In it, but not of it. TPM DC

GOP's Successful Media Message: This Stimulus Needs to be More Ineffective!

I'll repeat it again, just for emphasis: Tax cuts are an ineffective economic stimulus.

Mark Zandi, a Republican economist who advised John McCain's presidential campaign, has been stressing this point for months. Zandi's research showed a corporate tax cut delivering $0.30 in real GDP growth for every $1 invested, an alternative minimum tax patch delivering $0.48 for every $1 invested, and a regular tax rebate delivering anywhere from $1.02 to $1.28 for every $1.

Compare that to aid to state governments, which Republicans have roundly criticized: $1.36 for every $1 invested. Infrastructure spending delivers a whopping $1.59 in GDP for every $1.

But it's not just Zandi making this point. The Congressional Budget Office -- you know, the guys with the incomplete stimulus report that Republicans absolutely loved last week -- deemed last year that corporate tax cuts are "not a particularly cost-effective method of stimulating business spending."

So why is Washington still having this conversation about tax cuts? It's time to talk about why business tax breaks in the stimulus bill amount to $24.9 billion -- a small share of the overall package, yes, but more than double the amount that was invested in rail and mass transit.