Unsustainable “Stimulus” Spending Added Debt, Not Growth
Unsustainable "Stimulus" Spending Added Debt, Not Growth
"Food Stamp Cliff" Scheduled to Arrive on November 1
(Washington, DC) – According to press reports , the 2009 expansion of the Supplemental Nutrition Assistance Program (also called SNAP or food stamps) is scheduled to come to an end on November 1. This expansion – which was signed into law as part of the American Recovery and Reinvestment Act (commonly called the 'stimulus') – has helped fund an increase in the number of people receiving this food assistance from 31 million in 2009, to 47 million today. This legislation spent a total in excess of $800 billion on a range of projects intended to promote growth – with more than $45 billion going to food stamps. This program expansion has happened at the same time that welfare benefits have increased for many – to the point that welfare benefits now exceed the average starting salary for a teacher in 9 states, and a secretary in 29 states.
Daniel Garza, Executive Director of The LIBRE Initiative released the following statement:
"The 2009 'stimulus' bill was sold as the key to encouraging economic growth, and to supporting communities hit by the recession until the unemployment rate came down. Nearly five years later, the unsustainable spending programs in the bill are coming to an end, but American families and workers continue to struggle to find work in a stagnant economy. Instead of creating a better job environment, the 'stimulus' bill created more national debt – which is now over $17 trillion, and still rising. Washington must work on reforming this program to ensure participants are getting back on their feet and returning to work, rather than trapping them in increased government dependence."