[edited] A friend mentioned that he had hired an extra guy under the stimulus program.To paraphrase Thomas Jefferson: A government big and intrusive enough to manipulate incentives for your business, is big enough to screw up your business in other ways. Manipulation does not create jobs.
"Yeah, they are paying 80% of his wages and overhead. It's a win-win for him and me ... but then I fired another guy; he just cost too much compared to the new guy."
So we get +1 job and -1 job = 0 new jobs, more profits for my friend, and more taxes for us.
This happened because my friend was encouraged to use this new program to "get America back to work." I'm guessing that this is happening across the country.
Bottom Line: You can't make jobs where there's no demand, but you can sure waste money pretending that you know what you're doing!