Cost-benefit analysis of jobs stimulus

December 7, 2009

Hopefully any new plan will have a better ROI than the current stimulus package. Economic analyst  Ed Yardeni runs the numbers:

The Obama Administration is touting that their stimulus program has saved or created 640,329 jobs since it was enacted back in February through the end of October. This number is updated and posted on the Administration’s recovery.gov web site. That amounts to $246,436 per job based on the $157.8bn that has been awarded so far! Total compensation earned by the average payroll employee during October, on an annualized basis, was $59,867. If the government had simply used the funds awarded so far to pay for a year’s worth of labor, that would have paid for 2.6mn jobs!

James Pethokoukis is the money and politics columnist/blogger for Reuters Breakingviews. Previously, he was the economics columnist for U.S. News & World Report where he wrote the monthly Capital Commerce magazine column. Pethokoukis was also the managing editor of the magazine’s Money & Business section. He has written for many publications including the New York Times, the American, USA Today, Investor’s Business Daily, and TCS Daily. Pethokoukis is also an official CNBC contributor and appears frequently on that network’s Kudlow & Company, Power Lunch, and The Call shows. In addition, he has appeared numerous times on MSNBC, Fox News Channel, Fox Business Network, CNN, and Nightly Business Report on PBS. A 1989 graduate of Northwestern University where he double majored in Soviet politics and American history and a 1991 graduate of the Medill School of Journalism, Pethokoukis is a 2002 Jeopardy! champion.james.pethokoukis@thomsonreuters.com

106 comments

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that’s probably over estimated as well.

my guess is the actual number per job is worse.

Posted by nmh | Report as abusive

I’m sure the Democrats will defend this with the old cliche:
“If the Economic Stimulus had only saved or created one job, it would have been worth it.”

Posted by Hawksprings | Report as abusive

The stimulous money went to thinks like building roads and bridges. Last time i checked the resources to do this were not free. Thats where most of the difference in the money goes and that helps to stimulate the economy too since it has to come from somewhere.

Posted by Stevedave | Report as abusive

This is such a stupid “analysis.” Stimulus money went to tax cuts and safety net programs, which aren’t supposed to create jobs immediately.

Posted by Ben | Report as abusive

[...] $timulus Bill spending so far equals $246K per job generated! [...]

The government (Republican or Democratic) never spends money well, that’s why we need less government!

Posted by Brian S | Report as abusive

This number is appalling! Nepotism is running rampant, and ‘stimulus money’ is being wasted like so much confetti at a popularity parade. Give a man a fish, and he’ll eat for a day. Teach a man to fish, voila! You’ve just created a job. Probably for much less than a quarter-million $$. For shame, all you ‘job-creators’!

Posted by LeeStr | Report as abusive

We would have been better off if they just dropped the money from space.

Posted by EricBrodin | Report as abusive

I guess that means we could get 4 jobs for the cost of every soldier we send to Afghanistan for a year.

Posted by Brad | Report as abusive

This is such a stupid “analysis.” Stimulus money went to tax cuts and safety net programs, which aren’t supposed to create jobs immediately.

Really??? Tax cuts? Oh yah, for those who don’t pay tax, that makes total sense, that will create jobs…wait, huh?

Posted by Allen | Report as abusive

The analysis is fair in as much as the cost per job, however the value gained will be larger as value is added on some of these projects. Sadly, a complete boondoggle. Prepare for rounds 2 and 3. The EPA is out for blood. We all now exhale harmfull gas which needs to be regulated. The government takeover of healthcare.

Posted by antiDave | Report as abusive

Being that the first stimulus did not succeed, and the 2010 elections are coming soon… try, try again!… the doo daa, do nothing corrupt radicals in Washington DC!

Posted by Rank | Report as abusive

First of all, Stevedave (3:25PM) is incorrect… The vast majority of the money already spent has NOT been spent on infrastructure, which is why some Democrats are talking about another $200 billion (+ or -) stimulus – so they might have something to show for all the money down the drain come election time. And, while Rueters is running fact checks… I wonder how many of those “created or saved” jobs are held by union members whose leaders virtually always donate to Democrats? Just wondering…

Posted by Greg | Report as abusive

“A government big enough to give you everything you want, is strong enough to take everything you have.” ~ Thomas Jefferson

ENOUGH SAID…

Posted by Wise Man | Report as abusive

Have they yet calculated the cost per job lost. We have lost millions of Jobs since the stimulus pass…seems rather cheeky to be bragging about saving jobs when unemployment is rising like water on a sinking ship. Le

Posted by CJ | Report as abusive

I formerly worked with a company that sold food service equipment, often times to government entities. I remember being called to give information for an Illinois state agency’s report on the effectiveness of the stimulus money that a lot of schools were using to purchase equipment. When asked how many jobs had been created where I worked due to the ARRA funds, I truthfully responded “none.” The lady questioning me said, “Are you sure?” I assured her, “No new jobs here.” “Oh, come on,” she said, “there have to be a few peoplethat were hired because of this where you work.” I had to repeat my answer of “none” several more times, even at one point giving her the staffing numbers in a before and after manner.

