The Palmetto Insider

The blog of the South Carolina Policy Council

Stimulus Cost: $1.5 million per job

with 2 comments

The first round of stimulus reports are in, and the results are not comforting.

According to recovery.gov, 146 jobs have been created in South Carolina as a result of the stimulus. At a grand total of $219,560,000.

That’s a whopping $1,503,835 per job.

This remarkably high figure is worth repeating.

$1.5 million per job.

How’s that for “government efficiency”?

Think of what local business owners could have done with $219,560,000. How many jobs the private sector could have created.

According to economists, every time government spends more money, it actually shrinks the private sector. Some estimates show that for every $1 government spends, the private sector shrinks by $0.20 cents.

That means that so far the federal stimulus has actually shrunk SC’s economy by $43,912,000.

When government tries to grow the economy, it’s like taking $1 from your left pocket and putting it in your right pocket – only during the transfer, you drop two dimes on the ground.

Advertisements

Written by Geoff Pallay

October 19, 2009 at 1:08 pm

2 Responses

Subscribe to comments with RSS.

  1. That is great information – proved what y’all have been saying all along – that the stimulus was a sham. Thanks for staying on the story and thanks for the word picture of the dollar and the two dimes. Great stuff.

    Joshua Gross

    October 19, 2009 at 3:44 pm

  2. […] Economic development: Every time the state spends $1 on economic development, it destroys 20 cents in the private sector. Members of the General Assembly are often engaged in activities they say […]


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: