Multiplier Effect? What Multiplier Effect?

The late John Maynard Keynes is the darling economist of the left. His theories of optimal government behavior has government growing and spending for prosperity, based in part upon his imaginary "multiplier effect." Mr. Keynes believed that every government dollar spent created even more dynamic spending by being spent again and again. Essentially, Keynes believed that we could spend our way to prosperity.

Yes, that is a dumb as it sounds, but progressives still believe it.

Progressives love it, because it gives them an excuse to expand government ... and boss the rest of us around as a result.

That brings us to the Obama stimulus. And where is that multiplier from the Obama porkulus bill?

The Hoover Institution’s John F. Cogan and John B. Taylor combed through state and federal spending data from the past few years looking for a multiplier effect from the stimulus. Instead, they found that purchasing increased very little at the federal level and not at all at the state level.

From Reason Hit & Run, read it all.