“Fine,” she finally said. “I’ll just put down 10.” And then promptly hung up on me. No surprise here when I heard that the reports were rife with inaccuracies.

I agree with nmh – the jobs are over-estimated and the costs are under-estimated. This number is only goingto get higher.

You math is a little faulty. If you look $156 billion has been awarded but only $37 billion has been received (www.recovery.com).

This would be ~ $55,000 to $59,000 depending on rounding.

Plus not all of it went to jobs. A lot went to energy audits or construction projects, of which only a portion is labor.

Now I agree that the numbers are faulty in terms of the process for counting jobs saved, but until the money is received a job isn’t counte I believe.

I also think that there are payouts to unions occuring behind the scenes, but more accurate reporting should be done before publishing an article about this.

Posted by Chris | Report as abusive

Safety nets like the extension of unemployment benifits only succeed in creating govt. Jobs.

Which in turn cost even more. In a tax based economy heavy handed politics results in the loss of a limb to fund the painting of a fingernail…

Posted by Genius | Report as abusive

Its plainly obvious that Obama’s claim of 600k jobs is vastly overstated. The real # of jobs “saved or created” is far less, probably actually in the negatives.

I’m guessing that the figures on the WH website are exaggerations or outright deception. Most likely the cost per job is vastly higher.

I’M MAD AS HELL AND I’M NOT GOING TO TAKE IT!

Posted by The Grateful Dad | Report as abusive

640k jobs created….where? The math is faulty, simply becasue the premise is wrong. Its common knowledge that there was no place for businesses that received our tax dollars to record a zero, for the number of new jobs created. Hence, a multitude of jobs were created, when in reality, those monies went to payraises.

Posted by BMM | Report as abusive

Looks like someone should have gone to real school for math instead of home school. Seems like conservatives don’t want to give a man a fish when they can teach him how to fish, then let the nearby power plant pollute the lake and kill the fish. So at least when the libs are done the man has dinner. When the republitards are done the lake is destroyed the cost of bait is through the roof and whatever savings he may have had are no longer his but in the pockets of some Wall St banker who repossessed his fishing rod. And then they’ll try to convince you that’s freedom.

Posted by tim | Report as abusive

i wouldn’t expect a writer to understand, but as a guy that works with million dollar equipment everyday, i can tell you that labor isn’t the only cost required for creating a job. congratulations on attempting to make up your own statistics… but maybe now you found out why you comment on economics, not advise.

Posted by Derek | Report as abusive

Wow, talk about a flawed “analysis”…

What’s the point of using the stimulus to pay someone’s salary for just one year and then dropping it? Let’s assume for a second that the numbers here are in fact accurate. $246K per job doesn’t seem so bad if you consider that it’s not a 1-year temp contract as the article suggests would have been a better idea. If the job is sustained for 2 years, that’s $123K per year. 5 years? $49.2K per year. 10 years? 20 years? you get the point.

Let’s ignore facts, and stop our analyses short, lets make these numbers look as bad as possible. After all, we don’t want the truth. We just want to make Democrats look bad, right? They can’t possibly get credit for doing anything positive for this country. Hail Reagan!

Posted by cv | Report as abusive

We would have been better off just handing those 640,329 job seekers $50,000 and saved 80%. Or at $50,000 per head, we could have handed out the same $157.8bn and helped out 1.25 million people instead…and they would have all been spending.

Also, why has only 20% of the entire stimulus package has been spent? Most won’t be spent until the recovery is well under way. Shows what the real purpose of the Stimulus Package was for…Christmas for Liberals…get all the items on their wish list checked off.

Posted by Jeff | Report as abusive

Spain has been playing the green job farse for over a decade. Economists at the University of Madrid costed out their value. For every one green job that was established it eliminated 2.2 jobs in the private sector, and cost every man, woman, and chiled over $24,000.

Government has gone insane. It is all about controling as much of the sectors of the free market as possible, and controling every element of the U.S. citizens lives as possible. It is Liberal social engineering at its best. The only question is whether it will take a Maoist or Stalinist form.

Posted by Cogito | Report as abusive

Wow…so many foolish lemmings we have in this country. I’m not speaking to the article but rather to some of the various posters here….entertaining but frightening. Let me know how your noble government suppoted businesses work out.

Posted by Jason | Report as abusive

In the school district where I live math aides were laid off on one day and rehired the next and were explicitly told this was to claim a bigger share of stimulus money. The district had no plan to lay these folks off until they realized what a cash cow they had. These would be some of the “saved jobs” we hear so much about. Disgusting.

Posted by Sheila | Report as abusive

Anyone who thinks that “the money” went to roads and bridges is a fool. You have been duped! A trillion dollars later our economy and the dollar is weaker as the money went to political cronies!!!!!!!!! Obama the little boy president will collapse our dollar! What was it those crazy republicans said – HE DOESN’T HAVE ANY EXPERIENCE!

Open your eyes! He is already giving terrorists the same rights as US citizens! WHEN WILL IT END? WHEN WILL IT END?

Posted by Pog | Report as abusive

@Stevedave….tax cuts do NOT stimulate the ecomony. No small business hires people because of some $1,000 tax break. It is all about cash flow. Tax breaks/credits are pretty much useless for any small business when it comes to hiring new workers.

Posted by Enzo | Report as abusive

[...] post: Reuters.com Related PostsQuick Fact: Beck falsely claims no jobs are being "saved or …The American [...]

Does anyone remember tObama bragging about how the Stimulus would “jump-start” the economy, and that it would limit unemployment to a max of 8%. Here we are almost a year later. Where’s the “jump-start”?

Posted by Richard | Report as abusive

Hey Pog….tax cuts sure worked back in the ’80s.

Posted by Richard | Report as abusive

Can’t any of you idiots spell?

TRANSLATION: (for those who can’t):
Cannt’ eny off eu idiuts sppel /

Ben???
“Stimulus went to tax cuts ….”
????
where?
I must have missed it because whatever tax cuts were received are a far d=cry from the expenses.
Best to see a proctologist as your head is stuck

Posted by fred astaire | Report as abusive

Where is the outrage from the Republican leadership?

Posted by Charles Lewis | Report as abusive

We currently have what, about 36 million people out of work now??? That means instead of all the farcical “stimulus programs”, the government could have given each person who has lost their job roughly $25,000 (if they spent all the stimulus money). If Healthcare and Cap & Tax passes — we’ll have 75 million out of a job. When is somebody going to wake up and stop the train wreck????

Posted by Melanie Massey | Report as abusive

Where are the shovel ready projects? All lies. All distortions. All corrupt. People’s mortgage’s should have been paid off so that people could remain in their homes. Foreclosures are still occurring. Obama is now at 47%. And the hits just keep on coming.

Posted by Max Baucusville | Report as abusive

Does anyone believe the 640K jobs created figure? Remember folks some of these jobs supposedly were created in the 99th Congressional district of N. Dakota which would be fine except ND has 1 district, not 99.

The stimulus is nothing more than a slush fund for Democrats and their cronies in the unions.

Posted by JJ Jetson | Report as abusive

If they had just given all taxpayers a tax break the recession would be over. But no…they have to control the whole deal. We can’t be trusted with our own money. How do we elect these yahoos in the first place?
Our elected officials are doing everything they can to mess up the best economy, the best health care, the best people on earth.
Folks…the government is just people. They may posture and pose and feel that they know more about what is best for us than we do…but it is all baloney.
Throw them all out. Let’s start over. Better yet, a moratorium on new laws!

Posted by Rick Jones | Report as abusive

STIMULUS MATH: $246,436 cost per job so far… – that would have bought 5 Mercedes per job created and we wouldn’t have needed cash-4-clunkers

Posted by Joesph Billings | Report as abusive

At-least we created jobs here in Arizona’s 15th Congressional District.
(Only problem is Arizona ONLY has 8 Congressional Districts. Guess it like the 52 States he visited with only 5 more to go!)

Posted by David Slaughter | Report as abusive

[...] end of October. This number is updated and posted on the Administration’s recovery.govweb site. Read all about it at Reuters. [...]

This is so sad. Obama has taken a downturn in the business cycle and turned it into a long-term economic disaster. Things are far worse than they were ten months ago, thanks to this “job stimulus” program. Not only do we have way fewer jobs, but we have this huge debt that could take a decade to pay back. I’m a retired person, so I’m not too worried about myself. Who I worry about are all the young people who naively believed this “hope and change” garbage. Now, they will be paying back the debt their entire lives with higher taxes and with fewer opportunities. It can be reversed, but I’m not sure young people today have the ability to admit they were wrong and vote for conservative government.

Posted by Carl | Report as abusive

640,329, that number is so precise its comical…this is just like climate change. Both Climate change and ‘jobs saved or created” are based upon a theory that seems reasonable, but is unsupported by actual hard data and the data available is subject to manipulation.

what is truly disconcerting is that the Oblama administration has no apparent idea how badly their credibility is damaged when they ‘promote’ like this. these guys are no different than the jugheads who pushed CMO’s earlier in the decade: “everything is fine, these are great investments, rating agencies gave it an investment grade rating” and we know how that turned out.

Posted by nmh | Report as abusive

I wonder how much each of the no-show patronage jobs created cost?

