Robert Reich explains (emphasis added):
Government can hire people directly to maintain the nation’s parks and playgrounds and to help in schools and hospitals. It can funnel money to help cash-starved states and local government so they don’t have to continue to slash payrolls and public services. And it can hire indirectly – contracting with companies to build schools, revamp public transportation and rebuild the nation’s crumbling highways, bridges and ports.
Not only does this create jobs but also puts money in the hands of all the people who get the jobs, so they can turn around and buy the goods and services they need – generating more jobs. Not exactly rocket science.
But congressional Republicans are firmly opposed. Why don’t Republicans get it? Either they’re knaves – they want the economy to stay awful through next election day so Obama gets the boot. Or they’re fools – they’ve bought the lie that reducing the deficit now creates more jobs.
Follow the link to see Dr. Reich demolish the “cut spending and deregulate” shibboleth.
Me, I’m betting on “fools led my knaves.”