Guest Post by Jeff Perren.
As the title is supposed to suggest, Federal stimulus programs that consist of spending are about as effective as that now-universally discredited method of psychotherapy, and about as insane.
Here's a bit of real world data to keep in mind when you hear Krugmanites tout Federal spending as an economic stimulus:
Big spending is another economy-killer. A recent OECD study noted that for every percentage point increase in spending among the nations studied, per capita GDP fell by 0.3% and investment by as much as 0.4%. So more government "stimulus" cures nothing.