Posted by John | Report as abusive

Lets raise taxes giving the people less money to spend to stimultate the economy, so that Nancy Pelosi can spend $3,000 on flowers and the govt. as a whole can waste $98 billion in taxpayer’s money. Cut taxes for small businesses and this will allow them to hire more people, it’s common sense not politics. If a business has less money obviously they cannot hire new employees.

Posted by David | Report as abusive

There were minor tax credits, NOT cuts, thrown into the stimulus bill. This was all a clever strategy. On one hand, you can get Republicans to help support the stimulus bill because it was “bi-partisan” and had “tax cuts” in it. If this occurred, you had Republicans to help share the blame if the bill was a failure. You then get to claim that “tax cuts” weighed on the effectiveness of the stimulus. On the other hand, if Repubs did not vote for the stimulus even with their preferred economic strategy of “tax cuts”, you can still proclaim supply-side tax cuts as a failure because Republican’s would not vote for it.

Posted by franko | Report as abusive

==============================
JUST GIVE ME THE $246,436 AND I’LL HAPPILY JOIN THE RANKS OF THE UNEMPLOYED.
==============================
But the reality is $246,436 was spent by the federal government on one person so the individual could earn a small fraction of that in wages. Talk about excessive government waste.

Posted by N Waff | Report as abusive

If these awards went to Govt contractors, and the individuals only get around $60K, the overhead and profit are apparently huge – what were these? Healthcare companies? Doctors and hospitals?

Posted by JT | Report as abusive

Vote out the incumbents! There is no difference between the two party’s! They take turns ripping us off and controlling us!

Vote 3rd Party! Send a message! No more rigged two party system!

Posted by BDDD | Report as abusive

I’M MAD AS HELL AND I’M NOT GOING TO TAKE IT!

I’M MAD AS HELL AND I’M NOT GOING TO TAKE IT!

I’M MAD AS HELL AND I’M NOT GOING TO TAKE IT!

Posted by a Wise Man | Report as abusive

Rome is burning, folks. History tells us what happens next.

Posted by Joseph | Report as abusive

These aren’t jobs. Its should be called what it is. Job Welfare. This is government efficiency at its best and as you can see its pretty bad. Welcome to Democrat/Socialist Government. YES FOLKS ITS SOCIALISM!!!!!!!! They have failed. Only a free market and private industry promote long term growth. The business of America is business, not Socialism.

Posted by kmpk | Report as abusive

Wise Man- shut up and take it like the rest of the lemmings.

Posted by Bill | Report as abusive

it is amazing to see the most idiotic comments here which try to defend the obambi stimulus funds… these idiots are a sign that America is doomed… soon, these folks will breed more idiots who will overpopulate the U.S. They will then be allowed to vote…

Posted by cliff claven | Report as abusive

Imagine what health care, run by the government, will really cost.

Posted by Jim Baker | Report as abusive

TERM LIMITS! Seems the only way we will get control of the congress.

Posted by Greg | Report as abusive

[...] 640,329 jobs have been “created or saved.” That’s $246,436 per job. According to Reuters, Total compensation earned by the average payroll employee during October, on an annualized basis, [...]

So I want to know why the lame-stream media isn’t crucifying Barry O and those lame idiots Pelosi and Reid. Oh, I forgot, they’re all in this thing together. Well that would just make me want to wish that all of the lame-stream media just dissolves into nothing. Lets see a few of those overpaid reporters slinging hash for a while.

And that Imbecile in Chief in the White House should be horse whipped for lying to everyone. He can make fools of his own base, but if you look closely at him, his only desire is to dismantle this county and he’s doing a good job at it. Run him out of town.

Posted by RDavid | Report as abusive

Impeach Obama Now!

Posted by T. Patrick Henry | Report as abusive

Obama’s Legacy.

Posted by Nofanoflefties | Report as abusive

Crap like this is why I voted for John McCain

Posted by Jeremy | Report as abusive

Thanks for the votes, Suckers!

Posted by Bogie | Report as abusive

The stimulus was and still is wasteful spending by the government. States have admitted to building new bridges instead of repairing old ones. It has also been shown that some spending was entirely un-needed (The Murtha airport is a great example) Economists are even saying that the cash for clunkers program did more harm than good. What tax cuts are some of you people referring to? The homebuyer’s tax credit? When the members of congress stop giving themselves pay raises and living well beyond the means of average citizens then I will believe that their spending programs are not wasteful. Until then I am still looking at the upper class dictating to me that they know how best to invest American’s money all the while eating caviar and drinking 100$ bottles of wine from their private cellar in their 1million dollar vacation home.

Posted by Taylor | Report as abusive

The stimulus is on pace to do exactly what the CBO projected it to do.

Suck it up loser conservatives – there is no argument you can make based on reality that the stimulus hasn’t done what it was supposed to do.

