Few months ago, I wrote a series of posts saying the stimulus was too small.
The stimulus passed was based on a year long unemployment average of 8.1%. As we reached this level in February and will probably surpass it in March, the stimulus as passed is too small to stop the free fall that is our economy.
Finally, major news outlets are beginning to notice the need for a larger stimulus.
There are many reasons to want another stimulus package.
- It will create jobs
- It will be political gold for Obama and the Democrats
I talked about a the benefits of a payroll tax holiday in December. Withthe unemployment numbers much, much worse than expected, we will see a payroll tax holiday sometime soon, perhaps as soon as May.