w1ld wrote:
Download the PDF. Great paper!

In considering fiscal policy at this juncture, policymakers need to answer several key questions. Is fiscal stimulus needed? When should such stimulus be provided? And what would constitute effective fiscal stimulus? These questions are not merely technical. The livelihoods and living standards of many Americans are at stake. Fortunately, economic research provides clear theory and evidence for making appropriate decisions about if, when, and how to craft fiscal stimulus. This paper summarizes the evidence and provides straightforward principles and examples for formulating effective stimulus.

Problem: The country is in a mess due to a bunch of loans given to poor people who couldn't afford to pay them back.

Solution: Send them all checks for $800 that will count against their next year's tax returns (basically an interest free loan) since the IRS will be the ones having to try to get that money back only after Bush has declared himself Czar of the United States.

Brilliant!

RE: If, When, How: A Primer on Fiscal Stimulus - Brookings Institution