Posted by Worthless Blogs | Report as abusive

How does the White House claim to have “saved” any jobs, when the number of people out of work is 7 million (or more)? Last I looked, if fewer people are working now, than were at the beginning of the year, then the government has not saved any jobs…..The government is like the arsonist who sets the hillside on fire, and after 150 homes are destroyed, claims that he “saved” 4 houses from being burnt to the ground. WHAT????

Since the government cannot produce anything, it cannot create a job. For every job the government claims it has “created,” it has to steal money from a taxpayer in order to pay the person doing the created job. Government jobs are not real jobs: they are overhead.

Here is some simple math for everyone….the “stimulus” is simply the Federal government taking a huge cash advance from the taxpayers. Then they spend this money on whatever they wish (slush fund), and WE will owe them for the debt. Would you hand your credit cards to your kids and tell them to go wild? Well, that’s exactly what has happened, only in this case, they stole the credit cards. They are COUNTING on us being idiots in order to believe their drivel.

Posted by Matt Donnelly | Report as abusive

Who keeps touting stimulus money went to tax cuts?
What tax cuts have happened since Obamanana has been pres.?
Are you off your meds?
Bork Congress or it will soon have a death panel for you. 202-224/225-3121.

Posted by Renny | Report as abusive

we all complain about the high cost of job stimulation but either forget or weren’t diligent with our state and local groups when they have handed out money to bring corporations or parts of corporations to our areas. Boeing brought 100 jobs to the Chicago area and Illinois paid Boeing 50 million dollars to set up those 100 jobs in the Chicago area. math say 500,000 dollars per job to move, not even create. Same numbers for any auto factory brought into any state and never less than 200,000 dollars per job of our tax dollars.

Posted by Shawn L | Report as abusive

Here is an Idea…

How about the IRS leave us Tax-payers the F alone for 1 year. Don’t tax us 1 cent… for 1 year.

See how that helps the economy.

I know it would help me out a ton. I could pay off all my debt in 1 year. But you know that ain’t gonna happen… because these bastards don’t really care about the economy.

They only care about consolidating their power over all of us slaves. That is what we are. No matter what else we have been led to believe you are a slave to the Federal Reserve Slave masters.

[...] cost of one job created from "Porkulus" is just a mere $246,436 per job http://blogs.reuters.com/james-petho…job s-stimulus/ And still no one seems interested in Congress saying enough is enough. This Porkulus is ever bit [...]

[...] spending your money on stimulus. Guess what? Huge waste. Wait'll they're running healthcare. Cost Benefit Analysis of Jobs Stimulus-Reuters.com __________________ Today, there is a name for the political doctrine that rejoices in scarcity [...]

We can cut out the middle man and you guys just send me the $246K.

Posted by astralweeks | Report as abusive

These same people are going to give us cheaper health care for everyone?

Posted by John | Report as abusive

How many real jobs were taken from the economy to pay for these phony government-created jobs.

Posted by LittleTimmy | Report as abusive

No one needs to do anything in order “to make democrats look bad” They have already perfected that process by themselves. It is there sole accomplishment as a part of the government. That is unless you count destroying the capitalist system which created REAL JOBS for many, many decades before the democratic socialist took charge.

Reagan was right. “Government is not the solution.” “Government is the problem.”

Posted by Carl | Report as abusive

[...] $246,436 per job based on the $157.8 billion that has been awarded so far, according to a Reuters report released today. This raises the question of whether Arizona’s phantom counties have been included [...]

[...] Remember? We needed to pass the stimulus because otherwise, unemployment might have exceeded 8%! Reuters.com __________________ CS:S admin. PM DennyCrane for assistance. I don't know Butchie [...]

[...] like this won’t help much: Hopefully any new plan will have a better ROI than the current stimulus package. Economic analyst  [...]

My husband is unemployed…. told by his old company they would rehire him at $8 Less an hour. Yeah, Obama’s plan is working alright….. working at ruining our beautiful country’s economy!! I don’t see anything getting better.

I’m just guessing that one of those jobs saved wasn’t yours. “A recession is when you neighbor loses his job, etc….”

Posted by Lincoln | Report as abusive

Any time the government gets involved in distributing large amounts of money, you know most of it is going to be wasted. We’d have been better off just paying people to do public works projects, at least then the number of jobs created/saved would have been several times larger.

In the end, we’re all doomed anyway, since once the EPA gets its hands on US industry, all our jobs are moving somewhere else. And the funny thing is that worldwide CO2 production will actually go up, since our competitors produce far more pollution per unit of production than we do and won’t be working under the same restrictions.

Posted by TJP | Report as abusive

No, really, if one of those jobs saved had been mine I’d think it was chickenfeed to save it. Did we throw a trillion dollars at the banking pirates?

