Musings about American Recovery and Reinvestment Act

This morning, I sat in 15 extra minutes of traffic than usual. In fact, it's been a solid month where I've spent 15 extra minutes in traffic. You see, my commute goes through a section of Interstate 90 that is under construction. There is a very pretty sign that informs all the drivers that it is funded by the American Recovery and Reinvestment Act.

From what I can tell, the American Recovery and Reinvestment Act helped save some jobs. For one, the sign company that makes those signs got some new business. That's good. The auto industry got so much of the hype, but I guess that the American Sign Manufacturing companies were pretty critical to the economy, too. I'm glad someone was looking out for them. See? Stupid me, I would have overlooked their need for a bailout. Further, the four empty construction trucks on the off ramp in the midst of construction were saved from being victims of the "Cash for Clunkers" plan. (Wait, didn't we want those traded in? I noticed that all four trucks were domestic and that none of them were hybrids. Strange. I would have thought they'd operate off ethanol or battery. Perhaps my eyes deceived me.) And even further, thank goodness that Dunkin' Donuts was able to get some business from the 5 workmen that were standing on the off ramp drinking coffee. Not only did we save those 5 workmen their jobs, but we also assisted Dunkin' Donuts by giving those workmen the income to purchase those coffees. And further, since we all know that the economy provides ripple effect after ripple effect, we also helped Wrangler Jeans because the jeans these 5 workmen were wearing will undoubtedly wear out their bottoms soon, at least I presume so, from sitting on the guard rail while drinking their coffees.

While I was driving by, and thinking about how this all helped stimulate the economy, I thought of the thousands of drivers who are losing 15 minutes every morning due to the increase in traffic. And since I like to think of ripple effects, I was wondering how the companies for whom all these people work are affected by the lost productivity from all these workers. I'm sure the net value these people provide to the GDP is far less than the GDP contributed by the workmen with their Dunkin' Donuts coffee.

I know I've said it before, but I'll say it again, thank goodness we have elected officials who know more about economics than I do.