The Congressional Budget Office (CBO) is out with its latest estimates of the effects of the stimulus package—officially the American Reinvestment and Recovery Act (ARRA)—on employment and incomes. For the fourth quarter of 2010, the CBO estimates that ARRA: raised real GDP by 1.1–3.5% lowered the unemployment rate by 0.7–1.9 points increased the number of people employed by 1.3–3.5 million increased the number of full-time equivalent jobs by 1.8–5.0 million above what would have happened without ARRA These are substantial numbers. Take GDP. The midpoint of the estimate is 2.3%. Real GDP is… Read More