Posted by Lincoln | Report as abusive

Anyone who says tax cuts don’t stimulate the economic has no idea. Tax cuts stimulate the economy as do tax credits (like the 8k homebuyer credit which really helped the home sales market). Look at the 80′s. Look at 2002-2006. The country is grossly misrun by both parties. We need to start electing real business minds and real people. NOT FALSE HOPE AND PROMISES! I see the idealogy but who actually believed a sophomore senator with ZERO business experience, ZERO legislation to his name and a backwards state of his own was going to fix the real problems of this country. We need more experienced professionals and less politicians running this country. Yes to Romney! No to Palin! Yes to Barack Obama as a senator and not as an inexperienced president. Did you really think this would be any less of a disaster than Bush? I really hope it isn’t…. oh and McCain was honest and was promising to eliminate wasteful spending but for some reason the media convinced Americans that a sophomore senator was a better fit?

Posted by Taylor | Report as abusive

Lots of tar and feathers for the money… can dump it on Washington, DC, and other “elite” places of the Best and the Brightest :-)

Posted by candidus | Report as abusive

Bad news folks, most companies will execute even larger work force reductions in 2010. Hope you all show up at the polls in 2010 and vote the criminals out of office. Until the fascist in Washington cut taxes and reduce government control this depression will last as longed than FDR’s. Socialism fails every time it is tried.

Posted by Barry Soetoro | Report as abusive

[...] per job Posted on 12/07/2009 by Garrett Watson This is a great cost/benefit per job,  from Reuters.com The Obama Administration is touting that their stimulus program has saved or created 640,329 jobs [...]

Thats a bargain. History shows Spain spent 750,000 – 1.5 million per “green” job they created. Just wait ’till we start “making” those.

Posted by tjb | Report as abusive

And Obama and his people are so stupid they’re bragging on it. Amazing.

Posted by bordon mcgillihoppy | Report as abusive

Wait… perhaps this is the same fuzzy math that the Climate folks used. Is the raw un retouched data available for review, afterall we were going to have transparency – right?

Posted by Rick | Report as abusive

The overall total is just the tip of the iceberg – the REAL waste is exposed in the details. How about spending $31 million dollars upgrading two remote border crossing between Montana and Canada? (While spending ZERO dollars on the busiest border crossing point – Laredo, TX – where much needed upgrades are long overdue.

Even CNN of all places had the guts to call this spending – “stimulous shame” (see their story – http://www.cnn.com/2009/US/09/17/border. security/index.html )

I am sure that the fact that Montana’s Senator’s are both Democrats – while Texas has Republican Senators had nothing to do with this colossal WASTE of money.

Posted by Jim | Report as abusive

Only an idiot can ignore all the historical evidence against
large government intrusion in to the private sector and whine about what the government should give them. America became the greatest economy in the world because of liberty and very limited government. The children of the 60′s and later are filled with deluded spoiled brats who want somebody else to take responsibility for them. It never works.

Posted by beck2448 | Report as abusive

The math here is somewhat erroneous. Money awarded is not the same as money paid. Paid money would be the only thing protecting jobs. And the cost per job is about $57K per job….basically the average as reported in the article. Two points tho. Hitting the average is somewhat curious….It is suspicious in its exactitude. Secondly, the 640K jobs is suspect as well. There really isn’t a measurement for “saved”. Those jobs are simply made up.

Posted by DavidB | Report as abusive

So… the next time a politician says he is going to give us “shovel ready” jobs, we will remember this lesson. He/she is just shoveling us some stuff from the barn.

We Americans are so gullible. “Hope and Change”. Right. No wonder P.T. Barnum made such a great living in this country. “Theres a sucker born every minute.” – P.T. Barnum (1810-1891)

We have been led by the nose. How many times must we learn the old lesson… if it sounds too good to be true, then it must be too good to be true. A true workers paradise! “You have nothing to lose but your chains!” HA. Try selling that last line to the millions of survivors relatively recently LIBERATED from marxist USSR.

“Those who fail to learn from history are doomed to repeat it.” — Remember Jimmy Carter? Malaise? Double-digit unemployment, double-digit inflation? Why are we trusting marxist democrat liberal “progressives” (or Communists, by real definition) with our economy?? We can’t learn from these experiences??

So, thank God we have 10.2% unemployment… just imagine how far these marxists could have gone already if they had inherited a booming economy! The people would have encourged them as if we can afford it. Well, as Lady Thatcher said it best: “The problem with Socialism is eventually you run out of other peoples money.”

Get WISE America!!

Posted by Joe | Report as abusive

If those are direct jobs that’s 4 jobs per $1mm. Add to it the typical multiplier of 2.4 indirect for every direct job and we hit almost 10 jobs per million. IF and it’s a HUGE if, that is true, then we didn’t do too badly.

I very much doubt those numbers tho.

