Obama's stimulus was a massive failure and it didn't work

[Clip-Clop]

Originally Posted by Cannon Shell

All economic stimulus "work" because it is an artificial effect. To what degree is the question.

For example if Doc ICU hit the lottery and his head and decided he wanted me to train for him. I go to the sale and spend 10 million for him on yearlings. Well that 10 million will certainly stimulate the short term sales economy, the economy of my barn and all those with whom I do business with. But if they all turn out to be bums and the spending turns out to be an unwise investment in the end nothing is really acomplished because he wont spend that money again. In a perfect world the breeders who benefited from the extra 10 million in sales would reinvest in their programs, my barn would expand based on the success on the horses bought and Doc ICU would become a longtime owner/investor in the business. Most likely the breeders would pocket the money, my barn would get a small bump and in a few years the entire "stimulus" effect would be minimal.

Theoretical math is even less welcome than ordinary math here as that requires thought, logic and projection when it is more fun to post pie charts...