Read Eye on Fiscal Stimulus. How big was the fiscal stimulus package of 2008-2009, how many jobs was it expected to create, and how large was the multiplier implied by that expectation? Did the stimulus work?

1. $787 billion

2. 650,000; 1.6

3. did not meet; the multiplier was much smaller than 1.6

Explanation:

The fiscal stimulus package of 2008-2009 was $787 billion. This is because, the United States government wanted to increase spending in order to have sufficient economic growth. Thus, the fiscal stimulus was expected to create 650,000 JOBS, in which the multiplier implied by that expectation is 1.6.

However, the stimulus did fiscal stimulus did not work, as it DID NOT MEET the expectations of the Obama administration, simply because "the multiplier was much smaller than 1.6"

answer; hazards;