIAL SERVICES AND GENERAL GOVERNMENT 7,300,000,000

TITLE VII—HOMELAND SECURITY 300,000,000

TITLE VIII—INTERIOR AND ENVIRONMENT 13,525,000,000

TITLE IX—LABOR, HEALTH AND HUMAN SERVICES, AND EDUCATION 80,654,000,000

TITLE X—MILITARY CONSTRUCTION AND VETERANS AFFAIRS 7,554,000,000

TITLE XII—TRANSPORTATION AND HOUSING AND URBAN DEVELOPMENT 57,900,000,000

TOTAL $195,799,000,000

In addition to the direct investments in infrastructure, there are various types of loans as well as tax incentives in the plan, that would support infrastructure projects. The Boston Globe article is very misleading, to say the least.

PTSD? Why screw around with a shrink, when god is there for you?

Purpose driven chaplain is out there proselytizing the troops. check out
http://www.huffingtonpost.com/chris-rodda/creationism-the-latest-in_b_147155.html

Hallelujah! Now it's feet to the fire time

Harvey Wasserman offers a good menu. Check it out at:

http://www.huffingtonpost.com/harvey-wasserman/a-ten-point-solartopian-s_b_159112.html