2. background
• we know that the economy is not doing
well right now.
• largest recession since the 1930’s.
• remember what government agency
tries to regulate the economy?
• who takes care of monetary policy?
fiscal policy?
3. the plan
• the Obama administration is hoping
that by increasing spending and tax
cuts, people will start spending money
again & that will fix the economy.
• republicans agree that the economy
needs help, they just think it should be
done differently.
4. democrats’ plan
• use spending to stimulate the
economy.
• how does spending help the economy?
• improve infrastructure, build/renovate
schools, develop “green” industries,
etc.
• what does this sound like from history?
5. republicans’ plan
• stimulate the economy with tax cuts.
• let people keep more of their own
money and that will improve the
economy.
• smaller government = better
government
6. what got passed
• $787 billion bill
• only 3 Republicans supported it in the
Senate, none in the House.
• $70 billion in tax cuts, the rest in
spending
• Obama “not ruling out a second
stimulus bill.”
7. what does this mean?
• tax breaks for buying new car or first
house.
• sdditional $13 per month for workers.
• most economists say most job creation
will happen in 2010.
• www.recovery.gov tracks all the
spending.
8. what do you think?
• what should the government do, if
anything, to improve the economy?
• on a separate piece of paper, write AT
LEAST one solid paragraph to turn in.
backup your opinion with reasoning.
