Review & Outlook:Why the Stimulus Failed - WSJ.com
EXCERPTS:
"This suggests just how hard it is for Keynesian job creation to work in a modern, expertise-based economy," they write. The stimulus "was implemented at a time when the Keynesian model had every chance of succeeding on its own terms. The high level of unemployment and the rapid deadline for spending created both the supply of workers and the demand for workers. If the job market results are so lackluster in this setting, economists should expect even weaker stimulative results during more modest recessions."
