Wednesday, August 17, 2011

Food Stamps Stimulate Jobs

Obama's Secretary of Agriculture Tom Vilsack thinks that food stamps are an economic stimulus. If that's the case then why don't we expand the program? Surely giving everyone food stamps will expand the economy even faster. And why stop there? Why don't we give everyone $1000.00 gift certificates that they can spend at any store? Surely that would stimulate the economy in the same way. Think of all the jobs that would be made designing the gift certificates, putting them into envelopes and mailing them. Think of the jobs created as people use these certificates buying TVs and cars and going out to restaurants.

What a wonderful idea. Why haven't I thought that before? Oh, I did - it's called The Ditch-Digger's Fallacy.

Obama's Secretary of Agriculture Tom Vilsack: "Well, obviously, it's putting people to work. Which is why we're going to have some interesting things in the course of the forum this morning. Later this morning, we're going have a press conference with Secretary Mavis and Secretary Chu to announce something that's never happened in this country -- something that we think is exciting in terms of job growth. I should point out, when you talk about the SNAP program or the foot stamp program, you have to recognize that it's also an economic stimulus. Every dollar of SNAP benefits generates $1.84 in the economy in terms of economic activity. If people are able to buy a little more in the grocery store, someone has to stock it, package it, shelve it, process it, ship it. All of those are jobs. It's the most direct stimulus you can get in the economy during these tough times."


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