The Daily Caller videoed U.S. Department of Transportation Secretary Ray LaHood asserting that he is "very proud" that his agency created new jobs at cost $738,000 using Obama stimulus funding. From the Daily Caller:
Secretary of Transportation Ray LaHood told The Daily Caller that he is “very proud” of the Economic Recovery Act of 2009 that put 65,000 people to work with $48 billion in federal funds for the Department of Transportation, amounting to $738,461 per job.
The Recovery Act of 2009, which in total cost taxpayers $825 billion, has been criticized because it did not prevent the unemployment rate from rising above 8 percent, contrary to what the Obama administration predicted.
“Yeah, we spent $48 billion and we put 65,000 people to work in 15,000 projects in two years with no problems,” LaHood told The Daily Caller in a video interview in Alexandria, Va., on Friday. “I’m very proud of that. I know that the governors can spend this money because over two years we gave them $48 billion, they created 65,000 jobs in 15,000 projects. This is doable. We’re going to get the money out and get people to work.”
A general benchmark is that investing $1 million in the private sector generates 10 new jobs, which means that the DOT "investments" fell short by more that 400,000 jobs. Paraphrasing the bitter joke about stock brokers: "The Feds are going to keeping investing our money until it's all gone."