

In 2008, the men and women of Congress have, reacting to the subprime mortgage fiasco, passed the Emergency Economic Stabilization Act, which in essence was a bailout of the financial system, authorizing the U.S. Treasury to use $700 billion in funds to buy distressed assets (particularly mortgage-backed securities) and fork out money to failing banks that were affected by the mess.
Following on the heels of this, $787 billion more in funds were authorized in February this year in the American Recovery and Reinvestment Act, also known as the “stimulus package”. The funds were directed mostly to be spent on such things like the tax cuts, social welfare related expenses, education, health care, infrastructure, and the like, all in the name of “stimulating” the economy. Of course, also included in the bill were funds to be used on many pork projects.
And now, even after our government has spent over $1 trillion on bailouts to failing finanancial firms and on expensive measures to supposedly “stimulate” the economy, we are seeing signs that, apparently, our government thinks it hasn’t spent enough money on saving the economy. Our government, it seems, is thinking about using funds on a second “stimulus package”, this time tailored to stem the rising unemployment rates.Â
Consider this: White House senior adviser Valerie Jarrett in one moment, when asked on Meet the Press if President Barack Obama was considering a second stimulus, said that “I think it’s too soon. It’s premature to say, ‘Is a second stimulus needed?’ ,” but in the next moment said that the White House was mulling over measures that have the potential to stimulate the economy.
Consider also this, an excerpt from an article from Time.com:
“But at the White House, there is no confusion. More stimulus is coming, but it just won’t be called stimulus. Economic advisers, in concert with senior Democrats in the House and Senate, are planning additional piecemeal benefit extensions, tax breaks and other spending that could eventually add up to as much as $100 billion, say some outside experts. ‘The fact is that this is a word game. It isn’t a discussion of the ’second stimulus,’Â ’ says Jennifer Psaki, a White House spokeswoman. ‘This needs to be an ongoing discussion between the President and his economic team about new ideas and ways to get people back to work.’