Bush never got it, the Republican cant’ grasp basic economic, but AARP got it:
Social Security’s One-Two Punch Posted on 10/1/2013 by Bill Hogan “You may not think of Social Security as an economic stimulus program, but it is.
“A new report from AARP, in fact, shows that every $1 paid out by Social Security generates, in turn, about $2 of total output for the U.S. economy — or nearly $1.4 trillion in 2012.
“Economists call this the “multiplier effect.” Simply put, that’s when one person’s spending (in this case, spending generated by Social Security benefits) becomes a second person’s income, then the second person’s income is spent and becomes a third person’s income, and so on.”
OK, so you already read this here. Social Security is the ultimate grassroots stimulus package – it actually hits where people live and not just where we imagine factories should be. REALITY: “Social Security kept more than 22 million Americans out of poverty last year, including 15 million adults 65 and older.” Those 22 million provided for communities and added 7-10 dollars to local economies for every dollar they received.
This chart says $1 equals $2, but that is immediate impact. In the long term, each business employee hires other services, pays taxes and basically sends Social Security (the government), Two Dollars ($2) for every dollar paid out for Social Security. It also funds the community.
Economic Multipliers are weird. Money circulates.
The Republicans, with their weapons purchases, and the outsourcing of jobs, want to send that money to foreign nations, or bury it – in systems not used, or people killed.
THE MOST HARM TO THE MOST PEOPLE
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