Posted by Jeffoo | Report as abusive

P-L-E-A-S-E … let’s be realistic for just a moment folks. “SAVED JOBS” in no way represents a real number. It cannot be tabulated, quantified, or legitimized in any way. It has become one of the latest tools of liars, cheats, frauds, and yes – democrats to attempt to fool the American public. This “saved jobs” joke can just as easily be manipulated to represent 100% of existing jobs as it can 0% … and based on MY OWN EMPIRICAL EVIDENCE that is every bit as sounds as those touting this farcical claim, Obama has NOT SAVED ANY JOBS – EVER. He is however killing this economy by single handedly turning it to poo, all telling the fools that it smells like roses. Wake up people.

Posted by An American Patriot | Report as abusive

This article is STUPID. To be believed one would have to assume that building an interstate bridge or other shovel ready project uses no concrete, no steel, no right of way, and only labor costs would be incurred. In my small community the stimulus has been used for seven or eight sorely needed public projects. Check out your community and you will see that that is true for you as well I would bet. How about some real reporting with real researched facts next time?

Posted by observer | Report as abusive

Unless the administration is actually burning cash, it is certainly going into someone’s pockets. What gratifies me most is that none of those milksops who stood in line for hours to vote for Obama will ever actually see a dime of it.

Posted by FuzzyWuzzy | Report as abusive

You forgot to factor in no-bid contracts, political paybacks, bridges to nowhere, and relatives and friends employed by nepotism. Add to that all the lobbyists, ‘community organizers’ and (of course) politicians employed by the ‘Stimulus’, I’m sure the numbers will come w-a-a-a-a-ay down!

Yeah, right…

[...] Reuters.com. This entry was posted on Tuesday, December 8th, 2009 at 1:00 am and is filed under Dems hangout. [...]

[...] Reuters.com. This entry was posted on Tuesday, December 8th, 2009 at 1:00 am and is filed under Our voice. [...]

[...] The cost of the stimulus? $246,436 per job. [...]

Democrats tax, tax, tax, and spend, spend, spend. They also condone the murdering of babies.

In the words of Johnny Cash, “God’s gonna cut you down.”

Posted by Mike | Report as abusive

China used a smaller stimulus and it worked for them. Dems will try to explain but their argument is pointless with the example of the Chinese stimulus. Our government just gave away money with no return. Our president has also made political concessions without any return. These things are extremely grave progressions from anything I will ever agree with; In fact i disagree strongly.

It was NOT bi-partisan, 1 or 2 votes will never mean bi-partisanship but I take great joy in democrat “glass half full” exaggerations.

Posted by chris | Report as abusive

God damn them to hell.

Posted by Allan | Report as abusive

[...] Now, that works out to a cost of $246,436 per job created, according to figures dug up by the eagle-eyed James Pethokoukis over at Reuters. [...]

[...] window.google_analytics_uacct = "UA-472984-2"; Each stimulus job costs taxpayers $246,436 According to this cost-benefit analysis. [...]

Obama is destroying jobs. His Orwellian talk about “saving or creating” is moronic.

Posted by Freedom | Report as abusive

Wake up fellow American’s.

Posted by Will | Report as abusive

To a liberal, this math makes total sense. But that’s why we’re heading off the cliff, too.

Posted by RJ | Report as abusive

[...] the bolded figure won’t make the evening news: The Obama Administration is touting that their stimulus program [...]

The socialist democrats are destroying America. We need to stop them now!

Posted by Jay | Report as abusive

Hawkspring, I am in engineering and construction, and FYI only 4% of the entire stimulus bill went to construction when it was all said and done. Don’t believe everything you hear out of this man’s lieing mouth, almost the entire stimulus went right back into government in some shape or form. That 4% of construction was in the government sector also, not the private sector.

Posted by Kevin | Report as abusive

[...] Ed Yardeni of Yardeni Research has performed a Cost Benefit Analysis of Jobs Stimulus created under President Obama’s American Recovery and Reinvestment Act: The Obama [...]

It’s just wrong to take the fruits of one persons labor by force and give it as an unearned benifit to someone else. You do not have a right to what I have earned. Who cares about the numbers, it’s the principle thats wrong. I’m happy to give to charities of my own accord, but DO NOT force me to and DO NOT tell me what charities I must support. Again, YOU do NOT have a RIGHT to what I have EARNED.

Posted by Steve | Report as abusive

Sedition in resistance to tyranny is not a crime.

Posted by whosebone | Report as abusive

I would have to say as wasteful as it is at least it went to something useful rather than the TARP program which only went to save Wall Street Fat cats, that probably didnt need it in the first place, granted the Dems are going to shoot themselves in the head by wasting the money saved from that too, but lets not forget that the Republicans are the ones who initiated that program. ahhh but the right so quickly forgets how they screwed up and only wish to point out where the left is screwing up… Maybe I would listen to them more if they would just admit they are idiots too… At least I know the Dems are gonna screw me over, unlike the Reps who say they are for fiscal responsibility, yet waste just as much money on useless things as the Dems… maybe this country will wake up one day… probably not…

Posted by Bob | Report as abusive

Way to jump the gun. This is just a tally of jobs SO FAR. Please update this after the first 4 years of Obama’s administration.

