Huge expansion of government

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Here's the narrative you hear everywhere: President Obama has presided over a huge expansion of government, but unemployment has remained high. And that proves that government spending cant create jobs. Here's what you need to know: The whole story is a myth. There never was big expansion of government spending. In fact, that has been the key problem with economic policy in the Obama years: we never had the kind of fiscal expansion that might have created the millions of jobs we need. Ask yourself: what major new federal programs have started up since Mr. Obama took office? Health care reform, for the most part hasn't kicked in yet, so that cant be it.

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Reference no: EM132452325

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