Pelosi Refuses to Call New Spending Another Stimulus Package

Posted October 21, 2009 at 12:49pm

It looks like another stimulus package. It sounds like a stimulus package. It spends like a stimulus package. Her economic advisers are even calling it another stimulus. But Speaker Nancy Pelosi (D-Calif.) insists her plans for a host of new spending is not a stimulus package.

“That’s not what we’re doing,— Pelosi said Wednesday when asked if there would be a “Stimulus Two.— Instead, the new spending and tax cuts will move in a series of bills, she said, instead of one big bill.

“We do not have a plan for an additional stimulus package, but we do have plans to stimulate the economy,— Pelosi insisted.

After trotting out a handful of economists who each backed another stimulus package, Pelosi said Democrats would consider a host of ideas to spend more money and cut taxes next year.

Pelosi said among the items discussed were a host of extensions to expiring provisions in the earlier stimulus bill including a housing tax credit and unemployment insurance, “an array— of programs offered by House Appropriations Chairman David Obey (D-Wis.), a push for more infrastructure spending by House Transportation and Infrastructure Chairman James Oberstar (D-Minn.), and new tax breaks for businesses.

The economists who stood with Pelosi also had ideas of their own, ranging from a new package of aid to cash-strapped states so they don’t slash jobs or raise taxes to a plan to use leftover money from the $700 billion Troubled Asset Relief Program to launch a much larger effort to bolster the housing market and mitigate foreclosures and reinvigorate lending by small community banks.