About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

Estimated Impact of the American Recovery and Reinvestment Act on Employment and Economic Output in 2014 1 (February 20, 2015)

handle is hein.congrec/cbo2078 and id is 1 raw text is: FEBRUARY 2015 Estimated Impact of the American Recovery and Reinvestment Act on Employment and Economic Output in 2014 In February 2009, in response to significant weakness in the economy, lawmakers enacted the American Recovery and Reinvestment Act (ARRA). The legislation's numer- ous spending and revenue provisions can be grouped into several categories according to their focus: Providing funds to states and localities-for example' by raising federal matching rates under Medicaid, providing aid for education, and increasing financial support for some transportation projects; * Supporting people in need-such as by extending and expanding unemployment benefits and increasing benefits under the Supplemental Nutrition Assistance Program (formerly the Food Stamp program); * Purchasing goods and services-for instance, by funding construction and other investment activities that could take several years to complete; and * Providing temporary tax relief for individuals and businesses-such as by raising exemption amounts for the alternative minimum tax, adding a new Making Work Pay tax credit, and creating enhanced deductions for depreciation of business equipment. When ARRA was being considered, the Congressional Budget Office and the staff of the Joint Committee on Taxation estimated that it would increase budget deficits by $787 billion between fiscal years 2009 and 2019. CBO now estimates that the total impact over the 2009- 2019 period will amount to nearly $840 billion (Table 1). By CBO's estimate, close to half of that impact occurred in fiscal year 2010, and more than 95 percent of ARRA's budgetary impact was realized by the end of December 2014. Various recipients of ARRA funds (most recipients of grants and loans, contractors, and subcontractors) were required to report the number of jobs funded through ARRA after the end of each calendar quarter through December 2013.1 The law also requires CBO to com- ment on those reported numbers. During calendar year 2013 recipients reported that ARRA funded an average of about 76,000 full-time- equivalent (FTE) jobs. Those reports, however, do not provide a comprehensive estimate of the law's impact on 1. The last quarterly reports were submitted in January 2014. See the Recovery Accountability and Transparency Board, Recipient Reporting (accessed February 17, 2015), http://go.usa.gov/ 3qSYC. 2. Sections 1512(c) and 1512(e) of the American Recovery and Reinvestment Act of 2009, Public Law 111-5, 123 Star. 115, 287-288. This report is the 16th in CBO's series of reports. Public Law 112-204, enacted on December 4, 2012, reduced the required frequency of CBO's reporting from quarterly to annually over the 2013-2015 perio d eliminated the reporting require- ment altogether after 2015. For the previous report, see Congres- sional Budget Office, Estimated Impact ofthe American Recovery and Reinvestment Acton Ep conomic Ouput in 2013 (February 2014), www.cbo.gov/publication/45122. 3. Data compiled from recipients' reports (on jobs funded and other information) are shown at www.recovery.gov/arra/. Recipients were asked to calculate FTEs by taking the total number of hours worked in a quarter that were funded by ARRA and dividing the total by the number of hours that a full-time employee would have worked in that quarter. The last required quarterly reports covered the fourth quarter of 2013. See www.recovery.gov/arra/ FAQ/PagesiRecipientReporting.aspx.

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Short-term subscription options include 24 hours, 48 hours, or 1 week to HeinOnline.

Purchase Access

Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most