The diminishing returns of stimulus plans are very evident.
The alleged positive effects of a $1 trillion stimulus plan fade shortly after three months.
The diminishing returns of stimulus plans are evident.
The average impact of the last programs such as the 2009 Employment and Growth Plan, the Juncker Plan or the Green Directives to support investment in renewables has been extremely low.
Let us remember that the Juncker Plan was used entirely for investment projects with expected real economic return and without the amount of current spending and political intervention of the 2021 Recovery Plan.
These so-called stimulus plans have a huge risk: that they involve a huge transfer of wealth from the middle classes and taxpayers destined for political spending without real economic return and investments of doubtful profitability.
Cheap money, increased public intervention, and massive stimulus plans have not worked as drivers of productivity and potential growth.
https://mises.org/wire/stimulus-boom-already-over-now-comes-stagnation
No comments:
Post a Comment