President Obama has asked Congress to agree to emergency spending this summer and fall to promote economic recovery, and prevent a “double dip” recession!
The spending would provide $50 billion to help state and local governments to avoid cutting educators, fire fighters, and law enforcement personnel, all areas that face the greatest cuts since the Great Depression! It is not just job losses that are the issue, but also service reductions that people take for granted, but would be lost if there is no federal stimulus money!
Also, more extension of jobless benefits, and tax credits and accessible credit for small businesses to allow them to expand and hire workers, would be covered by $80 billion of additional spending!
It will not be easy to convince a deficit conscious Congress to enact such measures, which were proposed earlier, but have reached an emergency level, with planning moving ahead for the new school year, and the realization that the earlier economic stimulus is running out, but was an important part of the slowly reviving economy!
But to do nothing would be acting like an ostrich with its head in the sand–refusing to have vision as to the short term emergency, but also to the long run effects of standing on the sidelines while conditions become worse!