August 23, 2010
Update: Stimulus Funds and Unemployment
Still No Correlation
Veronique de Rugy
George Gibbs Chair in Political Economy
Key materials
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To speak with a scholar or learn more on this topic, visit our contact page.The below chart by Mercatus Center Senior Research Fellow Veronique de Rugy examines a state’s unemployment at the time The American Recovery and Reinvestment Act was passed and the stimulus funds that each state has received – there is no correlation between the two variables.
This suggests that stimulus funds have not been allocated according to a state’s level of economic distress, with disbursement instead being determined by other factors.
Veronique de Rugy probes the true drivers of stimulus allocation.
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Veronique de Rugy