X Marks The Spot
“As Figure 1 shows, even with the large prototypical package, the unemployment rate in 2010Q4 is predicted to be approximately 7.0%, which is well below the approximately 8.8% that would result in the absence of a plan.1
1 Forecasts of the unemployment rate without the recovery plan vary substantially. Some private forecasters anticipate unemployment rates as high as 11% in the absence of action.”
-“The Job Impact Of The American Recovery And Reinvestment Plan,” written
by Christina Romer and Jared Bernstein, dated January 9, 2009, to support the Obama administration’s $787 billion economic stimulus plan.
“One of President-elect Barack Obama’s leading economic advisers said on Sunday he does not see unemployment topping 10 percent… [Lawrence] Summers said he expected further job losses but Obama’s economic stimulus package should help limit the rise in unemployment. Asked if he thought the unemployment rate could top 10 percent, he said, ‘I don’t think so.’“
-Reuters, January 18, 2009
“The American unemployment rate surged to 10.2 percent in October, its highest level in 26 years, as the economy lost another 190,000 jobs, the
Labor Department reported Friday.”
-New York Times, November 6, 2009
Source: Romer/Bernstein piece “The Job Impact Of The
American Recovery And Reinvestment Plan”
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