US administration mulls over new stimulus package

Britain News.Net
Tuesday 7th July, 2009

A second US stimulus package has been suggested to pull the US economy out of a prolonged recession.

Obama administration economists have said the federal government should begin crafting a second package as a contingency plan to further shore up the economy if needed.

The administration has been told it appears the economy is weaker than expected, with legislators from both sides of politics expressing dissatisfaction with the impact of the $787 billion stimulus package President Barack Obama signed into law in February.

Even though administration economists have started to suggest things aren’t going as well as expected, only two days ago Vice President Joe Biden downplayed the suggestion of more government stimulus, telling reporters that February's stimulus package, the biggest-ever federal tool to jumpstart the US economy, was the proper means of promoting growth in infrastructure projects, energy initiatives, educational programs and aid for struggling state governments.

But Republicans have been saying the fact that unemployment is continuing to mount, four months after the stimulus package was signed into law, shows that the plan was flawed from the start.

In February, President Obama said the stimulus plan would save or create more than two million jobs.

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