Posted by George W. | Report as abusive

[...] to Reuters, the Obama administration has spent (or invested, depending on your perspective) $158 billion to [...]

[...] Even when the Obama Administration uses completely false numbers to try to prove itself effective, they still fail. Recently, they claimed with great fanfare that they had “created or saved” 640,329 jobs because of the “stimulus” that they ramrodded through Congress. This number has been proven to be a lie, with many of those jobs coming from congressional districts that don’t exist or entities that count every job (plus a few) as “saved” if one person got a raise. Anyway…the average job in the US pays $59,867.00 per year (where are THOSE jobs?!?!?!), but if you divide the $157,800,000,000.00 of the “stimulus” that has been allocated so far by the 640,329 figure, the government has shelled out $246,436.00 per job. If the government had simply given out that money to the people, with each person getting the $59,867.00 average, that would have given paychecks to 2,635,842 people. So where did all of that money go? Gummint inefficiency on display. [...]

[...] he miss James Pethokoukis’ blog at Reuters that shows he already has spent $246,436 for each job that they have “created or [...]

[...] stimulus money that was released to “Save or Create” jobs in the United States.  According to the Obama administration, the stimulus program has “saved or created” 640,3….  Based upon the $157.8 billion that was released for the program, that equates to a taxpayer bill [...]

[...] James Pethokoukis: According to the Obama administration’s highly suspect numbers, we have spent $246,436 per [...]

[...] Yardeni of Yardeni Research has performed a Cost Benefit Analysis of Jobs Stimulus created under President Obama’s American Recovery and Reinvestment Act: The Obama [...]

[...] a dismal failure. From the jobs ’stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just lost through [...]

[...] a dismal failure. From the jobs ’stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just [...]

[...] a dismal failure. From the jobs ’stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just [...]

[...] a dismal failure. From the jobs ’stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just [...]

[...] has been a dismal failure. From the jobs ’stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just lost through [...]

[...] analysis of the existing jobs stimulus and found, as economic analyst Ed Yardeni did, and found that each “job created” has cost US Taxpayers $246,436. This isn’t complicated math, [...]

[...] has been a dismal failure. From the jobs ‘stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just lost [...]

[...] has been a dismal failure. From the jobs ‘stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just lost [...]

[...] has been a dismal failure. From the jobs ’stimulus’ package that has cost taxpayers a whopping $236,436 per job created – to the the ‘cash for clunkers’ – to the $61 billion bucks taxpayers just lost through the [...]

[...] An example of the agency wise allocation is in the included screen grab for Alabama on the right. It is a great time for people at these agencies to get back with the results. America needs it before going on another joyride with public funds. If you go by these statistics the journos at Reuters have done a pretty ‘funny’ piece with the stats [...]

I am not sure this current HC bill would do much to lessen their concerns

Posted by James Pethokoukis | Report as abusive

[...] only has the stimulus failed to curtail unemployment, it has proven to be expensive. Each job created by the stimulus cost almost $250,000 – and the average salary of a stimulus job is just under $60,000. This is a net [...]

[...] from stimulus for public relations work – TheHill.com too much of it was just too expensive Cost-benefit analysis of jobs stimulus | Analysis & Opinion | Reuters too much of it was just so dishonest ABC News Exclusive: Obama Administration Slashed 60,000 Jobs [...]

[...] date each job Obama has “created or saved” has cost the taxpayer $246,436. At the rate Barack is proceeding he will have the country migrating to Mexico for [...]

We need reform…but not the type of reform we are hearing. Let’s take it slow…improve utilization of HSAs and create extra state pool money. Now…that wasn’t so hard!

I would agree with the previous post. Expanding HSA’s would be more cost effective in the long run with expanded state pools. Guaranteed issue has been a tremendous failure in states like NY, NJ, etc.. That is what we have to look forward to.

Has jobs been considered in this health care passes?

I agree with the above post, and the post above that. I highly doubt that jabs were actually considered with the health care.

Posted by josephmorris90 | Report as abusive

[...] us out of this recession. So to clarify: more debt to solve the debt crisis caused by unpaid debt. The Stimulus plan cost $246,436 per job it created that paid people an average of $59,867. The EPA declared CO2 a pollutant. Don’t read this out loud or you’ll be polluting. Get [...]

[...] in downtown Reno,” which is surprising because the Stimulus’ “green jobs” cost-benefit ratio blows big [...]

[...] in downtown Reno,” which is surprising because the Stimulus’ “green jobs” cost-benefit ratio blows big [...]

[...] wind speeds in downtown Reno,” which is surprising because usually the Stimulus “green jobs” cost-benefit ratio blows big [...]

[...] in downtown Reno,” which is surprising because usually the Stimulus “green jobs” cost-benefit ratio blows big [...]