Economists: Obama Stimulus Dead in the Water

Friday, July 17, 2009 11:29 AM

By: Forrest Jones

As the Obama administration gauges the performance of its $787 billion stimulus package and talk builds of a new program on the way, some economists argue that any government intervention regardless of size will fail to seriously help the economy.

Credit is limited. Plus rising unemployment and a general resistance to spend are dampening consumer demand.

“Many households that want to borrow can’t, and many that can borrow won’t because they now must save for retirement the old-fashioned way,â€