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Monday, August 3, 2009

Food Stamp stimulus is working



The Economic Stimulus gave an extra US$80 per month to food stamp recipients. Starting in April, a family of four on food stamps received an extra $80 month - from $525 to $606.

The Department of Agriculture estimates that every $5 of food stamp spending results in $9.20 worth of economic activity. What's missing from the bill is the least effective ways to stimulate the economy: corporate tax cuts that only return 30 cents on the dollar and capital gains tax cuts that return 37 cents according to Moody's.  Such tax cuts form the basis of supply side economics.

http://www.madison.com/post/blogs/dailybriefing/438701

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