Why has such a big stimulus plan been proposed?
The US economy is entering its sharpest downturn since before World War II, according to many economists. Supporters of the measures say that without the stimulus, the downturn that began at the end of 2007 could last well into 2010. The slump has already cost three million jobs. President Obama has made passing the stimulus package his priority, saying that millions more jobs could be lost during the recession. As US interest rates are already approaching zero, it is clear that other policies must be considered to revive the economy.
