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Reason Foundation

Taxpayer's Guide to the Stimulus:
Conclusion and New Spending

Continuing the era of the growth of government

Anthony Randazzo
June 17, 2009

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>> Conclusion

The American Recovery and Reinvestment Act largely just provides general funds to government agency budgets, bloating the already large bureaucracy. The stimulus bill does not focus on fiscal responsibility, but rather makes the government even larger, funding many untested programs that could significantly add to government waste. From funding the War on Drugs to Comparative Effectiveness Research, the policy implications of the stimulus spending will leave a permanent stamp on the future of the American economy and society.

To follow the progress of stimulus spending, visit Onvia's "Tracking Recovery" website and check out all of Reason's coverage of stimulus and bailout spending.

>> New Spending

A significant portion of the money in stimulus was directed towards expanding the size of government by over $97 billion. This money creates 30 new programs that dramatically increase the role of government in the lives of individuals and operations of businesses. The new programs are 18 percent of the spending in the stimulus bill. These programs largely focus on increasing government funding of energy related projects and providing social services, with $16.1 billion being given to energy projects.

The unfortunate thing is that the spending won’t be limited to just this money. Those energy projects never existed before and won’t be over within one or two years. In this way the government has committed itself to long-term funding of billions of dollars worth of projects and programs. That’s $16.1 billion that will be needed from the next budget and the budget after that for years to come.

Here is a list of the stimulus bill's newly proposed, or previously unfunded, programs and their costs:

Total: $97,320,000,000

Previous: 15. General > Taxpayer's Guide

Written by: Anthony Randazzo. Please email with any comments or corrections.

Anthony Randazzo is Director of Economic Research

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