ABSTRACT

Estimated Impact of the American Recovery and Reinvestment Act on Employment and Economic Output from July 2012 Through September 2012   [open pdf - 185KB]

From the Document: "In February 2009, in response to significant weakness in the economy, lawmakers enacted the American Recovery and Reinvestment Act (ARRA). The legislation's numerous spending and revenue provisions can be grouped into several categories according to their focus: [1] Providing funds to states and localities--for example, by raising federal matching rates under Medicaid, providing aid for education, and increasing financial support for some transportation projects; [2] Supporting people in need--such as by extending and expanding unemployment benefits and increasing benefits under the Supplemental Nutrition Assistance Program (formerly the Food Stamp program); [3] Purchasing goods and services--for instance, by funding construction and other investment activities that could take several years to complete; and [4] Providing temporary tax relief for individuals and businesses--such as by raising exemption amounts for the alternative minimum tax, adding a new Making Work Pay tax credit, and creating enhanced deductions for depreciation of business equipment. When ARRA was being considered, the Congressional Budget Office (CBO) and the staff of the Joint Committee on Taxation estimated that it would increase budget deficits by $787 billion between fiscal years 2009 and 2019. CBO now estimates that the total impact over the 2009--2019 period will amount to about $833 billion. By CBO's estimate, close to half of that impact occurred in fiscal year 2010, and more than 90 percent of ARRA's budgetary impact was realized by the end of September 2012."

Publisher:
Date:
2012-11
Copyright:
Public Domain
Retrieved From:
Congressional Budget Office: http://www.cbo.gov/
Format:
pdf
Media Type:
application/pdf
URL:
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