Senate Democrats have introduced what they are calling a “Jobs Bill” in hopes of rallying the support of voters before the November elections.
A closer look at this bill reveals content similar to the first stimulus bill passed last year. As you probably remember, the last stimulus didn’t go over very well. I guess a name change was in order.
Democrats have been pushing for an additional stimulus for more then nine months even though the first one has had little or now impact on the economy. The expected price tag of this bill is between 150-300 billion dollars.
The bill includes tax breaks for businesses hiring unemployed workers, extension of unemployment benefits, renewal of the COBRA program and other popular tax breaks totaling $33B.
President Obama would also like funds included for infrustructure and highway projects, just as the first stimulus. You can expect other pet projects and more pork barrell spending to find it’s way into this bill as negotiations continue on Monday.
One of the main problems with this bill, employers need immediate funds if they are expected to hire additional employees. A tax break is always welcome but doesn’t do much good if the benefit comes at the end of the year.
A better solution would be low interest federal loans. Banks are not loaning money, especially to small businesses. Will this bill have the intended effect Democrats hope for? Time will tell.
Author: Cityclix.net Staff Writer
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