The Economic Stimulus Package was finally approved by the Senate on Friday evening and goes for signing by President Obama the week of February 16th, 2009. The finally billis around $787 Billion, but there is dividsion on whether the bill will do what it is supposed to, that is Stimulate the economy. We have analysed the bill based on an analysis done by the Wall Street Journal (before the final number came out, but largely unchanged from the final version). We have made some assumptions to try to gauge whether the package will be stimlatory or not, and have done this by looking at the description of the items and applying some common sense thinking to determine if the description will lead to job creation and economic growth. This analysis is available at the following link...

Our conclusion, based on this and the general commentary in the public domain, is that the package will hae limited stimulatory effects. Having said that, something is better than nothing and this combined with the dramatic increase in money supply should all help towards staving off a depression.